Question

Satellite night-lights data might measure economic activity better than GDP. Comment.(the answer is expected to be round 200 words)

Answer 1

Satellite night light data might measure the economic activity as accurate as the Gross Domestic product .GDP may measure the economic activity in developed countries accurately but in poor countries measuring the economic activity through GDP is a problem it may not give you the accuracy. Since in poor countries they do not note the GDP data due to which results are not trustable. Like some people hide their business from the government so that they do not have to pay the taxes or even they may barter the goods and services due to which government is not able to track the economic activities. Therefore light data may give you the accuracy like in poor countries even light data are available in country like north korea where they do not record even traditional economic data. Another reason for accuracy of light data is that it is geographical and not national hence it allow you to closely monitor the regions nationwide