If the population of a country is low and the Gross National Product is high, the per capita income will be

Assessment: WAEC SSCE - Economics - 2007 (Objective) Subject: Economics

Question 1 Report

If the population of a country is low and the Gross National Product is high, the per capita income will be
Answer Details
Per capita income is calculated by dividing the Gross National Product (GNP) by the population of a country. If the population of a country is low and the Gross National Product (GNP) is high, it means that there is a small number of people who are producing a high amount of goods and services, which leads to a high per capita income. In this scenario, there is a higher share of national income per person, which could translate into better living standards, higher purchasing power, and a higher overall quality of life. Therefore, the answer is "high."

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