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Theory ahead of rhetoric: measurement and the “New Economy”

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    The annual report essay discusses the measurement system used to track U.S. economic activity, and why it is not yet up to the task of effectively measuring aspects of economic activity that contribute the most to long-term economic growth. For historical reasons, our measuring system has concentrated on expenditure and output; going forward, though, it will need to gauge the true economic values of land, labor, and capital more accurately. Contemporary theories about the business cycle and economic growth indicate that conventional methods of measuring these factors fall short of what we really need to understand how our economy is operating

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    Article provided by Federal Reserve Bank of Cleveland in its journal Annual Report.

    Volume (Year): (2000)
    Issue (Month): ()
    Pages: 7-18

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    Handle: RePEc:fip:fedcar:y:2000:p:7-18
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