Understanding GDP and Its Implications

Marilyn discusses the limitations of GDP in valuing unpaid work and environmental resources. She shares personal stories to illustrate the economic system's failure to recognize non-market contributions. Marilyn advocates for alternative measures, like time use data, to better reflect true societal value and address environmental and economic challenges.

What was one of the early experiences Marilyn shared about her time in New Zealand Parliament?

• A family receiving no compensation for domestic help

• A shepherd being replaced by a machine

• A mining company successfully mining Mt. Pirongia

• A woman injured in a farm accident receiving compensation

What does GDP primarily measure according to the transcript?

• Non-market activities

• Environmental sustainability

• Only legal market transactions

• All forms of production, legal and illegal

How does GDP treat unpaid domestic work?

• As a taxable activity

• As leisure or unproductive time

• As a significant contribution to the economy

• As a market transaction

What was the impact of rebuilding Christchurch on New Zealand's GDP?

• It increased due to reconstruction efforts

• It remained unchanged

• It decreased due to loss of resources

• It was not affected by the disaster

What is a major flaw of GDP in the context of the modern digital economy?

• It includes all online activities

• It accurately tracks digital transactions

• It fails to account for digital transactions across borders

• It overestimates the value of digital goods

Which sector is often the largest in a nation's economy but not visible in GDP?

• Manufacturing

• Banking

• Unpaid work

• Retail

What alternative to GDP does Marilyn suggest as a more equitable measure?

• Tax revenue

• Environmental impact assessments

• Time use surveys

• Market transactions

Why does Marilyn oppose including unpaid work in GDP?

• It would complicate the GDP calculation

• It would undervalue the work

• It would align valuable work with activities like war

• It would not change economic policies

What does Marilyn believe is necessary for making good public policy?

• Relying solely on GDP figures

• Ignoring unpaid work

• Focusing only on market transactions

• Understanding the largest sectors of the economy

What does Marilyn emphasize as crucial for future economic measures?

• Increasing GDP growth

• Monetary exchange

• Market expansion

• Time use and environmental quality