Letting inflation rise

[John_James]

It would be helpful if you would use the quote function. Learn how here.

@shackleford

That’s the point of my post. What’s a good definition for economic growth? I threw out some ideas of what I think economic growth can be considered.

What were they? I must have missed them.

No. Increased sales of my product would not necessarily mean decreased sales of other products. Some people do not spend all of their paycheck and instead save some of it. It’s possible they could spend a little more of their income but not at the expense of another product. At the production level, with increased sales, I would require additional materials for my product, but that does not mean it has to come at the expensive of another product if the market can compensate. I think that makes sense.

On a micro level, maybe. But in the aggregate, you’re just shuffling resources around. Unless every single person in this economy of yours is holding every single penny of their savings under their mattress, your scenario is not accurate.

Do Austrian economic terms differ markedly from mainstream? I’m kind of in the middle of trying to learn rigorous economic lexicon.

It depends on the topic. Most microeconomic terms are defined the same way. One of the most salient differences is inflation.

I highly recommend Lessons for the Young Economist or How an Economy Grows and Why it Crashes. They will help you greatly.