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Uneconomic growth is any activity that adds to a nation's GDP in a single year but that represents a long term economic loss that is difficult to measure. Examples of uneconomic growth include:Asset Bubbles Dramatic increases in the price of investments or assets such as real estate may boost GDP on a short term basis. For example, real estate flipping can generate a great deal of taxable income that isn't producing real economic value. Such bubbles generally damage the economy when they burst.
Broken Windows The broken window fallacy is a commonly cited type of uneconomic growth that involves GDP gains that result from negative things such as natural disasters and wars. Such spending is stimulative to the economy in the short term but generates debt without improving a nation's competitive advantage.Sustainability A dollar of economic output can cause far more than a dollar in damages to health, quality of life or the environment. For example, a factory that produces small plastic widgets but that dumps toxins into the water supply of a nearby town.
Thinking
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A list of sustainable economies principles, theories and models.
An overview of missing markets.
An overview of land footprint.
An overview of the term race to the bottom.
The basic types of natural capital.
The definition of common goods with examples.
A complete overview of scarcity with examples.
The definition of economic security with examples.
A list of antonyms for growth.
A list of economic theories that are particularly useful for business.
The tendency for people at high risk to buy insurance.
A list of economic positions or capabilities that allow you to outperform in a particular industry.
A definition of knowledge work with examples.
A definition of production with examples.
An overview of post-scarcity.
The common types of economic infrastructure.
The common types of business competition.
The common types of inefficiency.
An overview of supply with common examples.
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