Re:Chinese economy overtakes the U.S.’s to become the largest
by Zigurd on Friday December 05, 2014 @09:32AM
(#8704649)
PPP is supposed to be about "how well people live" by material measures. But, as you point out, material measures don't always accurately reflect quality of life.
Other people who posted here claim nominal GDP is how you compare nations, but that's got problems, too: Is US overspending on health care really adding to GDP? Is military spending, Homeland Security, cops, prisons, adding to GDP, or those costs and drags on our wealth? Is financialization adding slushy numbers to GDP?
Look at the US productivity numbers. Impressive! But is our spending on health care really productive? Military? Etc. There is a ton of fudge in US economic numbers.
I'm sure China's numbers, with the state enterprises, have a lot of squish to them, too. But the US is overtly fooling itself in many ways.
Other people who posted here claim nominal GDP is how you compare nations, but that's got problems, too: Is US overspending on health care really adding to GDP? Is military spending, Homeland Security, cops, prisons, adding to GDP, or those costs and drags on our wealth? Is financialization adding slushy numbers to GDP?
Look at the US productivity numbers. Impressive! But is our spending on health care really productive? Military? Etc. There is a ton of fudge in US economic numbers.
I'm sure China's numbers, with the state enterprises, have a lot of squish to them, too. But the US is overtly fooling itself in many ways.