[AnthonyMouse]

> Is it really unthinkable that a fixed population could each year turn a finite set of resources into a set of resources that is 3% more valuable?

No, of course not. The bulk of that 3% has always been population growth, but economic growth outside of population growth is possible -- it's even beneficial -- it's just not mandatory. There is nothing forcing it to happen, and the bad thing that happens if you don't have it is that you don't have it.

But that's still not great. Humans have had periods of stagnation that have lasted hundreds of years, and nobody really wants to live the lifestyle of the middle ages anymore.

Which is the point. If people spend their time optimizing click through rates and suing each other then humans don't immediately go extinct, but we also don't get any further toward curing cancer or colonizing other planets. And that's bad, directly, on its own, not because of some nebulous impact on economic indicators.

[mrep]

US real gdp growth per capita has been 1.33% for 2010-2016 [0] which is not an insignificant part of 3%.

[0]: https://en.wikipedia.org/wiki/List_of_countries_by_GDP_(real...

[AnthonyMouse]

It's an even less insignificant part of "3%" given that real GDP growth during that period was less than 3%, in part due to declining birthrates and a population growth rate below historical norms.

But it's also kind of cherry picking numbers because that bracket starts just after the housing crisis and is measuring the recovery. The 2000-2010 bracket was 0.71%, compared to historical numbers around 2% (but also historical real GDP growth of more like 4%).

You also have to discount some amount of real GDP growth for the general category of "banks doing bank stuff" which increases GDP a lot on paper even though it's somewhere between net neutral and actually destructive of underlying value, e.g. credit availability and low interest rates causing higher housing prices and higher total interest paid which both get booked as GDP "growth" even though they don't imply any actual productivity increase and negatively impact quality of life for working people.

The result is that population growth is the majority -- but by no means the entirety -- of "real" real GDP growth. (There is also an interesting effect where population growth has non-linear effects, because more people results in both more minds working on productivity improvements and more people who can benefit from each of those improvements, resulting in a quadratic productivity increase with population.)

But it's concerning that real GDP growth per capita has declined from its historical norms since 2000, even though we now have even more "banks doing bank stuff" than we used to. And it's probably not a coincidence that this has coincided with increasing amounts of regulatory capture and business consolidation.