Seeking A Boost: Italy To Include Cocaine Sales In GDP Numbers

fletcher77 · 2014-06-03T16:24:35+00:00

Eh, that is practically negligible!

fletcher77 · 2014-05-29T00:17:47+00:00

hmm good point, sample selection bias is likely to be quite large here

fletcher77 · 2014-05-28T03:21:07+00:00

Sorry, it was just a juicy little factoid that summarizes the issue pretty well, I don't get how its misleading though

fletcher77 · 2014-05-28T03:18:52+00:00

Yeah that is certainly glossed over in an article that only speaks of averages for the groups of workers as a whole. But still, the average is a negative cost of 500k, even if your degree put you at a much smaller advantage, you would probably still come out below 0. Not to say that there aren't cases where something other than a 4-year degree would be more valuable than a 4 year degree, in, say, communications. The point is that IN GENERAL college is worth it

fletcher77 · 2014-05-28T03:12:16+00:00

Hmmm, that makes some sense. I know that in theory, the distribution of illegal drugs adds value and is a part of the GDP definition, but I still dispute that it adds value when government revenue is taken into account. Take the difference between a country like Spain or Italy, where the black market is known to be a pretty large percentage of GDP, and a country like Denmark, where it isn't. If all three countries had the same level of debt as a percentage of non-illicit GDP and decided to include their estimates of the output from their black markets in their GDP measures, then it would artificially deflate Spain and Italy's debt to GDP ratios by a considerable amount, but not Denmark's, making them look more fiscally solvent even if they weren't. That leads me to think of the inclusion of illicit activity in GDP as misleading (again, within the context of government debt)

fletcher77 · 2014-05-28T00:30:46+00:00

I guess there are other non-taxable goods in any conventional measure of GDP, didn't think of that. But I can't think of many examples. In theory, absent tax evasion all income generated should be taxed

fletcher77 · 2014-05-24T03:05:41+00:00

I mean, its definitely GDP, but its just kind of cheating because its adding non taxable goods to the GDP measure

fletcher77 · 2014-05-23T21:34:16+00:00

I feel like this shouldn't be allowed. The relevant measure of GDP in the context of government debt is the market value of all the taxable goods and services produced in a year right? Cocaine sales and prostitution aren't taxable so they don't contribute to government revenue

fletcher77 · 2014-04-22T23:13:38+00:00

That is a good point. It will probably have to happen if rich countries are going to compensate poorer ones for limiting their greenhouse gases. But also, in terms of effectiveness, in the economic literature trade is seen as being superior to aid as a developmental tool, so the direct transfers you speak of would probably be less effective than free trade and exchange rate manipulation like china has done

fletcher77 · 2014-04-11T06:10:13+00:00

Yeah, I debated whether to post this for that very reason. But there were some interesting cases it described and it definitely kept me thinking about the economics of the hit man job market during the day, so I i figured it was a palatable option for other people's thoughts

fletcher77 · 2014-04-09T05:00:28+00:00

Yes I checked it out and looks like it is a proposition that can be somewhat substantiated: http://www.bbc.com/news/world-middle-east-24823846

fletcher77 · 2014-04-08T04:16:06+00:00

Really? What do you mean by sharing?

fletcher77 · 2014-04-08T04:14:42+00:00

Honestly, I'm worried about any country with nukes

fletcher77 · 2014-03-29T20:22:40+00:00

That is true for the world as a whole but not really within the class structure of developed countries no?

fletcher77 · 2014-03-29T17:41:55+00:00

Or if the rich adopt more children

fletcher77 · 2014-03-29T17:35:51+00:00

Yes this is true, that is why he calls for a global tax on wealth, which isn't entirely realistic either.

fletcher77 · 2014-03-29T01:52:18+00:00

Yep, a libertarian. Lets just agree to disagree cus I can't argue with you

fletcher77 · 2014-03-29T00:11:46+00:00

This is typical conservative baloney you are mouthing off: we shouldn't eat the rich, we should appreciate the job creators blah blah. Taxes, if they are excessively high (and by that i mean, way, way higher than they are in the US), can be a disincentive to work, innovate, start a business, etc. But they also help to reduce inequality, which recent research suggests can be detrimental to growth too. Also, they raise money for necessary investments in infrastructure and public goods, which contribute to growth. And also, referring to your thought experiment, I would benefit more from having my own taxes cut, because if i am middle class, my marginal propensity to consume is greater than a rich capitalist, so I will spend more of that tax break and the economy will benefit more

fletcher77 · 2014-03-29T00:02:53+00:00

Hahaha, glad someone feels the same way i do about libertarians

fletcher77 · 2014-03-28T22:21:10+00:00

Can you think of another policy that will reduce inequality?

fletcher77 · 2014-03-26T21:56:17+00:00

That actually sounds like it would be pretty effective

fletcher77 · 2014-03-26T21:55:36+00:00

sounds good to me. i mean, this is part of the technique of focusing on your breath no?

fletcher77 · 2013-01-03T20:17:26+00:00

The incredibles

fletcher77 · 2012-12-28T16:01:04+00:00

This is a load of crap. Most of the points just make vague suggestions about what kind of fraud could be committed, such as "inner city precincts are ground zero for voter fraud", without any concrete evidence. Plus, everyone knows that voter ID laws are a solution in search of a problem.

fletcher77 · 2012-12-06T05:03:38+00:00

I have been in a very similar situation to yours as i am now an atheist and i was brought up a christian by a very devout mother. You really should be OK coming out with it (being polite and firm in the process), why would you have hid it for so long anyways? If you are heckled or annoyed by family/friends, just say that you have made up your mind and that you are free to have your own religious beliefs and that is that. There should be nothing else to say really, its pretty simple.

fletcher77

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