The Great Divergence continues

Kevin DrumMarch 28, 2024 – 10:28 am5 Comments

GDP and GDI are supposed to be identical: just different ways of measuring the same thing. But a gap opened up in late 2022 and has grown ever since. GDP is now about half a trillion dollars bigger than GDI.

wtf?

5 thoughts on “The Great Divergence continues”

golack March 28, 2024 – 11:39 am at

Ummmm...what artifact is causing this?

USAToday has an understandable write up:
https://www.usatoday.com/story/money/2023/12/01/gross-domestic-income-gdi-possible-recession/71746276007/

Ok that was from a few months ago.
Jim Carey March 28, 2024 – 2:27 pm at

Doesn't that just mean spending is trending upward at a faster rate than income? Been there, done that, and it doesn't last forever.
1. Vog46 March 28, 2024 – 3:57 pm at
  
  this is no surprise. credit card debt has increased steadily because we won't/can't live within our means.
coffee2gogo March 28, 2024 – 4:06 pm at

Bitcoin profits that are not reported
1. golack March 28, 2024 – 11:02 pm at
  
  Like Leprechaun's Gold?

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I started blogging in 2002 at my own site. In 2004 I got hired by the Washington Monthly and then moved to Mother Jones in 2008, where I blogged and wrote for the print magazine for 12 years. Finally, in 2021, I came full circle, leaving MoJo to once again blog at my own site.

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