Thursday, January 7, 2010

Global Economies

I am taking an economics course about the Economics of Developing Countries. During the course of the first lecture, the Professor informed us that the average global GDP per capital is roughly $8,000. For those of you who are not current in economic terminology, GDP is basically a measure of total economic output. In other words, it is the value of all goods and services created in a particular country. GDP per capita is then simply a countries GDP spread over the country's population and it is a measure of the value of output of each person.

For comparison, the GDP per capita in the US is roughly $37,000. In class we talked today that you must take into account internal services and based on this fact, will factor in the purchasing power which will decrease the gap between the rich and the poor to a minimal extent. However, it is just a reminder of how fortunate we are in the US and also how as much has been given, much is required. So the question I ask myself is what am I doing with what I have been given? This is on my mind because the gap between the rich and the poor continues to grow.

No comments: