Magazine
Latest Issue

GDP is flawed, but it matters

Suggestions to replace GDP shouldn't be a proxy for advancing actual policies

A factory in Hatfield. Photo: Daniel Leal-Olivas/PA Archive/PA Images

At the moment, many economists and non-economists alike have little confidence in Gross Domestic Product (GDP). It is regularly criticised for being a flawed and incomplete measure of economic welfare. Politicians mindlessly seek to maximise it, it is said, promoting economic growth to the detriment of other policy goals.

Many of these criticisms have resonance. They point to a deep sense of malaise with our economic management, to a feeling that we are undermining those aspects of human welfare which can’t…

Register today to continue reading

You’ve hit your limit of three articles in the last 30 days. To get seven more, simply enter your email address below.

You’ll also receive our free e-book Prospect’s Top Thinkers 2020 and our newsletter with the best new writing on politics, economics, literature and the arts.

Prospect may process your personal information for our legitimate business purposes, to provide you with newsletters, subscription offers and other relevant information.

Click here to learn more about these purposes and how we use your data. You will be able to opt-out of further contact on the next page and in all our communications.

We want to hear what you think about this article. Submit a letter to letters@prospect-magazine.co.uk

More From Prospect