Question

explain why GDP is the most important indicator of a country’s people wellbeing?

in 300 word

Answer 1

GDP is the most important indicator of the well-being of the people in the economy because when the GDP increases over the period of time it means the level of income in the economy is increasing and by calculating the GDP per capita we can estimate what portion of the GDP is distributed among the people in the economy. When GDP per capita increases as compared to the previous level it means on an average the income of the people in the economy has increased as compare to the previous level. The most important single factor of well-being of the people in the economy is the real GDP per capita which is adjusted for the inflation.