Nominal GDP growth and real GDP growth are very different things, and it's the latter people are referring to. If it was only nominal that mattered, we could have a arbitrary economic growth through inflation.
Even 'real' GDP numbers are boosted by inflation (ie. the price levels of everything rising over time, not just the devaluation of currency). Real GDP is still just a number to compare output between two points in time, still measured in nominal currency (albeit inflation adjusted for say, a 15 year difference). The calculation of 'Real' GDP still is limited, only useful for comparison purposes.
Several generations ago, some of my ancestors (my great grandparents) came here and bought their farmland for $10. Now I can barely buy a beer for 10 dollars. Yet we don't measure GDP in 1900 dollars, or in year 3000BC shekels.
Regardless, in many ways, my beer today IS worth more than a farm in 1900. My beer was made because of generations of farmers growing grain, building up their homesteads, brewers buying equipment and employed generations of employees, farming equipment improving efficiency, and everything else that goes into the supply chain. Simply put, the value of technological progress is built into current price levels.
Several generations ago, some of my ancestors (my great grandparents) came here and bought their farmland for $10. Now I can barely buy a beer for 10 dollars. Yet we don't measure GDP in 1900 dollars, or in year 3000BC shekels.
Regardless, in many ways, my beer today IS worth more than a farm in 1900. My beer was made because of generations of farmers growing grain, building up their homesteads, brewers buying equipment and employed generations of employees, farming equipment improving efficiency, and everything else that goes into the supply chain. Simply put, the value of technological progress is built into current price levels.