Things you can do to stimulate the economy - DFWstangs Forums
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post #1 of 1 (permalink) Old 02-12-2009, 04:36 PM Thread Starter
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Join Date: May 2002
Location: 1st Civ Div
Posts: 9,261
Things you can do to stimulate the economy

Things Businesses Can Do: Pollute the environment—a giant oil spill would be great! Superfund sites are very desirable for expanding the GDP. Leverage up and build excess real estate, e.g., see-through buildings. They add to the GDP when they go up, but the waste is not subtracted when they are demolished or stand vacant. Similarly, companies can build excess plant capacity (as IBM did in the mid-to-late 1980s to the tune of $30 billion). All of this counts toward GDP. Again, when companies are “downsized,” nothing is subtracted from the GDP. It’s similar in concept to the “roach motel”: GDP counts these things going up, but not going down.
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