Per capita GDP will always rise when:

Question

Quizplus · Accepted Answer

Per capita GDP, which measures the average level of economic output per person in a country, will increase when the rate of economic growth exceeds the rate of population growth. This means that there is more economic output being generated per person in the country, leading to a higher per capita GDP. However, if the population rises faster than the economy is growing, per capita GDP will not necessarily increase, as there will be more people to share the same amount of economic output. Likewise, increases in the rate at which the economy's labor force grows may lead to increases in total economic output, but if this growth is not accompanied by increases in productivity, per capita GDP may not rise.

Per Capita GDP Will Always Rise When