The Digital Economy and Problems in Measuring GDP

The level of GDP may fall even though the quantity of goods and services that we are consuming is increasing. This is one of the ironies of the switch to the digital products largely provided by global platform businesses such as Google, WhatsApp, AirBNB and Facebook.

In this excellent short video interview, Professor Sir Charles Bean, of the London School of Economics, is a former Deputy Governor of the Bank of England looks at the impact of the fast pace of change in the digital economy and the problems this creates for future-proofing our official economic statistics - not least the data on gross domestic product (GDP).