Gross Domestic Product (GDP) is an accurate economic indicator and is the most used to weight economic grow in any country. It refers to the total economic output achieved by any nation over a specific period. But there are some shortcomings of GDP to consider in every economy as it doesn’t take into consideration some calculations of market and political (regulations) specific behavior.

Non-market transactions

Though most, if not all, market transactions are considered within the build of GDP, non-market transaction are not. This due primarily to the fact that no solid information is available for it to be accurately accounted for. Consider, for example, the income made by children doing chores for their neighborhoods or the produce being grown for personal consumption.

Leisure

Working hours reduction has been an ongoing movement around the world specially in leading economies such as the USA and France. Additionally, worker benefits have also grown, as might be sick leaves, as well as maternity and paternity leaves. Even though it might be clean that people is producing more in less time, the improvement in productivity is not accounted for in GDP calculation.

Improved product quality

GDP is lacking as a qualitative measurement indicator as it fails to property inform the increase on product and service quality. Product and service quality measure has a big impact on economic wellbeing as customers might be more satisfied with current but cheaper products than before just because of its quality improvement.

The underground economy

Non-market transaction can also refer to the trade of illegal goods and services, such as prostitution, gambling, and drugs, etc. These are not recorded and thus not taken into consideration while building the official GDP. But underground economy might also refer to non-illegal activities which citizens or residents decide not to report, such as informal jobs and informal exchange of services between economic agents (ex. “repair this for me and I repair that for you”).

Environmental abuse

Sometimes production might be increased at the expense of environmental damage. While production might be highly regulated in developed nations developing ones might rely heavily on environmental exploitation to support their growth. Green Gross Domestic Product (GGDP) is a formula that aims to penalize such counties by offering a more accurate measurement of economic grown by considering the implementation of manufacturing practices that harm the environment.

Here you can find an article which shares possible alternatives to GDP as a measurement of wellbeing. Even so I recommend you to do your own and extensive research in the matter.

Source: SHORTCOMINGS OF GDP - MBA Tutorials, What is Gross Domestic Product (GDP)? - CFI
Graphic source: G20 GDP Growth - Second quarter of 2019, OECD

Hong Kong and Singapore retain the top two positions.

The Economic Freedom of the World: 2019 Annual Report has been realeased. And with it, the leading positioning that Hong Kong and Singapore retain at the top two positions remain. This while the United States sits at the 5th position, Japan at the 17th, Germany at the 20th, France the 50th, and a little up Mexico located at the 76th position.

The Economic Freedom of the World takes into consideration various aspects, some of these being possibility of personal choice, voluntary exchange, and open markets. This while considering different areas of evaluation, as is the presence of sound money, rule of law, and security of property rights, among others. The report is published jointly by the Cato Institute in partnership with the Fraser Institute in Canada and more than 70 think tanks or expert organizations around the world.


There is outgoing worry regarding the Legal System and Property Rights Mexico, where it stands the worst within the five reviewed areas. As can be seen above, no field stands outs except for the Regulatory costs of the sale of real property field, with a value of 7.64 out of 10. The rest have nothing to be optimistic for.

The report emphasizes the positive differences that the more economically freed nations have over non-free nations regarding indicators of well-beings. You can find the following among the relations:

• In more economically free nations, the average income of the poorest population was two-thirds higher that the average income of to the poorest population in the least-free nations.
  
• Far less population in more economically free nations experience extreme poverty than those in least-free nations.
  
• Infant mortality is lower in more economically free nations than in least-free nations.
  

You can find the 2019 along past year reports by clicking here or by browsing the resources section where a link shall be added.

Mapping images taken from the Economic Freedom Ranking page.

In their post, What's Microproductivity? The Small Habit That Will Lead You To Big Wins, writer Kat Boogaard gives a brief explanation of how and why micro productivity works. That is, breaking projects or work into smaller tasks with the intention to increase productivity. One interesting reference is a reading about the Goal-Setting Theory
page from Lumen Learning platform.

Ideally something to work on this new year!

Image by Trello, found in How To Manage Scrum And Kanban Teams In Trello With The Corrello Power-Up, a recommended read as well.

Hi there people.

I have been reading some of the USMCA (T-MEC in Mexico) content regarding intelectual property protection. It was kind of shocking to find out that in the document they not just force the US Digital Millennium Copyright Act (DMCA) concept for all parties (Canada, Mexico, and the US) but also imposes liability for Internet Service Providers over content created by the end user. I know there is a need to control this some way, but forcing ISPs to comply with such demands might not be the best for all parties.

I'm talking especially about Mexico here of course. There is a danger for Mexicans to be increasingly damaged by this policy because of lacking differences in the judiciary. For US citizens a government that tries to enforce anything upon them through mere text interpretation might end up being worth of a Hollywood movie draft script. For we Mexicans, we may as well end up playing puppet as the rule of law and due process are both kind of a joke.

Anyway, I recommend you read the document, get informed about its content, or both, as it will start applying to the three north america countries once their legislature approves it now that their executive representatives have signed the threaty while in the G20 summit in Buenos Aires..

References: United States-Mexico-Canada Agreement, Infographic | The USMCA, Infographic | USMCA Intellectual Property

Aunque el uso de estas palabras puede confundirse en la escritura y el habla, es en realidad muy sencillo diferenciar entre sus usos.

Haya

Puede ser un verbo o un sustantivo. Como verbo, es la forma de primera o tercera persona del singular del presente de subjuntivo del verbo haber.

Quote:—Espero que Luis haya llegado.
—No cree que el niño se haya vestido solo.
—Quizá haya algo que podamos hacer.

Como sustantivo, es femenino y designa un tipo de árbol:

Quote:—Hay que podar el haya del jardín.
—Se sentó a la sombra de una frondosa haya.

Halla

Es la forma de la tercera persona del singular del presente de indicativo, o la segunda persona (tú) del singular del imperativo, del verbo hallar(se), que significa ‘encontrar(se)’. Regularmente se puede intercambiar con el verbo "encontrar":

Quote:—No sé cómo lo hace, pero halla/encuentra siempre una excusa perfecta para no ir.
—La flora se halla/encuentra constituida por diferentes especies.
—Halla/Encuentra la hipotenusa del siguiente triángulo rectángulo.

Aya

Es un sustantivo femenino que significa ‘mujer encargada en una casa del cuidado y educación de los niños o jóvenes’:

Quote:—Aún se acordaba del aya sabia y cariñosa de su infancia.
—La vieja aya seguía llevando a los niños al parque.

Allá

Es un adverbio de lugar:

Quote:—Lo puedes encontrar allá sobre la mesa.
—Luis regreso allá, a su natal tierra.
—Allá se halla una frondosa haya, que será hermosa siempre y cuando haya sido bien podada.

Fuente: RAE, Diccionario de Dudas