Per capita Income is also known as [1](i) Average income(ii) National Income(iii) Gross Income(iv) Personal Income
Question
Per capita Income is also known as
- (i) Average income
- (ii) National Income
- (iii) Gross Income
- (iv) Personal Income
Solution
Per capita income is also known as Average income. So, the correct answer is (i) Average income.
Here's why:
Per capita income is a measure of the amount of money that each person earns in a particular group. It is calculated by dividing the total income of the group by the number of people in that group. This gives an average figure, which is why it is also referred to as average income.
National income, gross income, and personal income are different economic terms.
National income refers to the total value of all goods and services produced by a country.
Gross income refers to the total income earned by an individual or business before taxes and other deductions.
Personal income refers to an individual's total earnings from wages, investment interest, and other sources.
So, these terms are not synonymous with per capita income.
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