I mean it. $40000-$50000 is a farce. We will be floating between $20000-$30000.
Today our nominal per capital is just $1688.
PPP figures does not reflect reality.
As per PPP figures we are an $8 trillion economy. Are we, really ?
Yes, we are 8 trillion economy..: P
If you remind, you have just
reversed the conditions.
Nominal is calculated assuming everywhere, cost of living is equal to the USA.
And PPP was made specially for studying every country's market and economy.
Let's get it with example:
In Nominal terms, Iran's GDP per capita is lower than China but their living standard was better than China.
Similarly,
In Nominal terms, GDP per capitas of China and India:
China: around $7000-7500
India: around $1600-1700
In Nominal terms it shows,
China is roughly 4-5 times richer than India.
Which is obviously not true. If you have a visit to China some day, plwae observe that China's smart cities are world class, but their most of cities just like ours.
It's PPP not nominal which tells the reality.
Happy New Year Anyway. :biggrin2: