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GDP is not a good indicator of the economy. GDP per capita / median salary should be the metric. Otherwise, they’ll keep saying the economy is doing great whi
by alexfromapex 3y ago
GDP is not a good indicator of the economy.
GDP per capita / median salary should be the metric. Otherwise, they’ll keep saying the economy is doing great while the owner class takes all the profits for themselves.
- prepend 3y agoGDP is a good indicator, it’s not the only. It’s meant to measure the overall size of the economy and it does that pretty well, especially over time.
- alexfromapex 3y agoMy point is that just growing the size of the economy doesn’t necessarily effect the average worker’s economic situation
- xkekjrktllss 3y agoSo what? There is no reason why an average American worker should be concerned with the GDP.
- prepend 3y agoThey would care because it’s an overall indicator of economic health and might affect perception of interest rates, interest rates will affect their credit card bill, and any new loans. It’s lot like they should watch it on a day to day level, but it’s part of basic financial literacy that every American worker should have.
- ThunderSizzle 3y agoInterest rates are based solely on the rate set by the Fed. Find me an interest rate not pegged to the Fed rate in some way, as opposed to GDP.
- prepend 3y agoOne of the major influencers on the Fed setting rate is GDP. I don’t think GDP is a direct factor to specific things in people’s lives. It’s a macro indicator. It’s still useful to know and relevant to our lives. Or maybe another way to say it is that there are many things directly relevant to our lives and they are all part of GDP.