The per capita real GDP in Sri Lanka is likely to be lower than the United States because Sri Lanka's economy is characterized by:

Question

Quizplus · Accepted Answer

A high population growth can contribute to a lower per capita real GDP because the total GDP is divided among a larger number of people. This means each individual has access to fewer resources and lower income. Therefore, even if Sri Lanka had a more equitable income distribution system or higher consumption spending, the high population growth would still likely result in a lower per capita real GDP compared to the United States. The other options, such as low regard for political freedom or high budget deficit, may also have an impact on the economy, but they are not necessarily directly related to per capita real GDP.

The Per Capita Real GDP in Sri Lanka Is Likely