Why or Why Not Turning Points of a Global Recession Can Be Identified Using a Particular Level of Growth in Global GDP or Global GDP per Capita
The expenditure approach is the more common one and is obtained by summing up total consumption, government spending, investment, and net exports.
The quality of life may also depend on the distribution of GDP among the residents of a country, not just the overall level. To try to account for such factors, the United Nations computes a Human Development Index, which ranks countries not only based on GDP per capita, but on other factors, such as life expectancy, literacy, and school enrollment. Other attempts have been made to account for some of the shortcomings of GDP, such as the Genuine Progress Indicator and the Gross National Happiness Index, but these too have their critics.
Even as global trade tensions ease along some fronts, the potential for relapse is high, as important issues underlying these disputes have yet to be tackled in depth. Based on the assumption that potential setbacks will not materialize, a modest uptick in global growth to 2.5 per cent is forecast for 2020, though policy uncertainties will continue to weigh on investment plans.
Feenstra, Robert C., Robert Inklaar, and Marcel P. Timmer. 2015. “The Next Generation of the Penn World Table.” American Economic Review, 105 (10): 3150-82.
Nicola Gennaioli, Rafael La Porta, Florencio Lopez-de-Silanes, and Andrei Shleifer (2013) – Human Capital and Regional Development. In The Quarterly Journal of Economics (2013) 128
Broadberry, Stephen, Bruce Campbell, Alexander Klein, Mark Overton and Bas van Leeuwen (2015) – British Economic Growth 1270-1870. Cambridge: Cambridge University Press. https://doi.org/10.1017/CBO9781107707603 And of course their work in turn relies on hundreds of other people’s work.