How Does GDP Per Capita More Effective Than GDP?

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3. GDP per capita is more effective than GDP nationally because per capita is the total economic output of a country, divided by its total population. This gives you an idea of the output of each person in a range of categories such as each person’s annual income. This can allow the country to change itself in certain areas based off of these statistics. GDP only shows the economic performance of the whole country, mainly for the purposes of comparisons and competition with other countries. 4. In the United States, we are constantly building new infrastructures every day, almost to the point where it seems like there’s infinite land to keep building on. However, as we are creating new infrastructures, we are failing to maintain our old ones.