US Screwing with our Financial Stats Again...to make them look better.

As a poster to Jim Sinclair's site wrote

First they did this with CPI (Substitute chicken for steak, cat food for chicken, twinkies for cat food). Then unemployment (Omit long term unemployed and part timers). Now GDP (includes Research & Development expenses as productivity).

This is from Jim Sinclair's Website

,
US economic history will be rewritten this week, as the most far-reaching methodological changes in years will add the equivalent of a country the size of Belgium to output in the world's largest economy.

The most important change by the Bureau of Economic Analysis, to be announced on Wednesday, will be to start counting spending on research, development and copyrights as investment, and reflect pension deficits for the first time. Combined they are expected to add 3 per cent to gross domestic product..

At a time when Republicans argue the growth of federal government is out of control, the revisions are likely to lower federal spending as a share of GDP by half a percentage point. They should also lower federal debt as a share of GDP by about 2 percentage points from 73 per cent in 2012.

wiki

Gross domestic product (GDP) is the market value of all officially recognized final goods and services produced within a country in a given period of time. GDP per capita is often considered an indicator of a country's standard of living

So tell me please, how is research and development a product output? Even a copyright doesn't mean an output. And do they count it again when/if it becomes a product?

It is purely manipulation to make the economy and debt look better. And those unaware who buy into markets may not be aware of the changes to boost the outlook.

Just one more way they, the gov, is taking us down while making us feel all warm and cozy inside. All is well, go about you business as usual.

Well all the governments are doing it these days, like China and their ghost cities.

The collapse has already begun, these manipulations are just smoke and mirrors so the people won't flip out if they knew the real story.

reply to post by MidnightTide


Exactly my point.

They are screwing everyone around so bad that no one has a clue what is real anymore. It is only to make the gov. look better. They have all done it. The CPI, is minus 'food and energy' meaning gas for the auto...and food which we all use. Now they want to make the economy look better so just add a few things that don't effect the current economy and may never and count it twice. Now and if it becomes a real product.

Hey, have you researched anything? It counts toward a better economy.