A news report stated: "The United States has a GDP Per Capita of $39,400."

What does this statement mean?

The Gross Domestic Product, divided by the U. S. population, is $39,400.
The average cost of all final goods purchased by a U. S. family each year is $39,400.
The gross profit of U. S. exports to other countries equals $39,400 per person.
Salaries earned by the U. S. population average $39,400 per person each year.

The Gross Domestic Product, divided by the U.S. population, is $39,400.

Explanation:

GDP per capita is a unit that measured the total value of production that a country made compared to the number of population that they have.

GDP per Capita is a better measurement to find out a country's productivity compared to using GDP alone.

For example:

Let's say that singapore has 5,6 million citizens. with around 323.9 billion USD  worth of GDP

Indonesia has 1.016 triliun USD worth of GDP, but it has around 250 million citoizens.

Even though Indoneisa produce more goods/services, we can say that Singapore is much more productive compared to Indonesia.

Singapore has the GDP per capita around :

323.9 billion / 5.6 million = $ 57,678

Indoneisa has the GDP per capita around:

1,016 triliun / 250 million = $ 4,064

This means that one Singaporean citizens is around 14 times more productive than indonesians

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