My Meeting with Top Government Economic Officials
A couple of weeks ago, I announced the good news that the U.S. Commerce Department’s Bureau of Economic Analysis (BEA), the government agency that compiles and publishes GDP every quarter, will be publishing a new economic statistic every quarter along with Gross Domestic Product (GDP). It’s called Gross Output (GO). I wrote an article on GO earlier this month.
On Wednesday, Oct. 30, I drove from my home in New York to Washington, D.C., and met with the BEA Director Steve Landefeld and three of his staffers to discuss the significance of Gross Output and to answer some questions I had.
GO is a broader measure of economic activity than GDP. GDP measures only final output, while GO is an attempt to measure spending or sales at all stages of production. I should mention that GO actually leaves out some sales at the wholesale and retail level; my own statistic, Gross Domestic Expenditures (GDE), is a more comprehensive measure of spending at all stages of production and is more than double GDP. For more information on the difference between GO and GDE, read my working paper on the subject.
Why is this important?
Read more about Gross Output (GO) on Eagle Daily Investor.