Explain why a rise in GDP will lead to a rise in the standard of living

A rise in GDP would lead to a reduction in unemployment creating jobs which will provide consumers with increased income and purchasing power and therefore increase their standard of living. If population is fixed and GDP rises, you can expect to see a rise in GDP per capita, a measure of standard of living.

Answered by Omar B. Economics tutor

3546 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

Define the term PPF and illustrate it.


Explain what is meant by a negative externality and give an example of a negative externality that arises from fuel consumption.


Explain two benefits to the government that falling unemployment provides.


Explain the factors which determine the level of demand for a good or service


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2024

Terms & Conditions|Privacy Policy