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The article, and people in general, don’t seem to acknowledge that consumption has increased as well. For example my 795sqft house would not be on the radar of
by StayTrue 4y ago
The article, and people in general, don’t seem to acknowledge that consumption has increased as well. For example my 795sqft house would not be on the radar of most families but it was typical for the area when it was built in 1946. Productivity gains have been directed to increased consumption rather than leisure as Keynes envisioned. If you ask people how much is enough, the answers are often laughable.
To be explicit, I don’t think individual consumption explains the whole story (e.g. inequality and wealth distribution) but normalizing for it paints a clearer picture.