Question

Respond to the following prompts in a post with a minimum of 100 words, then comment on at least ONE other posts.

• Gross Domestic Product was designed as a measure of economic activity, specifically a measure of national production. Despite this intent, GDP is widely interpreted as a measure of economic welfare or standard of living (when measured in per capita terms). What are the shortcomings of using GDP as a measure of economic welfare? What would you like to add to (or subtract from) GDP to make it a better reflection of how well people are doing in a nation?

Answer 1

Gdp : it is more a quantitive method to know about average per capita income, out put produced or good and service produce within a financial year under domestic boundaries.. It not measure the income inequality level , health life expectancy,education, basic needs level of population. That's why gdp is just a number showing the progress of nation not the quality of pprogress of nation.

Human development index is more accurate about showing gdp or per capita income as well as qualitative standard of any country. It show about unemployment education ,health, basic needs and inequality level of any country population.

So it gdp + qualitative of life(living standard +inequality adjustment must be added to more accurate information about any countries health and wealth.

answered by: anonymous