What does the term 'per capita' mean?

The term 'per capita' is a Latin phrase that translates to 'by heads' or 'for each person.' It is often used in statistics and economics to indicate an average per person in a given population. For example, when calculating income or consumption levels, 'per capita' figures provide insight into the average amount attributed to each individual, allowing for better comparisons across different populations or regions.

Using 'per capita' allows analysts and researchers to understand data on a more individual level, making it more meaningful when assessing issues like quality of life, wealth distribution, or resource consumption. This significance is why understanding the specific context of 'per person' is crucial when interpreting data that utilizes this term.