Economic Growth: Measuring GDP, GPI, and Tertiarisation of Economy

This lecture delves into the decomposition of Swiss GDP since 1990, highlighting the increasing importance of the tertiary sector in the economy. It discusses the savings and investment dynamics, the limitations of GDP as an indicator of welfare, and the concept of Genuine Progress Indicator (GPI) as an alternative measure. The lecture also explores the growing trade deficit of the USA with China, the significance of unpaid work in Switzerland, and the estimation of the underground economy in different regions. It concludes by reflecting on the challenges of using GDP as a sole measure of economic well-being and suggests alternative approaches to complement it.