Best way to measure the strength of the economy?

[Moooooo]

No combinations either.  You may only choose one.

[TomC]

Well, combination is the best answer, but since I can't say that, I'll go with GDP.

[opebo]

Wages obviously, and not average but median.

[Jake]

I'd say the stock market, though it's imperfect and tends to focus more on the strength of business.

[dazzleman]

If I have to choose one, GDP.  I would ideally choose a combination.

[Bandit3 the Worker]

Of those listed, wages is probably the best measure.

The stock market is kind of an inverse measure of real prosperity. Usually, when the stock market does well, most average people do poorly. (This is a general rule, however, and is not always the case.) This is because the stock market is built on the backs of people who work for a living.

Economic equality is another good measure, and has to be included in any good list of economic indicators.

[A18]

This poll makes no sense. It depends what you want to measure.

Personally, I might have a poll like this: How well is the economy going for you?

[opebo]

This poll makes no sense. It depends what you want to measure.

Personally, I might have a poll like this: How well is the economy going for you?

So make one!  It would be interesting if half the people on here weren't 15 year olds.

[A18]

This poll makes no sense. It depends what you want to measure.

Personally, I might have a poll like this: How well is the economy going for you?

So make one!  It would be interesting if half the people on here weren't 15 year olds.

I meant a real, scientific poll. They did one... things are going well for about 51%.

[opebo]

This poll makes no sense. It depends what you want to measure.

Personally, I might have a poll like this: How well is the economy going for you?

So make one!  It would be interesting if half the people on here weren't 15 year olds.

I meant a real, scientific poll. They did one... things are going well for about 51%.

Shows how much they know.

[TheresNoMoney]

Wage growth is the best measure.

[MaC]

This poll makes no sense. It depends what you want to measure.

Personally, I might have a poll like this: How well is the economy going for you?

good point, psychologically would be the best measure.  Although GDP and unemployment numbers (if there was an accurate way to calculate either) would be good.

[minionofmidas]

Lowest percentile calory intake.

[Filuwaúrdjan]

From my point of view, labour market statistics *in general* (not *just* the official unemployment stat; all countries play silly buggers with that)

[afleitch]

From my point of view, labour market statistics *in general* (not *just* the official unemployment stat; all countries play silly buggers with that)

I agree. While for me the answer would be 'how long is a piece of string', labour statistics often give the first signs of an economic upturn or downturn, even when other stats seem rosy. However economic inactivity is different from unemployment, and as Al says, countries diddle with the statistics anyway.

[TX_1824]

The true measure of living standards is the measure of output, so I'll say GDP.

[Cubby]

In normal times, the GDP, but I voted Other (the deficit)

These days, the huge Bush deficit is killing us (it might cause the Chinese to stop buying our bonds, which would hurt us even more than a housing collapse.) Of course the right rejects this arguement because if it became known that a communist country was one of the foundations of our economy, people would be outraged.

[MODU]

I would have to go with GDP.  The stock market is too volitile and will react to suddenly to positive and negative influences.  Wages fluctuate, especially if there is a series of top-level layoffs, restructuring, or "Katrina's" and "Enron's" that occur in a short amount of time.  Unemployment is a poor indicator since it doesn't include people who gave up searching for jobs.  Also, "employment" numbers tend to ignore the many people who are self-employed.  "Net worth" is subjective.

[TX_1824]

In normal times, the GDP, but I voted Other (the deficit)

These days, the huge Bush deficit is killing us (it might cause the Chinese to stop buying our bonds, which would hurt us even more than a housing collapse.) Of course the right rejects this arguement because if it became known that a communist country was one of the foundations of our economy, people would be outraged.

Well we do have a large trade deficit with China and they in turn purchase large amounts of US securities which lets us borrow against the debt, but I doubt China would ever stop buying our securities because our national debt grows. It doesn't make since for them. Our economy would suffer, but China's would just collapse. Why do you think they continue to keep the value of the yuan so low? Most of China's currency is in American dollars.

[GOP = Terrorists]

Savings Rate.

[MODU]

Savings Rate.

That would be an inverse weight then, since we tend to save less during good economic periods and save more during bad economic periods.

[angus]

that's a healthy-looking bud in your sig.

I voted GDP.

Note to MODU:  three months from now, when I say, "Oh, hell, have I posted here?  Not sure.  Well, anyway I think I must have because it's already checked.  Anyway, I'll go with "other" since I feel like it ought to be inflation, "high" literacy, longevity, and median income, in weighted conjunction with aggregate GDP."  then I want you to quote this post for me. 

[MODU]

that's a healthy-looking bud in your sig.

I voted GDP.

Note to MODU:  three months from now, when I say, "Oh, hell, have I posted here?  Not sure.  Well, anyway I think I must have because it's already checked.  Anyway, I'll go with "other" since I feel like it ought to be inflation, "high" literacy, longevity, and median income, in weighted conjunction with aggregate GDP."  then I want you to quote this post for me. 

HAHAHA . . . you got it. 

[jokerman]

A combination of Median Wages and Umemployment Rate.