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InefficientRed | 3 years ago

>>>GDP has long been criticized for being a poor metric for the economy. But it's always been correlated enough with overall economic sentiment that it was Good Enough.

>> yes by MMT supporters that want to ignore the classic model of economics in favor of monetary manipulation for political purposes

Huh?

Discussing the utility of and then issues with GDP has been a staple of Macro courses for decades. E.g., [1], but I'm really serious: every single macro textbook for as long as macro textbooks have existed has had some version of the question "Discuss the strengths and weaknesses (i.e., problems) of using GDP data".

[1] https://www.austincc.edu/sondg/Exams/macro/exam2.html

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