yoursdp.org
25 Feb '13, 4am
### The SDP has shown how the GDP is not a good indicator of our economic health. In fact, data shows that in...

The SDP has shown how the GDP is not a good indicator of our economic health (see here ). If fact, data shows that in Singapore income inequality gets wider as GDP increases. The graph below shows that the Gini coefficient which is a measure of income inequality (the higher the number, the bigger the inequality) tracks per capita GDP growth in Singapore. From 2001 to 2007, our economy registered continual GDP growth which was mirrored by the increase of the Gini coefficient. Between 2007and 2009 as the GDP per capita contracted, so did the income gap. In other words, as GDP per capita increases, the gap between the rich and poor also widens. (Sources of figure: Singaporeans in the workforce , Manpower Research and Department of Statistics and Department of Statistics ) This is not a good way to manage our economy where growth benefits the higher income groups at the expens...

Full article:
http://yoursdp.org/news/2013-02-25-5560