Economy's health: Call to look beyond GDP

Gross domestic product performs poorly in capturing activities that play an important role in Switzerland's economy, such as financial services and research and development, according to Mr Claude Maurer, Credit Suisse's head of Swiss macro analysis
Gross domestic product performs poorly in capturing activities that play an important role in Switzerland's economy, such as financial services and research and development, according to Mr Claude Maurer, Credit Suisse's head of Swiss macro analysis and strategy.PHOTO: BLOOMBERG

Bank says different perspectives and other data should also be considered

Gross domestic product (GDP) has long been used as a measure of an economy's health, but global bank Credit Suisse argues that different perspectives and other data should also be considered.

It noted in a recent report that some feel that GDP is not an appropriate measure to capture the policy issues facing societies. The bank also noted that few financial investors use it as a basis to make investment decisions.

TO READ THE FULL ARTICLE

Thank you for reading The Straits Times

You have reached one of our Premium stories. To continue reading, get access now or log in if you are a subscriber.

What is Premium?

A version of this article appeared in the print edition of The Straits Times on June 16, 2018, with the headline 'Economy's health: Call to look beyond GDP'. Print Edition | Subscribe