Tuesday, January 17, 2012

Real what??

The fascination with the idea that higher GDP = better standard of living masks the harsh reality for the vast majority of the denominator: average national output doesn't translate to  "real" incomes for the bulk of the people. 

Don't believe me? Ask the vast majority of the people in China or India if due to their increased output, their real "incomes" have gone up by ~50% or ~35% in the last 5 years.