Essay On Standard Of Living

873 Words2 Pages

INTRODUCTION
One of the main goals of many countries is to increase the quality of living in their territory. To achieve that, they have to increase the closely related standard of living.
Standard of living refers to the economic well-being of people. It incorporates material comforts, ease of living, and opportunities for personal satisfaction
It also includes factors such as income, quality and availability of employment, class disparity, gross domestic product, inflation rate, number of vacation days per year, affordable access to quality healthcare, quality and availability of education, life expectancy, incidence of disease, poverty rate, quality and affordability of housing, hours of work required to purchase necessities, cost of goods and services, infrastructure, national economic growth, economic and political stability, political and religious freedom, environmental quality, climate and safety.
When talked about the standard of living is usually used in a relative context: for example by comparing one country to another or by comparing the standard of living of a single country in two different periods.
To be able to increase standard of living a country needs to pay attention to different factors.

MEASUREMENTS

To decide wich factors are relevant for the increase, it is important to first define how the standards of living are measured. The most commonly used measure is the national output per capita, usually measured as GDP (Gross Domestic Product), or GNP (Gross National Product per capita).
The market value of final goods and services that are produced in the country’s territory during a given year is measured by the GDP.
GNP measures the market value of final goods and services produced by the country’s reside...

... middle of paper ...

...c input such as machines, workers and natural resources like minerals ,land,oil.
Economic growth, or the growth in the quantity and quality of the goods and services produced, can thus be achieved by ìincreases in the quantity or quality of economic inputs, or by improvements in how the economic inputs are combined to produce output.
Additional machines and worker-hours are examples of increases in the quantity of economic inputs. Better machines, new techonologies and higher-skilled workers are examples of increases in the quality of the economic inputs. Another way to produce more services and goods is by improving the way the inpunts are combined or by increasing efficiency that is associated with learning-by-doing, gradual improvements in how machinery and workers are organized and utilized, and increased specialization made possible by the expansion of markets.

Open Document