Mwanzi1
JF-Expert Member
- Sep 19, 2016
- 6,000
- 4,586
Bora hata wewe imesema vile inatakiwa kueleka, some people here are glued on GDP figures even if they go to bed hungry with no money to buy food. One thing people are failing to look at is, where does the money brought in by GDP growth goes. Does it goes direct to people's pocket or it goes to finance other industries which are not directly linked to everyday person. Ethiopia have been growing at about 10% sometime even 11%, but how does that growth reflect to ordinary person.Numbers don't lie, economic growth does not equal to economic development. What matters is the size of economic growth inequality. I think low inequality can easily translate into economic development. So why bother with GDP? which can just incorporate large sum data from few individuals who even not Tanzanian. Because that is what GDP means.
The country with large income inequality, even if, it has a high GDP growth rate, the issue of economic development will be a horror nightmare. That is why there is an argument among economic scholars about the suitable measures of economic growth.
Therefore, it doesn't matter what someone says about economic growth, what matters is how does economic growth reduces income inequality among peoples in the country or communities. Or how faster does economic growth translate into economic development (welfare) of people.
So guys if we argue intellectually from this point of view, we can have a meaningful discussion.