Kasz216 on 29 January 2010
| HappySqurriel said: When you consider that consumer spending and government spending are key components of GDP, and their growth is unsustainable without equal or greater growth in the private sector, the fact that this GDP growth has been primarily in Government and Consumer spending is hardly as positive of an indicator as people would have you believe. |
In otherwords... a goverment can boost GDP just by spending more money even if it doesn't fix any problems.
So the government could buy like... nothing but Ham Sandwhiches with trillions of dollars and raise GDP even though it will do nothing... and GDP growth will crash one spending stops?
