Comparing Incomes Across Countries Based on Per Capita GNP Figures

question 13

Multiple Choice

Comparing incomes across countries based on per capita GNP figures that have been converted to dollars using the exchange rate

• A) is considered to be the best way to compare living standards across countries.
• B) is a method of comparison that takes into account unequal distribution of income in a country.
• C) accurately reflects differences in purchasing power across countries.
• D) may not accurately reflect differences in purchasing power across countries.

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Definitions:

Ounce

A unit of weight in the avoirdupois system, equivalent to 28.3495 grams, commonly used in the United States and the United Kingdom.

16 Oz

A unit of weight or volume in the Imperial and U.S. customary systems, equivalent to one pound or about 0.473 liters.

Centi-

A prefix used in the metric system denoting a factor of one hundredth (1/100) of a unit.

0.01

A numerical value representing one hundredth, often used in statistics, measurements, and as a decimal in mathematical calculations.