Essay on Difference in High, Middle and Low Income Countries.

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According the to World Bank a countries income level is determined by it’s Gross National Product (GNP) per capita, which is the value of all final goods and services produced in a country in one year (gross domestic product) plus income that residents have received from abroad, minus income claimed by nonresidents divided by its population.("How We Classify Countries,") This measure is an indication of how well the population in a country lives. When comparing country income levels there are several differences that can be found between each group, listed in order of examination they are GNP per capita, political stability, life expectancy, and access to education.
High income countries have a GNP per capita of $12,196 or higher, one way
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(de Haan, 1996) Many middle income countries have fairly stable political systems; however coups and regime changes do occur. This has a negative affect on economic growth and is an indicator that GNP will be lower than otherwise possible. Life expectancy in the countries also tends to be lower than in high income countries. In middle income countries the life expectancy is around 50 years.(Dwyer, 2005) The main reasons that populations in middle income countries experience shorter life expectancy are reduced access to healthcare, substandard living conditions and lack of variety in diet.
Educational attainment in middle income countries is restrictive, for most citizens education beyond primary school is beyond their grasp. Although it is well established that one of the strongest predictors for a country’s economic growth is the education level of its population many middle income countries simply can not afford to make the necessary changes to their respective countries education systems. Education reform would require a monstrous amount of funding, with issues like infrastructure improvement, and financial market instability on these countries policy agendas, education reform isn’t the focus. (de Haan, 1996)
Low income countries have a GNP per capita of $995 or less, this translates into stark poverty on a massive scale.(de Haan, 1996) With populations experiencing income at this level most of their potential productivity is not
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