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And me not working due to broken legs is somehow not relevant to the GDP? My capital being misallocated is not relevant to GDP? I think your example is quite li
by RandomLensman 3y ago
And me not working due to broken legs is somehow not relevant to the GDP? My capital being misallocated is not relevant to GDP? I think your example is quite likely to lower GDP...
- orwin 3y agoUnless you earn more than the 200k the doctor was paid plus the 50k Fat Tony rightfully earned, the GDP grew.
- deleted 3y ago[deleted]
- vkou 3y ago> My capital being misallocated is not relevant to GDP? It's not. If I steal a million dollars from you, the net impact on GDP is ~0. Hell, if you were keeping it in your mattress, and I spend it on drugs and parties, GDP will actually go up. GDP is a useful number, but it's not the only useful number.
- RandomLensman 3y agoIf you steal 1 million out of my payroll account, GDP might go down because I might close my shop, for example. It really is not so simple. Could one carefully construct examples, sure, does that scale - not so much.