MGT 3660 Lecture Notes - Lecture 3: Gross National Income, Purchasing Power Parity, Gross Domestic Product
24 Jun 2019
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Chapter 3 national differences in economic development. Lo 3-1 explain what determines the level of economic development of a nation. Lo 3-2 identify the macropolitical and macroeconomic changes occurring worldwide. Lo 3-3 describe how to transition economies are moving toward market-based systems. Lo 3-4 explain the implications for management practice of national difference in political economy. Legal systems to better enforce property rights. Gross national income (gni) measures the total annual income received by residents of a nation. Japan, sweden, switzerland, and u. s. have high gni. China and india have low gni gni does not consider differences in the cost of living need to adjust. Gni figures using purchasing power parity (ppp) Purchasing power parity (ppp) is an adjustment in gross domestic product per capita to reflect differences in the cost of living. Table 3. 1 economic data for select countries. An illustration shows that the overall attractiveness of a country is dependent upon three things:
