The only thing that will improve the economy

The accuracy of one's positive economic analysis should translate to more successful policies over others.

 

Define "successful".

 

Yields economic conditions such as:

1. Full employment,
2. Increases in GDP per capita,
3. Increases in the GDP growth rate,
4. Increases in consumer spending,
5. Increases in domestic goods and services production,
6. Favorable international trade,
7. Increases in disposable income,
8. Creation of a balanced federal budget.

 

And what if I don't agree with that definition of successful?

 

I will respect any disagreement you have towards my definition. However, why would you disagree?

 

You could meet all of those except 5 and 6 by printing money, and neither "an increase in goods or services production" nor "favorable" are defined.

 

Favorable is tantamount to an absolute advantage for the United States in the context of trade. An increase in goods and services production is a self-explantory statement, unless you are looking for an approach to accomplish it.

 

If one year we produce 10 less of widget A but 7 more of widget B is that an increase or decrease in production?

 

It's a decrease in production.

 

Technology doesn't do a lot of good unless that technology is kept here. Apple is rich in new technology and products and they're almost all made abroad. So are most of our high tech stuff, like television, game machines, computers, VCR's, DVD players. Even with our new Green tech. Many of the wind turbines have moved off shore, along with solar panels. The only one really making out is the companies who invented it and then get a royalty from the companies making it, which is usually in another country.

 

So if a country produced ten less barrels of toxic waste and seven more microprocessors a year that's a decrease in production?

 

I totally agree that technology is one of the most important factors in the economy. It does NOT however, mean that economic policy is unimportant. Economic policy is one of the main factors that separates successful countries from unsuccessful ones. Japan is a great example of this. It is a relatively small island with few resources, yet through its economic policies (amongst other factors) has become one of the most prosperous. Economic policy is still VERY relevant.

 

Well, toxic waste isn't a good or service considering it doesn't satisfy the wants and needs of a consumer. Actually, toxic waste is a negative externality. Therefore, you have an increase in production.

 

How do you know if something is a want or need of a consumer?

 

This is a trend that I saw... all the way back in HS. As more and more people use ever increasing amounts of technology, the number of people that actually understand how it all works, keeps going down.

This is one of the reasons I became an engineer. In a very real way.... I believe that engineers will rule the future. Economically anyway... you want your tech to work..... PAY UP!!!! The more knowledge that you have, the less likely you are to be controlled by other people. The road to freedom is paved with knowledge....

 

America just didn't screw up as bad as every other country did. By my standards, every country is progressing way too slowly. Just because you're the fastest 500 lb. man in the world doesn't mean you are very fast compared to what you could be.

 

I think a better example would be producing 10 less hotwheels cars but producing 7 more Porches.

 

How? Yes, there is some government regulation that should be done away with. It is simply untrue that the largest negative influence on the economy is the state. The largest negative influence in the economy is people paying attention to (*)(*)(*)(*) that doesn't matter and ignoring things that do matter.

 

I wasn't trying to imply that there was a trend that engineers will rule the future. Everyone will benefit greatly and permanently instead of one person benefitting temporarily. This is why I think social welfare programs should be cut, but I am still in favor of raising taxes if the government puts the revenue into the right places like science and technology.

 

Technology comes in its own time as necessity and competition dictates. Competition is the mother of invention, not hopes and wishes.

 

Invention is beholden to no master.

 

How do you determine what does and doesn't matter? You can't know if something doesn't matter if you don't pay attention to it.

 

Thank you, that actually is more to the point.

 

One of the points that I am making... and you are clearly showing this.... Is the aspect of "Someone else should do something about this.". The govt is not a magic lamp. Giving enless money to them does not make wishes come true.

The govt has never invented anything. But individual people have. And the majority of people invent things because of the compensation they can get from it. Very few people invent things just to give them away. So if the govt gets out of peoples business. And allows people to inovate without taxing them to death.... you might actually get what you want faster....

 

Not in the U.S.