Properties of income used to compare two or more societies are?
Dear Student,
a. Income of countries is indeed considered as important factor of drawing comparisons between countries. It is the average income or per capita income which is taken into consideration while making comparisons. World bank has specified the criterion for categorising countries into developed, developing and underdeveloped countries
b. The per capita is the average income which is calculated by dividing the total income divided by its population.
c. Besides per capita income there are other properties of income which are used to draw comparisons.
d. We may give example of the how income is distributed among the people, which also helps in comparing two or more societies.
e. Further, disposable income that is the income left with people after paying taxes is also taken into consideration.
f. Another property which may also be considered is purchasing power parity among people, that is purchasing power of the people to buy same goods in a society.
Regards
a. Income of countries is indeed considered as important factor of drawing comparisons between countries. It is the average income or per capita income which is taken into consideration while making comparisons. World bank has specified the criterion for categorising countries into developed, developing and underdeveloped countries
b. The per capita is the average income which is calculated by dividing the total income divided by its population.
c. Besides per capita income there are other properties of income which are used to draw comparisons.
d. We may give example of the how income is distributed among the people, which also helps in comparing two or more societies.
e. Further, disposable income that is the income left with people after paying taxes is also taken into consideration.
f. Another property which may also be considered is purchasing power parity among people, that is purchasing power of the people to buy same goods in a society.
Regards