Much of the greater inequality at the global level arises from differences in average incomes among countries.

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Much of the greater inequality at the global level arises from differences in average incomes among countries. Figure 2.3 shows some of these differences. It shows the dollar value of what people can afford each day on average. You can see that in the United States, that number is $153 a day—an average person in the United States can buy goods and services that cost $153. This amount is around five times the world average. The European Union has an average income of around two thirds that of the United States at $104 per day. Income levels fall off quickly as we move farther down the graph, with Russia at $65 a day, China $39 a day, India

$17 a day, and Africa only $11 a day.

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Foundations Of Microeconomics

ISBN: 9780134491981

8th Edition

Authors: Robin Bade, Michael Parkin

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