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16 October 2014
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Economic Indicators
Economic indicators are used to assess how economically developed a country is. They can give some sense of how wealthy a country’s people are and how they actually earn that wealth.
This section features several economic indicators. Scroll down and click on the text link for each indicator to get more information on each. There is also an exercise to attempt in this section. Click on the link button to go to the exercise.
Photo. Uzbek weaver.
Gross Domestic Product (GDP) -
This is the economic value of all the goods and services produced and provided by that country during the course of one year divided by the number of people in the country. The final amount is worked out in US dollars and gives an idea of the strength of the economy. The higher the GDP the more developed a country is likely to be. The UK has a GDP of $22,800 per person per year. Pakistan, by comparison, has a GDP of around $2,000 per person.8 Click the mouse button to learn more. more
Vehicles per 1,000 people -
Cars and motor vehicles are expensive and therefore they are a good indication of the wealth and development of a country. Efficient transport is also essential for the complex, fast-moving economies of developed nations. The UK has around 400 vehicles per 1,000 people. China has only around 8 vehicles per 1,000 people.9 Click the mouse button to learn more more.
Telephones per 1,000 people -
This is how many phones there are for every 1,000 people of the population. Phones are an essential means of communication for individuals and businesses in developed countries. They are not so common, or useful, in poor, rural developing nations. The UK has around 500 phones per 1,000 people. Cambodia has around 1 phone per 1,000 people.10 An average secondary school in Scotland would have more phones than a city the size of Edinburgh in a poor country. Click the mouse button to learn more.
Percentage of People Employed in Agriculture -
It is industry that creates wealth for nations and so the rich, developed nations tend to have more people working in industry. A low number of people working in agriculture is an indication that a country is developed. The UK has only 2% of the workforce employed in agriculture. Vietnam, meanwhile, has 72% of its workforce employed in agriculture.11 Click the mouse button to try this exercise. You might want to view the other indicators before attempting this.
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