I should confess here that I am very poor in understanding the economic theories out there. So for a novice like me in this area, I found this published article in The Economist (“The Grossly Distorted Picture“) to be a very interesting read. It compares how looking at the same data across a different dimension can give you a completely different view. (For example – economy of Japan suddenly seems to be looking much better than USA – contrary to the popular current belief)
Again, I am not an economist so may not be able to debate about the pros and cons of this method. However, it makes me wonder if it was all about looking at GDP as a function of head count, why weren’t we doing this measurement before?
This article also has an interesting discussion thread which is worth a read.