Rethinking "Progress"

Being a student of economics, I have always struggled with the importance that is given to the GDP of a country as a measure of “progress”.

We're constantly told that a country's doing well if its GDP is up. But what does that really mean? GDP or Gross Domestic Product, is basically the total value of everything a country produces. It's a handy number, sure, but it feels... empty. It's like measuring the success of a party by how much food was consumed, not whether people actually had a good time.

Think about it. We cannot stop boasting about being the 5th largest economy in the world, all while, the people are sick: our healthcare system is raking in cash, boosting GDP, while people are struggling to even afford to see a good doctor. The environment is collapsing: we are cutting down forests, polluting our rivers, and depleting our natural resources, all of which sure is temporarily increasing production and thus, GDP. But is that progress? Inequality is soaring: a small group of people are getting incredibly rich, driving up overall spending, while a huge chunk of the population is stuck in poverty, barely able to afford basic necessities.

Shouldn’t true progress be measured by things that actually matter? Are people living longer and healthier lives, with access to quality healthcare? Are they satisfied with their lives, do they have a sense of purpose and belonging? Is our air clean and our water safe, and are we preserving our planet for future generations? Are our communities strong, with people feeling connected to each other? Is there trust and cooperation?

These things are tangible. You can feel them. You can see their impact on people's lives. GDP? It’s just a number on a spreadsheet.

I get it. Economics can seem complicated. We throw around terms like marginal propensity to consume and fiscal deficit and whatnot. But at the end of the day, what's the point of it all? Shouldn't the goal of any economy be to improve the well being of the people who live in it?

We are the ones who are going to inherit this world. We need to start asking these questions. We need to make better ways of measuring progress happen. We need to push policies that prioritize people and the planet, not just profits.

I don't have all the answers. But I know we can do better than just chasing GDP.