Question

In: Economics

The United Nations Human Development Report gives the following data for real GDP per person in​...

The United Nations Human Development Report gives the following data for real GDP per person in​ 2014: China,​ $12,547; Russia,​ $22,352; Canada,​ $42,155; United​ States, $52,947. Other information suggests that household production is similar in Canada and the United States and smaller than in China and Russia. The underground economy is larger in Russia and China and a similar proportion of each of these economies. Canadians and Americans enjoy more leisure hours than do the Chinese and Russians. Canada and the United States spend significantly more on the environment than do China and Russia. In which pair​ (or pairs) of countries is it easiest to compare the standard of​ living? And in which pair​ (or pairs) is it most​ difficult? Explain why. The standard of living can be easily compared​ ______. A. between China and Canada because they have a similar land size B. among all four countries because real GDP per person includes a reliable measure of​ income, household​ production, the underground​ economy, leisure​ hours, and the environment C. among none of the four countries because they are too different D. between Russia and the United States because they are both super powers E. between China and Russia or between Canada and the United​ States, because household​ production, the underground​ economy, leisure​ hours, and the environment are similar in each pair The standard of living cannot be easily compared in​ ______ and​ ______ because​ ______. A. ​China; Canada; one is much bigger than the other B. either China or​ Russia; either Canada or the United​ States; in each pair household​ production, the underground​ economy, leisure​ hours, and the environment are different C. ​Russia; China; because one is much bigger than the other D. either China or​ Russia; either Canada or the United​ States; in each pair the population densities are different E. ​Canada; the United​ States; one is much bigger than the other

Solutions

Expert Solution

Canada and USA or China and Russia are similar and hence easy to compare because they are similar in aspects like household production, Underground economy, leisure hours and environmental spending.

On the other hand comparing US or Canada with China or Russia could be difficult because they differ on almost all aspects.

Leisure hours and environmental spending is significantly higher in US and Canada, widening the gap , so the comparison is difficult.

The standard of living can be easily compared where the per capita real gdp is similar. between China and Russia or between Canada and the United​ States, because household​ production, the underground​ economy, leisure​ hours, and the environment are similar in each pair . Though through the ranking on the basis of per capita real gdp the comparison of standard of living could be done because the countries have similar per capita real gdp are similar of other grounds as well, the better comparison would be done when comparison is based not only on the real gdp per capita but other factors also(like leisure time and environmental spending)

So answer is option E

The standard of living cannot be easily compared in​ ______ and​ ______ because​ ______.

The standard of living cannot be easily compared in either China or​ Russia; either Canada or the United​ States; in each pair household​ production, the underground​ economy, leisure​ hours, and the environment are different

the reason being that though the per capita real gdp is similar and be compared, the other factors like household production and environmental spending is different which makes the comparison difficult.

So answer is option B)

(You can comment for doubts)


Related Solutions

The United Nations’ Human Development Index (HDI) is based on real GDP per year, life expectancy...
The United Nations’ Human Development Index (HDI) is based on real GDP per year, life expectancy at birth, and indicators of the quality and quantity of education. Please explain why the HDI might be better than real GDP as a measure of economic welfare. Do you think the HDI should be expanded to include items such as pollution, resource depletion, and political freedom? Explain. (Word limitation: 250-400 words)
Consider the following data on real GDP per capita in: Year Per Capita Real GDP 1950...
Consider the following data on real GDP per capita in: Year Per Capita Real GDP 1950 14 339 1960 17 351 1970 23 790 1980 30 732 1990 35 868 2000 43 288 2010 46 406 2011 47 554 2012 47 741 2013 48 066 2014 48 780 a) Calculate the percentage growth rates in real GDP per capita in each of the years 2011 through 2014, from the previous year. b) Now, instead of calculating the annual percentage growth...
The World Bank and United Nations often use the Human Development Index as a measure of...
The World Bank and United Nations often use the Human Development Index as a measure of economic performance. This is a number constructed using the Gross Domestic Product Per Capita, the literacy rate (as a measure of education in society) and the life expectancy (as a measure of the health of people in a society). This is a better measure of country performance, especially in countries with high levels of income inequality. Explain how this is a construct and likely...
What is the GDP, GDP per capita, human development index and changes in these statistics over...
What is the GDP, GDP per capita, human development index and changes in these statistics over time (at least three years) for Panama?
What is the GDP, GDP per capita, human development index and changes in these statistics over...
What is the GDP, GDP per capita, human development index and changes in these statistics over time in Panama (at least three years)? Link to what sources used. Describe HDI in more writing and the purpose of these statistics.
Select one of the United Nations' (U.N.) Millennial Development Goals (MDGs). Visit the website and report...
Select one of the United Nations' (U.N.) Millennial Development Goals (MDGs). Visit the website and report on the UN's progress in achieving this goal? How will meeting this goal positively impact the health of the world? What suggestions would you make to help the UN achieve this goal?
The United Nations Human Development Index (HDI) uses information about a country’s life expectancy at birth...
The United Nations Human Development Index (HDI) uses information about a country’s life expectancy at birth (health), expected years of schooling and mean years of schooling (education), and Gross National Income per capita (standard of living) to create a measure that ranges from 1 (very high) to 0 (very low). For 2017, the United States had a value of 0.924, compared to 0.926 for Canada and 0.922 for the United Kingdom – very similar values, although not the highest of...
The United Nations Human Development Index (HDI) uses information about a country’s life expectancy at birth...
The United Nations Human Development Index (HDI) uses information about a country’s life expectancy at birth (health), expected years of schooling and mean years of schooling (education), and Gross National Income per capita (standard of living) to create a measure that ranges from 1 (very high) to 0 (very low). For 2017, the United States had a value of 0.924, compared to 0.926 for Canada and 0.922 for the United Kingdom – very similar values, although not the highest of...
3. What is development? Sustainable development? We often use real per capita GDP as a proxy...
3. What is development? Sustainable development? We often use real per capita GDP as a proxy for the level of development. What is GDP and real per capita GDP? What are some of the problems with this indicator for measuring development? Why is it still so commonly used?
List three (3) factors that limit the usefulness of real GDP per person as a measure...
List three (3) factors that limit the usefulness of real GDP per person as a measure of the standard of living . Then discuss how these factors affect real GDP per person as a measure of living standards .
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT