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General Category => Off the Record => Topic started by: mongers on July 09, 2016, 08:07:53 PM

Title: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: mongers on July 09, 2016, 08:07:53 PM
I'm interested in how you see yourself in relation to your country's GDP or GNP, do you cumulative economic choices as a driver or or a brake on it's growth? 

Me, I've gotten pretty bad at keeping my end of the Faustian bargain, after housing costs and bills, I often really struggle to be bothered about being involved in the consumer society.  So I'm a definite brake.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Monoriu on July 09, 2016, 08:47:25 PM
I don't understand.  My impression, which may be wrong, is that every dollar spent in the economy adds to GDP.  So everybody is a driver, the only difference is to what extent. 
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Razgovory on July 09, 2016, 10:03:41 PM
When I was in school I used to throw away nickels to fight inflation.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Admiral Yi on July 09, 2016, 11:53:49 PM
Quote from: Monoriu on July 09, 2016, 08:47:25 PM
I don't understand.  My impression, which may be wrong, is that every dollar spent in the economy adds to GDP.  So everybody is a driver, the only difference is to what extent.

I think he's asking how much discretionary consumer spending do you do.  How much stuff (or services, like luxurious overseas vacations) that you don't need do you buy.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Monoriu on July 10, 2016, 02:19:02 AM
Quote from: Admiral Yi on July 09, 2016, 11:53:49 PM
Quote from: Monoriu on July 09, 2016, 08:47:25 PM
I don't understand.  My impression, which may be wrong, is that every dollar spent in the economy adds to GDP.  So everybody is a driver, the only difference is to what extent.

I think he's asking how much discretionary consumer spending do you do.  How much stuff (or services, like luxurious overseas vacations) that you don't need do you buy.

Or is he asking about the percentage of money that we spend?  Someone who lives below his means and puts a large chunk of his income into savings could be interpreted as a "drag" on the economy.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Zanza on July 10, 2016, 06:14:33 AM
Quote from: Admiral Yi on July 09, 2016, 11:53:49 PMlike luxurious overseas vacations
Do these add to the home nation's GDP?
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: DGuller on July 10, 2016, 08:48:19 AM
There aren't that many people that are a brake on GDP.  These kinds of people are either criminals, or part of parasitic professions (the ones that destroy $200k of value to earn $100k).
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Admiral Yi on July 10, 2016, 01:49:49 PM
Quote from: Zanza on July 10, 2016, 06:14:33 AM
Do these add to the home nation's GDP?

No.  Except maybe the transpo.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: The Brain on July 10, 2016, 01:51:08 PM
I'm an excellent driver.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: crazy canuck on July 10, 2016, 01:52:53 PM
Quote from: DGuller on July 10, 2016, 08:48:19 AM
(the ones that destroy $200k of value to earn $100k).

Accountants are not overpaid that much are they  :(
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: crazy canuck on July 10, 2016, 02:01:40 PM
Quote from: Admiral Yi on July 09, 2016, 11:53:49 PM
Quote from: Monoriu on July 09, 2016, 08:47:25 PM
I don't understand.  My impression, which may be wrong, is that every dollar spent in the economy adds to GDP.  So everybody is a driver, the only difference is to what extent.

I think he's asking how much discretionary consumer spending do you do.  How much stuff (or services, like luxurious overseas vacations) that you don't need do you buy.

Probably.  In those terms I don't spend much generally.  As my income increased I have not felt the need to surround myself with a lot of the status symbols that seem to be attractive to many of my peers.  So in that regard I am probably a drag on GDP (although my favourite BC Wineries, local restaurants, butcher, grocer etc might think otherwise  :D )

I spend a lot of time providing pro bono advice to a number of non profits.  That is also probably a drag on GDP since they don't have to otherwise purchase those services.  But it probably also saves the state and taxpayer a lot in the long run.  So I would like to think I am a net contributor to society aside from the taxes I pay.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: MadImmortalMan on July 10, 2016, 03:01:27 PM
Quote from: DGuller on July 10, 2016, 08:48:19 AM
There aren't that many people that are a brake on GDP.  These kinds of people are either criminals, or part of parasitic professions (the ones that destroy $200k of value to earn $100k).

