GDP Is An Insufficient Measure Of True Economic Growth By Luis Miranda

Economic growth has bee at zero percent or lower for two or three years in a row in most of the western world. Cooked government numbers say that most so-called western powers have grown at 0.2% and that the recession that began in 2009 is over.

In Europe, the Spanish government has been short of organizing a parade, because according to its officials, the crisis has ended and economic growth is an imminent outcome.

In the United States, the Obama adminstration continues to publish unreal emloyment figures that celebrate the creation of a few thousand jobs while tens or hundreds of thousands of people lose theirs every quarter.

But perhaps the direst economic situation is taking place in Latin America, a region that has historically been punished on two fronts.

First, imperialist policies imposed by Europe and the United States whose consequences are widespread poverty and misery, and second, stratospheric levels of corruptiion carried out by so-called leaders who present themselves and their fraudulent agendas as the only solution to imperialism.

Economic growth has always been measured by how high the growth domestic product of a country is or will be in the near future, however, this is a flawed strategy.

Although GDP is a reflection of Consumption, Private Investment, Government spending, Exports and Imports, it leaves out an even more important factor that must be considered when measuring real economic growth: distribution of growth.

Read more