Posts Tagged GDP

Why GDP is False Accounting

Why GDP is False Accounting.
GDP is the Gross Domestic Product of a country and is calculated by adding together the nominal value all economic activity (including inflation from property speculation & money spend on repairing the damage caused by polluters) of a country and hopping it will measure economic wellbeing so investors/ governments can compare their performance with other countries & over time.
Not all economic activity is beneficial so should be subtracted from the totals.
• The cost of collecting & processing all waste produced by the production & distribution systems
• The cost of health care to restore everyone back to the health they had before the economic activity
• The cost of dealing with pollution such as oil spills, mining disasters or contamination of land/water
• The cost of dealing with “natural disasters” like flooding resulting from man’s activities such as deforestation, urbanization or negligence
• The cost of dealing with high crime rates
• The cost of compensating all that are harmed by any of the above

GDP gets inflated
• when businesses extract more profit by raising their prices above costs eg drug & utilities
• when a few benefit from speculating in the land, property, commodity, stock or finance markets at the expense of the majority
• and when governments increase inflation by issuing more money (that they borrow from private companies called banks) to stimulate demand.

GDP does not include the value of voluntary work (including women’s domestic work) nor the value of those produce their own food. The value of economic activity is determined by those who control the markets and undervalues the work of those who are not empowered to choose the type or location of their work.

As Robert Kennedy said before being assassinated in 1968 “GDP does not measure productivity, income, wealth, health, wellbeing or life expectancy of people nor the sustainability, inequality & injustice of society so measures nothing of importance” so should be scraped and governments made to use True Cost / Benefit Analysis as a tool to improve their activities.

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How can we adapt to Climate Change?

When I was a kid most trees lost their leaves in mid October with the Oak loosing its leaves before Bonfire Night now Oak & Hazel do not start to loose their leaves until mid December. This year the Oak came into leaf in March 6 weeks before its pre-industrial companion the Ash. The change in growing seasons is not all good news as summers get hotter & dryer grasses including wheat for bread stop growing.

The changes in volcanic activity & solar spot activity (which causes solar wind to disrupt Earth Ionosphere shield and let more rays in) & the changes in the Earth’s orbit account for 80 to 90% of the observed temperature changes. So some change is inevitable so we need to adapt.

Politicians & bureaucrats want a simple “One Size Fits All” so Mrs Thatcher chose CO2 & set up the IPC and changed the way University Research was funded (to the number of times an article is published (ie more sensational or extreme findings) instead of the quality of peer reviews of the science / evidence) to promote it.

CO2 is produced by the process of breathing so makes an ideal tax subject as everyone breathes.

Plants use the energy from the sun to produce Oxygen & to grow in the reverse process of Breathing called Photosynthesis

6CO2 + 6H2O + Energy = C6H12O6 + 6O2

The ice core studies showed that in the past increases in CO2 lagged hundreds of years behind temperature increases. However the release millions of years worth of stored CO2 in just a few decades must have some effect.

It has been known for over 100 years (thanks to aerial photography & saterlight images) that every change in landuse (– including switching from organic farming to growing the same crops under unsustainable modern chemical production methods favored by the banks) produces detectable changes.

Bare ground & roads & buildings of non-natural materials (eg brick, concrete, steel or glass) absorb the sun’s energy as heat during the day & radiates most of it back into the atmosphere at night making towns 4c warmer than the surrounding countryside which is why some of the temperature readings are adjusted over time.

As Party Politicians & bureaucrats are not accountable & do not use science or review evidence in their decision making they want to pretend that the Climate Change we are experiencing is caused by CO2 instead of their policy of subsidizing polluters & creating economic bubbles to boost the profit of a few at the expense of all.

Climate Change can be solved by:

  1. introducing True Cost & Benefit Analysis into decision making
  2. and by transplanting Holly & Laurel from the woodlands (where they are shading out biodiversity) to increase Health & Safety of roads by planting down the center to reduce glare for drivers & to filter out the poisons
  3. Making government accountable
  4. Stop subsidizing polluters via the tax system
  5. Make produces/sellers responsible for all the waste they produce & the quality of the products (ie designed to last)
  6. Switching to Wellbeing as the primary measure of society instead of the system of Fake Accounting called GDP
  7. Requiring all land managers to leave the land & biodiversity in a healthier state than it was 10 years ago
  8. Design communities to need less commuting & to walk or cycle
  9. Design buildings & roads to be carbon neutral including in construction – growing plants on walls, roofs & other wasted areas
  10. Taking personal responsibility for the choices we make that either harm our Life-support system (boosting the profit for a few) or benefits us.

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