Quality of Life versus GDP in America
by bruh3, Thu Oct 29, 2009 at 06:44:55 AM EDT
Economic indicators are funny things. If you measure the right thing, they can tell you that even in bad times for most Americans that things are going well. In my previous diary, I discussed the great risk shift from multinational corporations to the average American citizen. Now, I would like to take the discussion in a different direction by looking at why we do not notice this great risk shift. One of the reasons we do notice the shift is the use of GDP as the primary indicator for the state of our economy. Indeed, right now, the GDP has begun to grow for the first time in a year. It stands up 3.5 percent.
The problem, however, in the number is several folds. One it does not address job creation, kind of jobs created or wage stagnation/deflation. Two, it does not address what is being left out of the equation, which is the subject matter of this diary. Thus, the GDP is as interesting for what it leaves out as what it puts into the equation. However, we rarely have that discussion in America. For these reasons, I advocate that we look at the Quality of Life Index to see where our country really is for the bulk of Americans in our economy.






