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Why do you think average income is an important criterion for development?
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Why do you think average income is an important criterion for developm...
Introduction:
Average income is a significant criterion for measuring development as it provides insights into the economic well-being of a country's population. It reflects the average earnings of individuals or households in a given area and can be used as an indicator to assess the overall standard of living and economic progress.

Key Points:
1. Standard of Living:
Average income serves as a key determinant of the standard of living in a country. It indicates the purchasing power of individuals, their ability to access basic necessities, and their overall quality of life. Higher average incomes often correlate with better access to healthcare, education, housing, and other essential services.

2. Economic Growth:
Average income is closely linked to economic growth. When the average income rises, it signifies an increase in production and productivity within a country. Higher incomes allow individuals to spend more, stimulating demand for goods and services, which, in turn, encourages economic growth. Thus, average income acts as an indicator of the economic well-being and progress of a nation.

3. Income Distribution:
Average income also provides insights into income distribution within a country. It helps identify disparities and inequalities that may exist among different segments of the population. If the average income is significantly higher than the median income, it suggests a concentration of wealth in a few hands, indicating income inequality. Addressing such disparities is crucial for sustainable development and social harmony.

4. Poverty Alleviation:
Average income is vital for assessing poverty levels and implementing effective poverty alleviation measures. It helps identify the proportion of the population living below the poverty line and enables policymakers to design targeted interventions to uplift the economically disadvantaged. By monitoring changes in average income, governments can evaluate the impact of poverty reduction programs and make necessary adjustments.

5. International Comparisons:
Average income allows for comparisons between countries' economic development levels. It provides a standardized measure that can be used to compare the economic well-being of different nations. Such comparisons are essential for policies, trade agreements, and international cooperation, enabling countries to learn from one another's experiences and adopt effective development strategies.

Conclusion:
In conclusion, average income is a crucial criterion for development as it reflects the standard of living, economic growth, income distribution, poverty alleviation efforts, and facilitates international comparisons. By monitoring and addressing average income levels, policymakers can work towards sustainable development, reduce inequalities, and improve the overall well-being of the population.
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Read the source given below and answer the questions that follows:For comparing countries, their income is considered to be one of the most important attributes. Countries with higher income are more developed than others with less income. This is based on the understanding that more income means more of all things that human beings need. Whatever people like, and should have, they will be able to get with greater income. So, greater income itself is considered to be one important goal. The income of the country is the income of all the residents of the country. This give us the total income of the country. However, for comparison between countries, total income is not such a useful measure. Since, countries have different populations, comparing total income will not tell us what an average person is likely to earn. Are people in one country better off than others in a different country? Hence, we compare the average income which is the total income of the country divided by its total population.The average income is also called per capita income.In World Development Reports, brought out by the World Bank, this criterion is used in classifying countries. Countries with per capita income of US$ 12,056 per annum and above in 2017, are called rich countries and those with per capita income of US$ 955 or less are called low-income countries. India comes in the category of low middle income countries because its per capita income in 2017 was just US$ 1820 per annum. The rich countries, excluding countries of Middle East and certain other small countries, are generally called developed countries.Human Development Report published by UNDP compares countries based on the educational levels of the people, their health status and per capita income.Q. What is the main criterion used by the World Bank in classifying different countries?

Read the source given below and answer the questions that follows:For comparing countries, their income is considered to be one of the most important attributes. Countries with higher income are more developed than others with less income. This is based on the understanding that more income means more of all things that human beings need. Whatever people like, and should have, they will be able to get with greater income. So, greater income itself is considered to be one important goal. The income of the country is the income of all the residents of the country. This give us the total income of the country. However, for comparison between countries, total income is not such a useful measure. Since, countries have different populations, comparing total income will not tell us what an average person is likely to earn. Are people in one country better off than others in a different country? Hence, we compare the average income which is the total income of the country divided by its total population.The average income is also called per capita income.In World Development Reports, brought out by the World Bank, this criterion is used in classifying countries. Countries with per capita income of US$ 12,056 per annum and above in 2017, are called rich countries and those with per capita income of US$ 955 or less are called low-income countries. India comes in the category of low middle income countries because its per capita income in 2017 was just US$ 1820 per annum. The rich countries, excluding countries of Middle East and certain other small countries, are generally called developed countries.Human Development Report published by UNDP compares countries based on the educational levels of the people, their health status and per capita income.Q. The compares the development of the countries on the basis of literacy rate, gross enrolment ratio and health status of their people.

Read the source given below and answer the questions that follows:For comparing countries, their income is considered to be one of the most important attributes. Countries with higher income are more developed than others with less income. This is based on the understanding that more income means more of all things that human beings need. Whatever people like, and should have, they will be able to get with greater income. So, greater income itself is considered to be one important goal. The income of the country is the income of all the residents of the country. This give us the total income of the country. However, for comparison between countries, total income is not such a useful measure. Since, countries have different populations, comparing total income will not tell us what an average person is likely to earn. Are people in one country better off than others in a different country? Hence, we compare the average income which is the total income of the country divided by its total population.The average income is also called per capita income.In World Development Reports, brought out by the World Bank, this criterion is used in classifying countries. Countries with per capita income of US$ 12,056 per annum and above in 2017, are called rich countries and those with per capita income of US$ 955 or less are called low-income countries. India comes in the category of low middle income countries because its per capita income in 2017 was just US$ 1820 per annum. The rich countries, excluding countries of Middle East and certain other small countries, are generally called developed countries.Human Development Report published by UNDP compares countries based on the educational levels of the people, their health status and per capita income.Q. Per capita income is also called as

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