The best measure of the standard of living is

Question

Quizplus · Accepted Answer

Real GDP per capita is the best measure of the standard of living because it takes into account the inflation and the size of the population. By considering the real GDP per capita, we look at the average level of goods and services produced per person in a country which is a good indicator of the standard of living. Nominal GDP does not adjust for inflation, and nominal GDP per capita does not adjust for inflation and population size. Real GDP adjusts for inflation, but does not take into account population size, making real GDP per capita the most accurate measure of the standard of living.

The Best Measure of the Standard of Living Is