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Politics : GOPwinger Lies/Distortions/Omissions/Perversions of Truth -- Ignore unavailable to you. Want to Upgrade?

To: bearshark who wrote (51280)	6/29/2005 9:36:40 AM
From: jttmab	Read Replies (1) \| Respond to of 173976

I guess this means work. <s> I'd looked at the definition of GDP earlier and it raised more questions as it answered. You're hitting on them quite well. Some of my guesses, without knowing what BEA does.... I'm not sure what "personal" consumption is. Is that the same as consumer spending or does it include corporate spending as well? I think it has to be consumer spending, otherwise purchases of goods could/would be double counted in GDP. Ignoring where they come from....if WalMart buys a bunch of vacuum cleaners and then sells them at retail BEA couldn't be counting the purchase of vacuum cleaners by WalMart. On the other hand if WalMart uses some of those vacuum cleaners to clean WalMart stores that could be considered personal consumption but I'd be amazed if data was available to be able to make that determination. How would you classify commercial software purchased in a box at a retailer--good or service? I would add it under service without knowing what BEA does. I would add it as a good. How would you classify software developed specifically for an end user under a service agreement--good or service? I would add it under service without knowing what BEA does. Assuming the client is a corporate entity. My guess is that it isn't counted under personal consumption; if it is counted it's counted under domestic investment. How would you classify a settlement attorney's effort on a home sale--good or service? I would add it under service without knowing what BEA does. I would consider it worthless and of no contribution to GDP. <s> he BEA site mentions the estimates for exports and imports are a little shaky. I had thought that was straightforward, it's the balance of trade. Isn't it? ... maybe that's shaky, but I wasn't aware of that. Hopefully government spending is at least clear. More spending, bigger government, and more debt is "good" and in the out years it'll even be better. The computation for GDP obviously doesn't include foreign direct investment. ... FDI does affect the economy. Whether it should be included or not, I don't know. It seems like it should be... Then when DELL invests in China, that isn't counted either. Maybe the BEA thought it was best to avoid the whole thing by not counting FDI in the US or FDI by the US. Generally, I've considered personal consumption as consumer spending. Goods are those tangible objects that you walk out of the store with...commericial software is a good; airline travel is a service [you're buying the service; not a boarding pass]. If I buy a copy of TurboTax it's a product; if I buy the use of TurboTax implemented on a web site, it's a service. That at least is the way I thought about it, but your comment on the license agreement is giving me pause. I think Burger King is considered a service, because the consumption is immediate. This is really going well...I thought I understood generally personal consumption of goods and services and exports/imports, but maybe I didn't. Time to google. jttmab