Economic Sophistry

Posted: October 24, 2014 in Debt, Economics, Statistics, Uncategorized
Tags: , ,

There will be no end to how much we can lament the state of affairs we find ourselves in, when so much of life is based upon false measures of prosperity

Please read the following articles, with extracts given below;

Why then do we continue to measure ourselves in reference to a rate of economic output that was by definition unsustainable and indeed placed us in such a perilous predicament?

Worse than that, by using our past mistakes to judge our current performance, we condemn ourselves to repeating the cycle

All economic measures are fallible, some are even dangerous

Recently the ONS again rewrote years of ecomonic history by altering the way GDP is measured, bringing in various activities which were previously excluded from how growth is assessed. This fundamentally changed the performance landscape over the last decade and beyond, the following piece by Alister Heath touches on its implications;

The way the national accounts, the GDP statistics and the rest are calculated has been torn up. International statisticians are making a greater effort at including the output of the sex and illegal drug industries and of charities; they are also changing the way research and development and elements of defence spending are accounted for.

Everything we thought we knew about the economy was wrong

 

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s