After reading a report that says that around 70% of U.S. GDP is consumption, your friend Alex

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After reading a report that says that around 70% of U.S. GDP is consumption, your friend Alex states, “Spending 70% of GDP on consumption is a lot. All people care about is buying stuff, consuming stuff, and accumulating stuff. We would be much better off if we spent our money on services or experiences.” Identify Alex’s misunderstanding of GDP.

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Principles Of Economics

ISBN: 9781319330156,9781319419769

2nd Edition

Authors: Betsey Stevenson, Justin Wolfers

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