Question

Many argue that GDP is not the most accurate figure to identify the
growth and wellbeing of a country. Discuss

Answer 1

The reason is a big GDP really lets us lead good lives. GDP does not measure our children's wellbeing, but nations with a higher GDP may give their children better healthcare. The quality of their education is not measured by GDP, but nations with greater GDP can afford better education systems. The beauty of our poetry is not measured by GDP, but nations with a larger GDP can afford to teach more citizens to read and enjoy poetry. GDP does not take into account our intelligence, integrity , courage, wisdom or devotion to the country, but all these praiseworthy attributes are easier to cultivate when people are less concerned about being able to afford the necessary materials

Yet GDP is not a perfect measure of well-being. There are some things left out of GDP which contribute to a good life. One is odds. Suppose , for example, that everyone in the country immediately began working each day of the week, instead of enjoying recreation on weekends. It would produce more goods and services, and the GDP would rise. And, given the GDP rise, we do not say that it will be safer for all to do so. The loss from decreased leisure would outweigh the benefit from a larger quantity of goods and services produced and consumed.

Because GDP uses market prices to value goods and services, it excludes the value of nearly every activity outside markets. In fact, GDP omits the importance of the domestically manufactured goods and services.
Another thing which excludes GDP is the environmental quality. Imagine that all environmental regulations were eliminated by the Government. Then, companies could produce goods and services without considering the pollution they create, and GDP could increase. Yet well-being would probably fall. Worsening air and water quality would more than offset the benefits from higher productivity