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How important is GDP as an indicator for economic policy?

The GDP is sometimes called the godfather of indicators, but how important is it for economic policy making?

Public Comments

1. GDP isn't 100% accurate because sectors of the economy are left unaccounted. Sectors such as Drug Dealing and Prostitution.
2. GDP is a pretty good indicator because it measures the value of all goods and services produce over a period of time..naturally if it is high..people are working, goods are being exported, consumers have money, they can in turn put some of that money back in the economy etc. If it is low, the government and the fed. reserve will pursue policies that increases employment, increase production, etc