In response to:

Making Sense of Keynesian-Laced GDP Reports

Pistol Wrote: Feb 01, 2013 7:33 AM
Yeah glenn183 she actually does. This idea has been around all my 79 years, but never so blatantly stated by those in sets of power like Pelosi and Krugman of the Nobel prize. As Dr. Sowell so eloquently explains, the rub is at least 2-fold. First, gov't produces no wealth, so anything they spend must be subtracted from the general wealth of those taxed. Second, gov't spending is characterized by waste, corruption and stupidity, sharply reducing the benefits compared to the same money being spent by individuals. Particularly onerous is the money the gov't spends to reduce production, since all prosperity depends on production.

Fighting against statism in Washington is a lot like trying to swim upstream. It seems that everything (how to measure spending cuts, how to estimate tax revenue, etc) is rigged to make your job harder.

A timely example is the way the way government puts together data on economic output and the way the media reports these numbers.

Just yesterday, for instance, the government released preliminary numbers for 4th quarter gross domestic product (GDP). The numbers were rather dismal, but that’s not the point.

I’m more concerned with the supposed reason why the numbers were bad. According to...