can anyone explain to me why is gdp per capita is different from country to another, in simple words ?

Answer 1

First understand what is GDP per capita. It is GDP per person in the said area. It is calculated by dividing Gross Domestic Product of the nation by its populations i.e GDP/Total Population. And we know that every country has a different population. Therefore the result is different from nation to nation. Lets take an example: GDP of Country A is $10,000 and its population is 50. GDP of country B is $20,000 and its population is 200. GDP per capita for country A is 10000/50=$2000 and for country B is 20000/200= $1000.

Answer 2

Let's say there are two families ie A and B. Say,there are 5 members in the family and their total income is ,say $50000.00 per year which works out to be $10000.00 per person.Family B has an annual income of ,say 72000.00 and has 6 members and their per person income is $12000.00 per year.If we take the income to be the gross domestic product and divide by it's population,that becomes GDP per capita.In our example,in the family A,GDP per capita is $10000.00,which is different from the other family(nation).It's a most simple example.