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The table shows the GDP, gross national income (GNI) per capita, and HDI of several countries.

\begin{tabular}{|l|l|l|l|}
\hline
\multicolumn{1}{|c|}{Country} & \multicolumn{1}{|c|}{GDP} & \multicolumn{1}{|c|}{GNI per capita} & \multicolumn{1}{c|}{HDI} \\
\hline
China & 2 & 77 & 101 \\
\hline
India & 10 & 124 & 136 \\
\hline
Norway & 23 & 1 & 1 \\
\hline
Luxembourg & 72 & 3 & 26 \\
\hline
\end{tabular}

What does the table show about the relationship between different measures of development?

A. HDI depends mostly on geographic location.
B. GDP and GNI per capita are completely unrelated measures.
C. GDP and HDI are completely unrelated measures.
D. GNI per capita better reflects standard of living than GDP.

Sagot :

To determine the insights provided by the table about the relationship between different measures of development, we'll analyze each statement given:

1. HDI depends mostly on geographic location:
- The table shows that countries with different geographic locations can have similar HDI ranks. For instance, both China (HDI: 101) and India (HDI: 136) are in Asia but have significantly different HDI ranks. Norway (HDI: 1) and Luxembourg (HDI: 26) are both high on the HDI ranking but are in different parts of Europe.
- Conclusion: HDI does not depend mostly on geographic location.

2. GDP and GNI per capita are completely unrelated measures:
- GDP and GNI per capita both measure economic performance but in different ways. GDP measures the total economic output of a country, while GNI per capita takes into account the income of residents, which considers income distribution.
- For instance, despite Luxembourg having the highest GDP (72), its GNI per capita is also quite high (3), suggesting a prosperous population.
- Conclusion: GDP and GNI per capita are related measures as they both indicate economic prosperity but from different perspectives.

3. GDP and HDI are completely unrelated measures:
- GDP measures economic output, while HDI is a composite index that considers life expectancy, education, and per capita income.
- Countries like Norway and Luxembourg have high GDP values and also high HDI values, indicating that higher economic output can contribute to higher development indicators. However, this is not always linear as India has a reasonable GDP but lower HDI values.
- Conclusion: GDP and HDI are not completely unrelated, but the relationship is not direct.

4. GNI per capita better reflects the standard of living than GDP:
- GNI per capita considers income distribution and personal income, which more directly influences the standard of living. For example, Norway has the highest GNI per capita (1) and the highest HDI (1), indicating a strong standard of living.
- Conclusion: GNI per capita does indeed better reflect the standard of living than GDP.

Hence, after careful analysis, the correct conclusion derived from the table is: GNI per capita better reflects the standard of living than GDP.
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