ANALYSIS, COMMENTS, THOUGHTS, AND OTHER OBSERVATIONS IN DR. SKOSPLES' NATIONAL INCOME AND BUSINESS CYCLES COURSE AT OHIO WESLEYAN UNIVERSITY
Sunday, January 24, 2010
Call to overhaul economic data
This article is concerned about GDP's credibility to measure the economy's well being. As this articles says, the crime commited in our society adds up to the GDP meaning if some body is spending money to commit a crime it adds up to our well being measure. So new move has to be taken inorder to accomplish a much concrete measure of the economy's "well being". Definitely, the misleading direction of GDP is one dimensional, say we are adding the crime expenses in our GDP computation but we are not adding the loss due to pollution. So the the direction of GDP is one dimensional. In this way, our computation of GDP gets a head start, which is deceptive. Hope this article shows the importance of finding new meaure of computing "well being".
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