- Apr 12, 2011
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You keep saying that and I keep telling you no it doesn't. A lot of people who say that are thinking about the old formula:...a nation’s annual GDP, it was affected by its balance of trade. A positive trade balance increased it or a negative balance reduced it...
GDP = +ConsumerSpending +GovernmentSpending +BusinessInvestment and -TradeDeficit
All this really means is that production is the difference between total spending and netexports. It does not mean that an increase in the TradeDeficit could magically reduce Production any more than increasing production could force the government to spend more money. Think of the formula for calculating what happened on my drive from Omaha to Miami:
Distance OmahaMiami = + MilesDrivenMiamiEtc - MilesDrivenWrongTurns
The millage driven on wrong turns did not change the distance from Omaha to Miami.
...Oh yeah? Well, I can snark back saying that the fact that your sophistry is mendacious makes it even worse than specious. [ooooh, that felt gooood! ...
OK, if you really want I can go along and butt heads w/ you but please just for short time:.....you can do better. Respectfully,
--and you can do better by paying attention to the point --what followed was "OK, back to work." The point is that snarky sniping name calling is not work and if that's your game you can just play it by yourself although I hear if you play it by yourself to much you can go blind.
Let's please try and keep that to a minimum as my time is limited. Yeah, I lied. I'd rather not indulge because frankly I'm just not very good at it.