Introduction
Thus far, my reflections on Guyana’s economic statistics have centred on its national accounts, and in particular the GDP. This focus is due to the fact that the 2006 GDP rebasing, undertaken by the Bureau of Statistics (BoS), (moving away from the 1988 base year), has raised concerns about “skulduggery”, arising from the inflated outcomes of that exercise.
Of equal importance, I have also taken for granted that, conceptually, the national accounts (and in particular GDP), provide an appropriate measure of Guyana’s economic size, well-being, and/or living standards. Additionally, annual changes in GDP size, adjusted for price changes (inflation), represent the best indicator of the rate of Guyana’s economic growth/development.
Several readers have rightfully queried this supposition. They have drawn attention to the fact that not everyone would accept the claim of Guyana’s GDP representing an appropriate measure of its economic size, progress or well-being. Starting today, I shall respond to this query, before pursuing further discussion of Guyana’s development. However, it should be observed upfront, such queries lie at the heart of the most contentious matters in economics today. And, as such, they
