Question

1.What are the drawbacks in using GDP per capita as a measure of poverty?

2.What are the most important problems currently affecting educational systems in developing countries?

Answer 1

Answer 1

GDP per capita is an average, and thus ignores the distribution of incomes in a given country. Although the GDP per capita of a country may be very high, it may be the case that 10 percent of the country earn millions of times more than the other 90 percent of the country's inhabitants, who earn extremely low wages.

GDP per capita is a useful indicator of a nation’s economic performance, and it is the most commonly used measure of well-being. However, it has some important limitations, including:

• The exclusion of non-market transactions
• The failure to account for or represent the degree of income inequality in society
• The failure to indicate whether the nation’s rate of growth is sustainable or not
• The failure to account for the costs imposed on human health and the environment of negative externalities arising from the production or consumption of the nation’s output
• Treating the replacement of depreciated capital the same as the creation of new capital

Answer 2

The most important problems currently affecting educational systems in developing countries are:

• Poverty

Students living at or below poverty level tend to have the highest dropout rates. Studies show that students who do not get enough food or sleep are less likely to perform at their full academic potential. Schools know these truths first-hand, and despite efforts to provide students with basic essentials, teachers, administrators and lawmakers know there is simply not enough to go around.

• Family Factors

Family factors also play a role in a teacher’s ability to teach students. Principals and teachers agree that what is going on at home will impact a student’s propensity to learn. Divorce, single parents, poverty, violence and many other issues are all challenges a student brings to school every day. While some teachers and administrators try to work with children in less than ideal family environments, they can only do so much – especially when parents are often not willing to partner with the schools to provide for the children.

• Technology

Technology needs to come into the classroom to keep up with the learning demands of the 21st century. Schools that are already cash-strapped may find an unsurmountable challenge in coming up with the funding to bring computers and other forms of technology into their classes.