it is difficult for company inequality between different global regions to lack credibility.
- Due to inconsistent and sparse data, it is difficult for company inequality between different global regions to lack credibility.
- Global comparisons of poverty are difficult since most countries do not have reliable consumption measures. Price levels vary for every country; hence poverty measurement is difficult.
- It is difficult to compare global GDP per capita since domestic currencies for different countries are different. Currency values also fluctuate in the global market; hence it becomes difficult to estimate the actual size of the economy for comparison. Furthermore, economies have different population density levels. Therefore, a nation with more population produces more goods and services than a nation with less population, increasing the size of GDP pool
- The results are not surprising since we know that the HDI is a better indicator of progress than the GDP is based on a country’s wealth GDP per capita, which indicates only means and not life outcomes. The GDP is higher than HDI since information on social progress or environmental sustainability, and social inclusion is left out. HDI includes standards of life-based on healthcare, basic life amenities, and education
- Measuring economic development is faced with several difficulties as compared to economic growth. To measure economic development correctly, data on per capita income, national income, and per capita consumption should correctly be assessed, which very difficult. Also, not universal measure fit economic development exists to enable global comparisons, but global economic growth can be measured since the GDP of each economy can be established.