2024 · Q51
Level of per capita GDP depends upon which of the following?
- 1Proportion of population in the working age
- 2Work participation rate
- 3Per worker productivity
Select the correct answer using the code given below.
General KnowledgeIndian Economy
- A3 only
- B1 and 3 only
- C1 and 2 only
- D1, 2 and 3
Explanation
Per capita GDP can be decomposed as the product of three factors: the proportion of the population in the working age (1), the work participation rate, i.e. the share of the working-age population actually employed (2), and output per worker, i.e. per-worker productivity (3). A rise in any of these raises per capita GDP. Since all three statements are correct, the answer is (D).