GDP income measures can give the impression that people in less-developed nations have more income than they really do.

Question

Quizplus · Accepted Answer

GDP income measures only takes into account the total income generated within a country, without considering the distribution among the population. Therefore, even if a country has a high GDP, the income may be concentrated in the hands of a few wealthy individuals, while the majority of the population may still live in poverty. This is particularly true for less-developed nations, where income inequality is often high. Hence, GDP income measures may give the impression that people in less-developed nations have more income than they actually do.

GDP Income Measures Can Give the Impression That People in Less-Developed