Re:What being filthy rich in China looked like in 1, 1000, a...
by Retric on Wednesday October 25, 2023 @11:10PM
(#38021229)
Not really when people talk about GDP abstractly they generally mean PPP or some equivalent of it. It’s just we are often talking in our own currency so it only applies for inflation adjustments.
If you take year X * growth rate you don’t get next years number. IE: 20,460.47 in 2020 * 1.0595 = 21,677.87 but 2021 actually shows 23,315.08 showing a growth rate is calculated in constant dollars not nominal ones.
Nowhere do they say they aren’t directly using the GDP figures on the page to calculate growth rates, it’s just assumed because that’s the way they are generally calculated.
Look at the GDP growth rate at the bottom of this page: https://www.macrotrends.net/countries/USA/united-states/gdp-...
If you take year X * growth rate you don’t get next years number. IE: 20,460.47 in 2020 * 1.0595 = 21,677.87 but 2021 actually shows 23,315.08 showing a growth rate is calculated in constant dollars not nominal ones.
Nowhere do they say they aren’t directly using the GDP figures on the page to calculate growth rates, it’s just assumed because that’s the way they are generally calculated.