Home | About | Donate

"You Can't Eat GDP": Reminder That Most Workers Are Struggling as Trump and Corporate Media Tout Economic Growth


#1

"You Can't Eat GDP": Reminder That Most Workers Are Struggling as Trump and Corporate Media Tout Economic Growth

Jake Johnson, staff writer

As President Donald Trump and corporate media outlets on Friday enthusiastically touted new GDP figures showing that the U.S.


#2

The GDP (Gross Domestic Product) is a false measure of economic health. All it measures is economic activity, both good and bad.

A better measure of economic health is Gross National Happiness (GNH). Do a search on the web, if you are not sure what the GNH is all about.


#3

Agreed. I’ve been teaching macroeconomics for over 10 years and I always tell my students how lousy GDP is at telling us how the economy is doing.
What it DOES tell us, is that those at the very top are doing quite well. It also tells us that a modest cost-of-living-adjustment may be coming for those on fixed incomes. However, REAL inflation, and REAL Unemployment, as measured by Shadowstats tells a MUCH different picture as to who is benefiting from the economy and who isn’t.


#4

From the article:

“…even in the midst of steadily rising growth, record-breaking corporate profits, and lofty promises from Trump and GOP lawmakers—most workers are not seeing a noticable boost in their paychecks.”

That should put the lie to claims that modern-day corporate capitalism—which would be unrecognizable by Adam Smith—is NOT a zero-sum game.

With that said, GDP numbers are as meaningless to the 99%—and as proudly hyped—as the Dow-Jones Average.


#5

Kinda like measuring the health of your dog by how well fed its fleas are.


#7

An econ teacher using Shadow Stats? Do you know Joan by chance. SMH.


#8

Give people a Universal Basic Income and they don’t have to worry about feeding, clothing, sheltering themselves while starting a business.

https://twitter.com/basicincomeweek


#9

TRUMP FINDS CURE FOR CANCER!!!
MILLIONS CAN COUNT ON LONGER LIVES!!!

Jake Johnson says, “Millions can count on higher lifetime energy bills and more spent on grocery purchases”


#10

economic growth is reported by the BEA on a quarterly basis but the percentages are compared to the previous year (after adjusting for inflation).


#11

The 1%ers think that just because their investments are paying off everyone is getting rich. Can’t fix stupid.


#12

If you want to evaluate where the increase in the BEA report is going, I suggest looking at the national income numbers in the report. There you will find that dividend and rental incomes are surging while income from salary and wages are flat.

Basically, almost all aspects of the economy have been on the same trajectory since the end of the great recession - whether you talk about wage growth, unemployment, GDP, income inequality, etc …


#14

Many anylists have already stated that the 4% number has been artificially inflated by most companies going on a big spending spree on supplies and other inventory anticipating the effects of Trumps pending trade war. They figured that it inflated the current GDP number by at least 1.2 to 1.5%
Again, the video game generation. If you get a result you don’t like, change the rules.


#15

I was in your racket for a time many years ago. You’re spot on.
Back during the Reagan administration many of the economic indicators. Like CPI, GDP, or unemployment, were “adjusted” so as not to reflect any adverse conditions. The CPI doesn’t include the prices of many standard commodities we use every day. That of course helps keep the inflation numbers appearing lower than they really are. GDP is a joke because back then it began counting service sector jobs with the same weight as those in the manufacturing sector. And of course, you’re only counted as unemployed if you are actually collecting unemployment benefits. Once your off, you don’t exist.
Now we have a GDP number that is weighted decidely towards the phony unemployment figures, worker productivity, and of course the dollar value of wages. None of those being a true reflection of the actual economy.
Nothing like moving the goalposts when it suits you.


#16

The unemployment rate calculation has nothing to do with who is or isn’t collecting benefits.


#17

The GOP TAX REFORM was the biggest scam on all of us in modern history which further widened the Wealth Inequlity Gap. Stupid US allowed them to pass this law and now we’re crying about it! Aww, shucks we let them rob us again! We will keep sliding down the Wabbit hole until we get off our lazy asses and fight back physically… which upsets most people.


#18

While you’re at it check out the unhapy Suicide rates starting with the Farmers.


#19

Fleas bite back… People never do!


#20

We … are the stupid 99 percent and refuse to face or take down our enemies!


#22

It has everything to do with it. You are only counted as “unemployed” if you are collecting benefits. Once your benefits are exhausted, you no longer count on the federal rate.
That’s why the true unemployment rate is almost always twice what the reported one is. During the Great Recession it was estimated that the true unemployment rate reached 25%.
Federal employment stats also do not count those who are under-employed, that is, those who used to work full time but can only find part time work. Or people that ar worded to work two low wage jobs to make what they did before.


#23

The UE rate is calculated based off a survey of 60,000 households that the BLS conducts.

Please educate yourself.

https://www.bls.gov/cps/cps_htgm.htm