[FrojoS]

Correct me, but if two people create a SAAS that can replace a 50 people SAAS, compete on price and the competitor is forced out of the market, wouldn’t this show up as an reduction in GDP? Efficiency (GDP/time_worked) should be up though, and AFAIK it isn’t.

[ahtihn]

2 people are now producing what took 50 people previously.

What are the 48 other people doing now? Presumably some other economic activity.

[HWR_14]

Yes, when prices of goods and services go down so will GDP. I've not seen evidence of the prices of SaaS going down in the past few years.