Thursday, July 19, 2007

what does this mean?

another article about economics that somehow seems important, but I don't know why because I don't understand it at all. Can someone explain to me what this is really about?

1 comment:

Jen-Jen said...

Economic growth is what capitalism is all about. Without it, capitalism would die. It's kind of like cancer, it can't go on without expanding itself.
They track growth by how much money is changing hands, how many people are involved in getting a product from raw materials to a retail customer (the more the better, of course).
Agrarian economies are small because most people make at least some of their own food, and often trade it for other things they need from people nearby who make them (like trading butter for cloth). Almost no money is involved in them. Industrial economies add more layers, like the factory workers and the sales staff. Then information economies add even more layers of people being paid to market, transport, etc. stuff. And to do things that don't even involve any movement of things. This is progress! Ha ha!