Madinsonia has a real gross domestic production (GDP) per capita of $\$ 10,000$.

Which of the following statements can we infer from this information?
Choose 1 answer:
(A) Every person has an income of at least $\$ 10,000$
(B) Every person has an income of exactly $\$ 10,000$
(c) Every person has an income of less than $\$ 10,000$
(D) The average income of a person is $\$ 10,000$, but this might not be the typical person's income
(E) Without knowing the size of the population, we cannot say what a typical person earns

Question

Madinsonia has a real gross domestic production (GDP) per capita of $\$ 10,000$.

Which of the following statements can we infer from this information?
Choose 1 answer:
(A) Every person has an income of at least $\$ 10,000$
(B) Every person has an income of exactly $\$ 10,000$
(c) Every person has an income of less than $\$ 10,000$
(D) The average income of a person is $\$ 10,000$, but this might not be the typical person's income
(E) Without knowing the size of the population, we cannot say what a typical person earns

Accepted Answer

∻Solution by Steps∻ ‖ step 1 ⋮ Understand the definition of GDP per capita: GDP per capita is the average economic output per person and is calculated by dividing the total GDP of a country by its population. ‖ ‖ step 2 ⋮ Interpret the given GDP per capita: A GDP per capita of $10,000 means that, on average, each person contributes $10,000 to the nation's total economic output. ‖ ‖ step 3 ⋮ Analyze the answer choices: We need to determine which statement can be inferred from the average income represented by GDP per capita. ‖ ‖ step 4 ⋮ Eliminate incorrect answer choices: (A) and (B) are incorrect because GDP per capita is an average, not a minimum or exact income. (C) is incorrect because it is possible for some individuals to have an income greater than $10,000. (E) is incorrect because the population size is not required to interpret the average income from GDP per capita. ‖ ‖ step 5 ⋮ Identify the correct answer: (D) is correct because it acknowledges that GDP per capita is an average, which may not represent the typical income due to income inequality. ‖ ∻Answer∻ ***D*** ∻Key Concept∻ ⚹GDP per capita as an average⚹ ∻Explanation∻ ⚹GDP per capita is the average economic output per person and does not reflect the distribution of income among individuals.◊What statistical concept is being illustrated by the information provided about the GDP per capita of Madinsonia?⍭ Generate me a similar question◊$⚹

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