conservative_librarian Wrote:
Aug 30, 2012 4:26 PM
I didnt say it was perfect. We dont have a much better measure available though (China is producing a lot of infrastructure for instance that is sitting vacant)... and the problem causing the distortion there is more the softening of lending requirements (what I mean is that GDP should be a good measure, but the availability of capital for borrowing is way out of balance, which is tied back in to what the fed is doing with money... so it can be a vicious circle.