Roger,One thing that is possibly mefnagniul at the margin when looking at these types of national accounts based measures is the bases of the aggregates used.If we end up introducing carbon taxes we we increase GDP measures at markets prices when compared with GDP computed at factor cost.In effect, lumping in increasing tax burden in the form of indirect taxes inflates GDP at market prices (ignoring any second round effects of crowding out etc.).YOu can in fact make it look like you are becoming more energy efficient (or CO2 efficient) by virtue of playing with the numbers.
by Mary 06:59:35 PM 2013.06.28 |