Which one among the following countries has the lowest GDP per capita?

a) China

b) India

c) Indonesia

d) Sri Lanka

India has the lowest GDP per capita. GDP is the total money value of all final goods and services produced within the geographical boundaries of the country during a given period of time.

GNP (Gross National Produce) = GDP + X - M

where X = income earned and received by nationals within the boundaries of foreign countries

and M = Income received by foreign nationals from within the country.

GNP is based on market prices of produced goods which includes indirect taxes and subsidies. Net National Product (NNP) can be calculated in two ways- (i) at market prices of goods and services (ii) at factor cost. When NNP is calculated at factor cost, it is known as National Income

NNP at factor cost or National Income = NNP at = NNP_NP - Indirect Taxes + Subsidy

Economic Growth is closely related with the increase in national and per capita income. If population of a country increases in a greater proportion than the national income, the per capita income is bound to decline. percapita income will increase only if rate of growth of national income is greater than rate of growth of population.