Conventional measures of the size and growth of government often understate what they purport to measure. As government spending grows, government spending relative to gross domestic product tends to decelerate because government spending enters into both the ratios numerator and its denominator; and government employment relative to total employment suffers similar and additional flaws.
|Other Independent Review articles by Robert Higgs|
|Winter 2016||Ludwig von Mises and Dietrich von Hildebrand: Some Remarkable Parallels|
|Fall 2015||How Big Is Government in the United States?|
|Summer 2015||Gross Domestic Productan Index of Economic Welfare or a Meaningless Metric?|
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