Monday, June 12, 2017

Sean Spicer v. Tim Worstall on India’s Growth Rate

I just listened to some babbling by press secretary Sean Spicer which sent me trying to check the facts on India’s growth since 2000. More on that later but let me share with you a related rant from Tim Worstall:
India has reported GDP growth of 7% for the December quarter. That's just not a number I believe I'm afraid, not when we try to consider the effects of demonetisation.
Read this rest of this at your own peril. To be honest, I got a little bored with it all. Spicer just now said India has enjoyed 7% growth but then he claimed that India’s GDP now is 6 times what it was 16 years ago. But that would require a 12% growth rate as a 7% growth rate would have only tripled real GDP over this period, which is approximately what has happened. Of course India’s nominal GDP may be 6 times what it was since the beginning of the century given that its inflation rate has averaged near 5%. Look – I doubt Spicer gets any of this. It is more likely someone else in the White House gave him these misleading talking points. Why? I have no idea. But I was amazed that not one of the reporters picked up on this absurd spin. Yes – we need smarter reporters.

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