Per capita income means how much each individual receives, in monetary terms, of the yearly income generated in the country. This is what each citizen is to receive if the yearly national income is divided equally among everyone. Per capita income is usually reported in units of currency per year. When comparing nations per capita income reflects gross national product per capita income, but it is also used to compare municipalities within nations. When determining the per capita income of a community, the total personal income is divided by the population. Total personal income is defined by the United States ' Bureau of Economic Analysis as income received by persons from all sources

Per capita income as a measure of wealth

Per capita income is often used as a measure of the wealth of the population of a nation, particularly in comparison to other nations. Income, refers to consumption opportunity gained by an entity within a specified time frame which is generally expressed in monetary terms It is usually expressed in terms of a commonly-used international currency such as the Euro or United States dollar, and is useful because it is widely known and produces a straightforward statistic for comparison. Please update other articles as well to avoid contradiction within Wikipedia e The United States dollar ( sign: $; code: USD) is the unit of Currency of the United States; it has also been It is the average income a person in the country is earning.

Particularly when comparing countries with substantially different levels of wealth, however, it has several weaknesses as a measurement.

• Economic activity that does not result in monetary income, such as services provided within the family, or for barter, are usually not counted. The importance of these services will vary widely between different economies, both between countries and among different groups within a country. See: Informal economy

• Per capita income gives no indication of the distribution of that income within the country, so a small wealthy class can increase the measured per-capita income far above that of the majority of the population. In Economics, the term informal economy (or second economy in the South African context refers to all economic activities that fall outside the formal As for the per capita income of the majority of the population, using the median income or Amartya Sen's welfare function is the more appropriate approach. In Probability theory and Statistics, a median is described as the number separating the higher half of a sample a population or a Probability distribution Amartya Kumar Sen CH (Hon (অমর্ত্য কুমার সেন Ômorto Kumar Shen) (born 3 November 1933) is an Indian In economics a social welfare function can be defined as a real-valued function that ranks conceivable social states (alternative complete descriptions of the society See: Income inequality metrics

• Differing currency exchange rates between countries mean that a given amount of money (for example, one US dollar) has differing values in different places. Income inequality metrics or income distribution metrics are techniques used by economists to measure the distribution of Income and Economic inequality In Finance, the exchange rates (also known as the foreign-exchange rate, forex rate or FX rate) between two currencies specifies how See: Purchasing power

See also

• Total personal income
• List of countries by GDP (nominal) per capita - GDP at market or government official exchange rates per inhabitant
• List of countries by GDP (nominal) - GDP with currencies converted at market exchange rates
• List of countries by GDP (PPP) - GDP calculated at purchasing power parity (PPP) exchange
• List of countries by GDP (PPP) per capita
• List of countries by GNI per capita
• Lending
• Purchasing power parity

Purchasing power is the amount of value of a good/services compared to the amount paid with a Currency. Total personal income is defined by the United States ' Bureau of Economic Analysis as income received by persons from all sources This article includes three lists of Countries of the world sorted by their Gross domestic product Per capita at Nominal values, the PLEASE NO RANDOM FIGURES THERE ARE NO FIGURES BASED ON NATIONAL STATISTICS IN THIS ARTICLE There are three lists of Countries of the world sorted by their Gross domestic product (GDP (the value of all final goods and services produced within a nation The purchasing power parity ( PPP) theory uses the long-term equilibrium Exchange rate of two currencies to equalize their Purchasing power. This article includes three lists of Countries of the world sorted by their Gross domestic product (GDP at Purchasing power parity (PPP Per capita This is a list of countries by Gross National Income per capita in 2006, according to the Atlas Method, an indicator of income developed by the Credit is the provision of resources (such as granting a Loan) by one party to another party where that second party does not reimburse the first party immediately thereby generating The purchasing power parity ( PPP) theory uses the long-term equilibrium Exchange rate of two currencies to equalize their Purchasing power.

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