Even those can technically be a positive. Destroying something nobody needs that is valued at 200k in order to build something useful valued at 100k is not really a loss.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: DGuller on July 10, 2016, 03:07:50 PM
Quote from: MadImmortalMan on July 10, 2016, 03:01:27 PM
Quote from: DGuller on July 10, 2016, 08:48:19 AM
There aren't that many people that are a brake on GDP.  These kinds of people are either criminals, or part of parasitic professions (the ones that destroy $200k of value to earn $100k).

Even those can technically be a positive. Destroying something nobody needs that is valued at 200k in order to build something useful valued at 100k is not really a loss.
If it's not needed, then it won't be valued at 200k.  Parasitic professions tend to abuse government power in one way or another, though sometimes it really is due to a massive bout of irrationality (people think the parasites are creating value when they are in reality destroying it).
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: alfred russel on July 10, 2016, 03:12:58 PM
Quote from: DGuller on July 10, 2016, 08:48:19 AM
There aren't that many people that are a brake on GDP.  These kinds of people are either criminals, or part of parasitic professions (the ones that destroy $200k of value to earn $100k).

So basically, people are drivers of their country's GDP, unless they are a member of the bar, or believe they may soon need a member of the bar to represent them in a criminal matter.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: DGuller on July 10, 2016, 03:18:54 PM
Quote from: alfred russel on July 10, 2016, 03:12:58 PM
Quote from: DGuller on July 10, 2016, 08:48:19 AM
There aren't that many people that are a brake on GDP.  These kinds of people are either criminals, or part of parasitic professions (the ones that destroy $200k of value to earn $100k).

So basically, people are drivers of their country's GDP, unless they are a member of the bar, or believe they may soon need a member of the bar to represent them in a criminal matter.
:lol:
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: LaCroix on July 10, 2016, 04:05:04 PM
are public defenders whose 200k debt is discharged in loan forgiveness = parasites? :hmm:

but seriously, I can't think of any legitimate profession that regularly destroys twice the value they earn.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: mongers on July 10, 2016, 04:16:35 PM
Quote from: crazy canuck on July 10, 2016, 02:01:40 PM
Quote from: Admiral Yi on July 09, 2016, 11:53:49 PM
Quote from: Monoriu on July 09, 2016, 08:47:25 PM
I don't understand.  My impression, which may be wrong, is that every dollar spent in the economy adds to GDP.  So everybody is a driver, the only difference is to what extent.

I think he's asking how much discretionary consumer spending do you do.  How much stuff (or services, like luxurious overseas vacations) that you don't need do you buy.

Probably.  In those terms I don't spend much generally.  As my income increased I have not felt the need to surround myself with a lot of the status symbols that seem to be attractive to many of my peers.  So in that regard I am probably a drag on GDP (although my favourite BC Wineries, local restaurants, butcher, grocer etc might think otherwise  :D )

I spend a lot of time providing pro bono advice to a number of non profits.  That is also probably a drag on GDP since they don't have to otherwise purchase those services.  But it probably also saves the state and taxpayer a lot in the long run.  So I would like to think I am a net contributor to society aside from the taxes I pay.

Interesting, I think that's true up and down a lot of the income/wealth spectrum, just the totems change.

Good on your pro-bono work, I believe JR does a lot too. A wise use of your time, which is something my original question tangentially touches upon.
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Richard Hakluyt on July 11, 2016, 01:54:10 AM
I think we spend slightly less than half of our income, the rest goes into investments. Many of those investments are in companies overseas, I like to think that the dividends from those investments make me into an earner of foreign exchange and thus beneficial to the UK economy  :hmm:
Title: Re: Your Country's GDP /GNP, Are You A Brake Or Driver Of It?
Post by: Brazen on July 11, 2016, 05:27:53 AM
I make my company money by selling immaterial concepts at very little outlay or material cost. Unfortunately, we've recently been taken over by a Switzerland-based parent company...

I have spent all my income on bills and discretionary spending by the end few the month, barring a small instant access savings account which I need when the cats or car break down.