So I was sitting here today doing the regular; surfing websites, gather information. I checked out one of my favorite sources of mindless entertainment: Mediatakeout.com. Checked out a few links on there. Seen that the plot has thickened with the ongoing Charlie Sheen saga. Checked out who was sleeping who in the land of Hollyweird. Even checked out a story about how Moammar Gadhaffi’s son was killed over the past weekend in the air strikes (sounds familiar). Anyway, as I was doing my web searching, in between my actual workload (developing a Linux+ course for work), I started to see posts from my man Al Boogs. [Quick story, never met this dude, never gave this dude dap, but let me tell you, this is one of the most knowledgeable and resourceful individuals that I have come across in my life. I respect his grind right now cause he’s on a quest to share knowledge and share his thoughts with the world at large]. But anyway, watching some of the joints he posted prompted me to dig deeper into my researching….
Who here knows what things like GDP growth and derivatives and sh*t like that actually mean? Don’t be afraid, you can say you don’t know, cause hell I didn’t know, until now. It refers to the market value of all final goods and services produced within a country in a given period. It is often considered an indicator of a country’s standard of living. Basically this how our “wealth” or economy is measured in the world. Now we have the largest GDP in the world, depending on which figures you choose to look at. You would think that if we have such a large economy, well, why the hell are we in so much debt and all that? Why do goods cost so much? Why are things so damn expensive? Why is unemployment so high? Well, allow me to try to break this down in simple terms: The United States is a nation of consumers. We don’t produce nearly enough goods in the United States to create a demand in other countries. We buy most of our products from China, we buy most of our fossil fuels from the Middle East.
Let’s take a look at how the US GDP is broken down by sector:
services: 76.7% (2010 est.)
What does all that mean? Glad you asked:
Agriculture (a term which encompasses farming) is the process of producing food, feed, fiber and other goods by the systematic raising of plants and animals.
Industry is the segment of economy concerned with production of goods (including fuels and fertilisers). Industrial output is a component of the GDP of a nation. It includes mining and extraction sectors.
A service is the non-material equivalent of a good. Service provision is defined as an economic activity that does not result in ownership, and this is what differentiates it from providing physical goods. It is claimed to be a process that creates benefits by facilitating either a change in customers, a change in their physical possessions, or a change in their intangible assets. Service output is a component of the GDP of a nation. The service sector includes (but is not limited to) farm and factory related activities. It also includes elements such as the financial sector.
Still kind of fuzzy? Let me revisit what it is that I mentioned previously: The United States is a nation of consumers. We don’t produce nearly enough goods in the United States to create a demand in other countries. While this creates cheaper goods for us in the good ole U.S. of A, we are shooting ourselves in the foot. The GDP consists of an elaborate equation: GDP (Y) is a sum of Consumption (C), Investment (I), Government Spending (G) and Net Exports (X – M) or to simplify it Y = C+I+G+(X-M). The problem with this is inbalance. Consumption and Government Spending are out of control. The media would have you believe that this was spurred by the current administration that is in place, but there have been people that have been warning of this for years. They didn’t want to reel anything in because they were paying attention to how well the stock market was doing, how low unemployment was and other factors like steady growth in the economy. But what happened was they started to borrow even more and didn’t think about how to pay any of the debts back. All the while, countries like China and Japan own a nice portion of our debt. Why should this trouble you? Well, the more debt other countries have of ours, the weaker our currency becomes. Since we don’t export as many goods nor have we invested money wisely in anything that can generate any real wealth, if these foreign countries were to call in their debts, we would go bankrupt. But the only chip we hold is that we are the world’s number one consumer…..
It kind of makes you wonder about what’s going on, don’t it? Like what are we really at war over? What really matters? Understand people, the money that people are so hell bent on accumulating in this world is not real. Nothing in the material world is real. This is all temporary and will eventually fade away and become obsolete. The true wealth lies in each of us. We must take care of one another and grow spiritually. We must learn to evolve as a species or face our demise. I don’t claim to know it all, cause if I did I wouldn’t be in this boat. I would have been bailed out and kept it moving. But I’m here, just like many of you, trying to understand what purpose all of this serves. Hell, some people don’t care either way. They just go through life ho-humming it. Not me fam. At the end of my time in this vessel, on this plane, in this manifestation I want to feel like I accomplished something. I want to move on knowing that I lived, not for the love of money, not for anybody else, but I want to know that I lived it to the max. I want to share what I know with the world, albeit limited, but I feel like it’s something that adds value. Whether people want to do something with it all is on them…..
I’ll still luv ya tomorrow….