I Worry About the World
I want to write a couple of things here
...
The first part of this story is just a basic definition of the GDP...'Gross Domestic Product'
Followed afterwards, by a little story a friend of mine posted on facebook, telling you how it affects you....
I watched a program last night, about the UK's super rich
.
These people think nothing of spending two million pounds on a car...
When the worlds banks nearly collapsed....these people benefited the most...
Had the money that the government given to the worlds banks to support it from all completely collapsing, had instead gone to the people.... In the UK ..we would have all got a cheque through our doors for twenty four thousand pounds each....
Hmmmmmm
...
Any hoo....
DEFINITION of 'Gross Domestic Product - GDP'
The monetary value of all the finished goods and services produced within a country's borders in a specific time period, though GDP is usually calculated on an annual basis. It includes all of private and public consumption, government outlays, investments and exports less imports that occur within a defined territory.
GDP = C + G + I + NX
where:
"C" is equal to all private consumption, or consumer spending, in a nation's economy"G" is the sum of government spending"I" is the sum of all the country's businesses spending on capital"NX" is the nation's total net exports, calculated as total exports minus total imports. (NX = Exports - Imports)
---------------------------------
Picture the scene...
You live on an island Of ten people
One of those ten people is the boss of the island
The remaining nine people work for that person
The island generates £10 a year in GDP
The boss keeps £9 for himself
The boss then divides £1 between the other nine people
Another person arrives on the island & starts work
At the end of the year the GDP rises to £11 The boss decides he is keeping £10
The boss then divides the remaining £1 between 10 people
The next year the GDP stays at £11
However, the boss decides he wants more money
He takes £10.50, leaving just 50p for the other 10 people
He claims he can't afford to pay them more
They complain to the boss about having less money The boss tells them it is not his fault...
He deliberately feeds the workers anger and tells them that they now have less money because a new person came to the island to work. The workers believe him and start blaming that worker for their own circumstances. They don't give a second thought to the fact that the boss is making a fortune from their labour, or of the fact that they were paid a pittance before the new person arrived in the country
They would rather remain ignorant and blame the new worker for their poverty, rather than blaming the real enemy......
...
The first part of this story is just a basic definition of the GDP...'Gross Domestic Product'
Followed afterwards, by a little story a friend of mine posted on facebook, telling you how it affects you....
I watched a program last night, about the UK's super rich
.
These people think nothing of spending two million pounds on a car...
When the worlds banks nearly collapsed....these people benefited the most...
Had the money that the government given to the worlds banks to support it from all completely collapsing, had instead gone to the people.... In the UK ..we would have all got a cheque through our doors for twenty four thousand pounds each....
Hmmmmmm
...
Any hoo....
DEFINITION of 'Gross Domestic Product - GDP'
The monetary value of all the finished goods and services produced within a country's borders in a specific time period, though GDP is usually calculated on an annual basis. It includes all of private and public consumption, government outlays, investments and exports less imports that occur within a defined territory.
GDP = C + G + I + NX
where:
"C" is equal to all private consumption, or consumer spending, in a nation's economy"G" is the sum of government spending"I" is the sum of all the country's businesses spending on capital"NX" is the nation's total net exports, calculated as total exports minus total imports. (NX = Exports - Imports)
---------------------------------
Picture the scene...
You live on an island Of ten people
One of those ten people is the boss of the island
The remaining nine people work for that person
The island generates £10 a year in GDP
The boss keeps £9 for himself
The boss then divides £1 between the other nine people
Another person arrives on the island & starts work
At the end of the year the GDP rises to £11 The boss decides he is keeping £10
The boss then divides the remaining £1 between 10 people
The next year the GDP stays at £11
However, the boss decides he wants more money
He takes £10.50, leaving just 50p for the other 10 people
He claims he can't afford to pay them more
They complain to the boss about having less money The boss tells them it is not his fault...
He deliberately feeds the workers anger and tells them that they now have less money because a new person came to the island to work. The workers believe him and start blaming that worker for their own circumstances. They don't give a second thought to the fact that the boss is making a fortune from their labour, or of the fact that they were paid a pittance before the new person arrived in the country
They would rather remain ignorant and blame the new worker for their poverty, rather than blaming the real enemy......
