Nimrod103 wrote:
The point about GDP and filling potholes is that the resources used are withdrawn from some other activity elsewhere, so in general the net effect on GDP is zero. But overall in November there was a very small increase in economic activity, so GDP went up by 0.1%.
The issue with building houses for the unproductive, is that it is the explanation why we don’t feel richer, despite almost continuous rises in GDP for years. As Jeremy Warner in today’s Telegraph says, we are a lot poorer than we thought we were, and the reason is inflation. Inflation is caused by too much demand and too little productivity. We assign too much reward to the unproductive, and unless the UK changes its ways we are all doomed to a poorer future.
Gosh - there are some huge discussions to be had there - way beyond the scope of this thread. Increases in production can also come from innovation and better management - management which includes making it worthwhile for people to work and who are paid vast sume to do so, but aren't doing so effectively.
In a civilised society - which we pretend or aspire to be, those who cannot work or cannot find work are usually given some sort of decent existence. If nothing else, this reflects the fact that since the industrial revolution progress has taken jobs away from some people and caused poverty: welfare is an attempt to rebalance the equation. The view expressed above is potentially (reading between the lines) of the ultra right type and probably isn't well supported - except my Mail or Telegraph readers.
Anyhow, as I say, the whole topic could run to many pages!
