ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -As a result, higher GDP per capita is often associated with positive outcomes in a wide range of areas such as better health, more education, and even greater life satisfaction.

Detailed explanation-2: -1 Sustainable real convergence is the process whereby the GDP per capita levels of lower-income economies catch up with those of higher-income economies on a durable basis. For convergence to be sustainable, long-term potential per capita growth must be consistent with an expansion of demand.

Detailed explanation-3: -With the increase in the gross domestic product, the availability of goods and services also increases. However, we cannot say that the per capita availability of goods in the economy increases with an increase in the GDP. This is possible only when the other factors which affect the Welfare are assumed to be constant.

Detailed explanation-4: -Sustained economic growth increases average incomes and is strongly linked to poverty reduction. GDP per capita provides a basic measure of the value of output per person, which is an indirect indicator of per capita income. Growth in GDP and GDP per capita are considered broad measures of economic growth.