Saturday, January 24, 2009

Economist Steven Landsburg has two big ones and he's right

People clearly have a bias against ubiquitous economic progress.
No doubt the new guy, just like the old guy, will require unprecedented new powers to deal with the unprecedented threat to our well being. Obama is already asking for an unprecedented increase in the size of the national debt. Before we go back down that road, maybe we should stop and ask: "What crisis?''

Start with this: You are better off than you were four years ago. After adjusting for inflation, the average American earns about $2500 a year more today than on the day of W's second inaugural. That same average American now spends a little less time at the office or on the assembly line, and a little more time on vacation or on the couch. He or she shops online for products that were unimaginable just four years ago. (How many of you read this morning's paper on your Kindle or iPhone?) The air is cleaner than it was a decade ago and life expectancy is up.

Not that the last president had much to do with any of this. He didn't. It's the way the modern world works. Things improve. Incomes rise, work hours fall, the quality of goods improves. Few things in economics are as consistent as the growth of real GDP per capita over the past 200 years:
To really put things in perspectives read this comment to Professor Landsburg's blog post.

No comments: