How Gdp Grows

in #gdp3 days ago (edited)

Unless more value is being created your gdp should not grow. If your gdp is growing despite no increase in value then it’s due to people with lukewarm IQs playing games with numbers
Games that will eventually cause irreparable social harm to the average person
If you aren’t creating more value, your economy should be stagnant. There’s nothing wrong with a stagnant economy if people are living well in it
Japan’s frozen economy was a blessing for its people while it lasted
On the other hand, in the U.S., newsmedia is touting that “the economy is doing well” while it gets harder and harder to live
The fact of the matter is most people cannot afford to give a shit about the GDP. The practical impact of GDP growth on almost all of the population is “haha number go up”

Affording to live, or having an executive’s special little boy who applied to business school in crayon get to win at their game.
If that GDP increase is caused by the actual creation of value, then of course it means people are doing well, not because the GDP is increasing, but because value is being created. The increase of GDP is just a reflection of the same thing improving people’s lives, it isn’t the thing actually doing the improving
The economy “doing well” is a metric that has become a target. terracore