Which Country Has the Highest GDP Per Capita?
GDP per capita is a measure of the average income earned in a country, adjusted for the size of its population. It’s an important indicator of a country’s overall economic well-being, and a key factor in determining a nation’s standard of living. So which country has the highest GDP per capita? Let’s take a look.
What is GDP Per Capita?
GDP per capita (Gross Domestic Product per capita) is a measure of the total economic output of a country, divided by its population. It is used to compare the economic performance of different countries across the world. GDP per capita is usually expressed in terms of International Dollars, which accounts for differences in purchasing power among different countries.
Why Is GDP Per Capita Important?
GDP per capita is an important indicator of the economic well-being of a country, as it takes into account both the total economic output of the nation, as well as its population. GDP per capita is considered to be a good measure of a country’s standard of living, as it reflects how much of the country’s resources its citizens receive on a per capita basis.
Which Country Has the Highest GDP Per Capita?
The highest GDP per capita in the world is held by Qatar, with a GDP per capita of $138,900 as of 2020. This is significantly higher than the second-ranked country on the list, which is Luxembourg with a GDP per capita of $109,176. Qatar’s position at the top of the list comes as no surprise, as it boasts the world’s third-largest natural gas reserves, and its economy is heavily dependent on exports of oil and gas.
Top 10 Countries With the Highest GDP Per Capita
Below is a list of the 10 countries with the highest GDP per capita as of 2020:
- Qatar – $138,900
- Luxembourg – $109,176
- Singapore – $106,705
- Brunei – $86,347
- Macao SAR – $79,704
- Ireland – $77,638
- Norway – $75,164
- Switzerland – $74,903
- United Arab Emirates – $71,517
- San Marino – $64,318
What Factors Contribute to a Country’s High GDP per Capita?
There are several factors that can contribute to a country’s high GDP per capita. These include:
• A large endowment of natural resources. Qatar’s large reserves of oil and natural gas are primarily responsible for its high GDP per capita.
• Low population density: Countries with low population densities tend to have higher GDP per capita due to the fact that they have fewer people to share the resources of the country.
• Free trade agreements: Free trade agreements between countries can help to open up markets and increase the flow of goods and services. This can help to boost a country’s GDP per capita.
• High level of education: Highly educated populations tend to have higher levels of knowledge and can contribute more to their country’s economy.
• Low costs of labor: Countries with low costs of labor can produce high levels of output with limited inputs, resulting in higher GDP per capita.
GDP per capita is an important measure of a country’s economic performance and standard of living. Qatar has the highest GDP per capita in the world at $138,900 as of 2020, with Luxembourg coming in second with a GDP per capita of $109,176. Factors contributing to a country’s high GDP per capita include a large endowment of natural resources, low population density, free trade agreements, high level of education, and low costs of labor.
