How does real GDP per capita vary across different countries?

Real GDP per capita varies significantly across different countries due to various factors such as economic development, population size, natural resources, technological advancements, and government policies.

Developed countries generally have higher real GDP per capita compared to developing or underdeveloped countries. This is because developed countries have advanced infrastructure, higher productivity levels, better education and healthcare systems, and more efficient institutions. These factors contribute to higher levels of economic output per person.

On the other hand, developing or underdeveloped countries often face challenges such as limited access to capital, inadequate infrastructure, political instability, and high levels of poverty. These factors can hinder economic growth and result in lower real GDP per capita.

Natural resources also play a significant role in determining real GDP per capita. Countries with abundant natural resources, such as oil, gas, minerals, or agricultural land, often have higher real GDP per capita. These resources can be a source of revenue through exports, attracting foreign investment, and stimulating economic growth.

Technological advancements also impact real GDP per capita. Countries that invest in research and development, innovation, and technology adoption tend to have higher productivity levels, leading to increased economic output per person.

Government policies and institutions also influence real GDP per capita. Countries with stable political systems, transparent governance, and favorable business environments tend to attract more investment, promote entrepreneurship, and foster economic growth, resulting in higher real GDP per capita.

Overall, real GDP per capita varies across different countries due to a combination of economic, social, political, and geographical factors. It is important to consider these factors when comparing real GDP per capita across countries as it provides insights into the standard of living and economic well-being of the population.