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GDP Comparisons

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Why is the USA's GDP so much higher than that of Mexico's? Would the same reasons apply when we compare the USA's GDP to Canada's GDP?

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Solution Summary

This solution explains why the USA GDP is so much higher than that of Mexico's and if the same reasons would apply when we compare the USA's GDP to Canada's GDP.

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When we compare the GDP between the U.S. and another country or between any two countries, we have to take several factors into account. The U.S. has more workers than Mexico, so it would be expected that the GDP is higher in the U.S. More workers means being able to produce more. Also, the U.S. has workers that are more skilled and have a greater degree of specialized ...

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