Per capita income is calculated by dividing the total income of a country to the total population of that particular country. It shows the standard of living of the citizens of that particular country. A country with higher per capita income is more developed than others with less per capita income. But countries of the Middle East not called ‘developed’ in spite of high per capita income.
The reasons are listed below:
- Middle Eastern countries have become rich only with the resources available and they have high per capita income due to the oil production. So, they have only one major source of income.
- Although these countries have very high per capita income, there is an unequal distribution of wealth. The gap between the rich and the poor is very high in these countries.
- These countries are not considered developed because they lack other basic facilities such as health care and education. Without these basic facilities people of a country cannot contribute much to the national income and thus no development takes place.
