AGB 302 Chapter Notes - Chapter Chapter 3: Gross National Income, Amartya Sen, Cost Overrun
Document Summary
What determines a country s level of economic development. Gross national income (gni) per person measures the total annual income received by residents of a nation. Japan, sweden, switzerland, and the us have a high gni. Gni can be misleading since it doesn t consider differences in cost of living. Need to adjust gni figures using purchasing power parity (ppp) Official figures can also be misleading bc they do not account for black economy transactions. In addition, gni and ppp data are stats & dont consider economic growth rates (cid:12254) But, growing rapidly than many nations they re expected to become some of the largest economies in the world. Argues econ development should be seen as a process of expansion for the real freedoms people exp. The removal of major impediments to freedom like poverty, tyranny, and neglect of public facilities. She claims econ progress req. democratization of political communities to give citizens a voice.
