There are a lot of misunderstandings about gross domestic product (GDP) and how it is calculated. I debunk some of the common ones, such as that imports reduce GDP or that government spending raises GDP, on the latest episode of my American Institute for Economic Research podcast Econception. Thomas Sowell, in his book Basic Economics, said good economists think in things, not in words, and thinking in words is a big part of why GDP gets misconstrued. The equation for measuring........

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