The news is always talking about the “economy” and GDP. But what really is the economy and GDP? How is the economy measured? Allow me to attempt a “Reader’s Digest” discussion of the makeup of the economy. The health of our economy is measured by the calculation of a country's GDP which stands for Gross Domestic Product. This is measured by the Bureau of Economic Analysis and is divided into four components.
Your perception of what is real and true is based upon the focus of your attention. So, ask yourself, what are you focusing on? Why? Why are you focusing this way? Your focus give substance to the concepts you perceive to be most important.
Where will your money come from when you retire? Social Security? Pension (if you are lucky)? Interest on savings in banks / credit union / T-bills? Rental positive cash flow? Payments from the sale of business? Payments from sale of real estate? Excess cash-value from life insurance? Interest from corporate / muni bonds? Dividends from your stock portfolio? Proceeds from the sale of stocks / stock mutual funds?
The election is over by the time you are reading this. However, I am writing on November 1, the Sunday before the election and after October’s stock market performance.
