Question

Robert Summers and Alan Heston published data for 130 countries that used purchasing power parity, rather than market exchange rates, to compare GDP across countries. As a result, measured per capita incomes of developing countries rose relative to per capita incomes in developed countries. This is most likely because:___________

Answer 1

Prices of standard goods in developing country is generally lower than prices of goods in developed countries.

Step-by-step explanation: