Literacy rate gdp
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Literacy Rate & GDP PowerPoint PPT Presentation


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Literacy Rate & GDP. The relationship between a country’s economy and its literacy rate. Let’s look at …. What does literacy rate mean?. The percentage of people in a country that can read and write. What in the world is GDP?. Gross Domestic Product

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Literacy Rate & GDP

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Literacy Rate & GDP


The relationship between a country’s economy and its literacy rate.

Let’s look at …


What does literacy rate mean?

  • The percentage of people in a country that can read and write.


What in the world is GDP?

  • Gross Domestic Product

  • The total market value of all final goods and services produced within the country in a given period of time (usually a calendar year).

  • Countries seek to increase their GDP to improve their standard of living


So, what is GDP per capita?

  • Per capita is a measure of wealth

  • Per capita income means how much money each individual would receive IF a country divided its yearly income equally among everyone.

  • Is used to measure a nation’s wealth with the wealth of other nations.


Look at the following chart and try to determine the following …

  • Does the literacy rate of a country seem to have an affect on …

    • GDP per capita?

    • Life expectancy?

    • Industrial production growth rate?


Other factors?

  • Other than the literacy rate, what other factors may affect a country’s GDP per capita?


Other factors that may affect a country’s GDP.

  • Wars

  • Famine

  • Drought

  • Natural disasters


So, how does literacy rate affect the standard of living in countries?

  • Normally, the higher the literacy rate the higher the GDP per capita.


What is the relationship between investment in human capital and GDP?

  • First … what is human capital?

    • The health, strength, education, training, and skills that people bring to their jobs.


Reminder … how can a country invest in human capital?

  • Invest in

    • Education

    • Training in skills

    • Health care


What is the relationship between investment in human capital and GDP?

  • What do you think would be an example of human capital?

  • How can a country invest in human capital?

  • Do you think a country would be wise to invest in human capital?

  • What is the relationship between investment in human capital and the GDP?

  • Do you think our chart supports your answer?


What is the relationship between investment in human capital and GDP?

  • Normally … the more a country invests in human capital, the greater the GDP.


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