Quote:
Originally Posted by opendoor
It's not an exception. Tax havens and countries with tons of companies headquartered there will tend to have inflated GDPs because economic activity that is largely generated outside the jurisdiction gets credited there.
And no one's dismissing GDP growth; I'm saying it's flawed when comparing different jurisdictions (e.g. Ontario and Mississippi have similar GDP per capitas, therefore the quality of life is comparable). That doesn't mean it's useless or anything, but it should be used to measure what it's intended for, which is a rough approximation of the size of a jurisdiction's economy and how much tax can be raised from it. GDP is not meant to measure welfare; economists have been clear on that forever, and the Statement of National Accounts even devotes much of its first chapter talking about that.
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Some good points relating to GDP and its statistical limitations, but based on other posts you feel that a place like Ireland would be good to dramatically increase government debt since you feel that debt to GDP ratio is a particularly useful measure?
Seems incongruous.