Economic growth

When I studied macro economics the professor started with a standard economics graph. One line represented the financial side of the eeconomy and the other line represented the production of goods and services. Unfortunately, when we step away from the blackboard we tend to forget this distinction and discuss economic problems only in terms of finances. There appears to be an assumption that this planet has unlimited resources and economic growth can continue forever.

In considering economic problems we should also consider our ability to produce goods and services. There may be limits on available resources, the cost of obtaining resources my be increasing or the technology may not yet have been developed. All of these things probably affect our economy and could even contribute to financial crises.

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