The GDP number has achieved a level of importance, that keep central bank governors up nights wondering why getting it to increase is so difficult.

I learnt in my 101 economics class that for an economy to thrive you needed three things to give growth to the economy. That was supply,demand, and liquidity.So if the worlds economy has all three of those in large quantity, why has GDP growth slowed to less than 1% in most places.

If you are able to answer this in your own simple words I would appreciate it, as economics jargon goes over my head.
Chris

The GDP figure is the best measure we have of the amount of economic activity that's occurring. It should be increasing at a fairly steady rate, enabling everyone to be materially better off without making others materially worse off.

But throughout most of the last decade, there's been a shortage of demand. People are unwilling to spend so much money because they're uncertain about their own future circumstances. Businesses are unwilling to spend so much money because they're uncertain about whether they can make a profit from doing so. And governments are unwilling to spend so much money because they, the public, and even quite a lot of economists have such a poor grasp of macroeconomics that they believe a balanced budget to equate to economic responsibility. So GDP growing far more slowly than it should be.

Aiden, when you say "there's been a shortage of demand", all I can see in our society is rampant consumerism. To what level does demand have to reach before its excessive? We are like some grotesque animal hellbent on consuming ourselves, and wont be satisfied until we consume ourselves out of existence with a never ending demand for growth for a never ending growing population.

GDP sounds important. Gross Domestic Product. Around 1999, I heard GDP referred to as Gross Deceptive Product.

Treasurers make announcements when GDP figures come out lower than expected, sounding scary transparently concerning.
During 1990s, Paul Keating said, “you need 3% GDP to keep up with population growth”.
Governments can increase support by building industry, using immigration, using GDP myths excuses, so new workers can increase home building manufacturing turnover.

If a house burns down, a builder builds a new house, that adds to the GDP figure yet the national wealth has not increased because the new house was merely replacing the burnt down house.

If iron ore is mined and exported, the nation has no increased wealth adding to GDP other than foreign currency credits and or wage income credits, yet is it GDP value added?

Manufactures of crack cocaine and ICE get added to the GDP?
How can an increase GDP calculation from one quarter to the next quarter be collected? Announced the following quarter first month.
Importing consumer goods, wholesaling, storing goods on shelves for sale, selling goods seasonally. Does GDP quarterly figures ever go negative?
Corporations run on 90 day credits. Bananas are seasonal.
When damaged goods are thrown out and or eaten, does GDP figures reduce.

How are GDP figures collected? My answer is all figures and graphs are invented for public propaganda consumption. I constantly try to convince readers, everything is a lie.

Confidence surveys collected from company CEOs, invented lies.
Can I empirically prove my statements? No. Nor does anecdotal media.

Recently QandA had guest Simon Reeves holding a graph, pointing to how the Earth's temperature was increasing. A Senate politician says, “that's not empirical evidence”.

Sunday morning television religious ministers saying, “Be aware of the devil, the devil is everywhere, the devil is deceitful”.

Zoroaster founder of Zoroastrianism mythology, Christian and Jewish religion stole “War in the Heavens” parable story myth. The Devil lost the war in the heavens, The Devil and his angels were cast down on Earth, Moses built an ark for the god Yahweh to live in. The Jerusalem temple held the ark with god Yahweh inside the ark. The snake on Genesis tree of good and evil, said to be the devil.

Ethiopian church states they have the Moses's god in the ark.

People are so gullible, yet, by a parable mythical story, people can't think to realise who god is. Because of school learning education, leaders know people will believe what they're told. Doesn't matter weather figures are real, there is no real reliable method to collect statistics. People providing information can lie just for the fun of it. You never let the truth spoil a good story or a good manipulating transparency scary statistical figure when needed.

Share markets have economic figures coming out every day, allowing markets to look volatile. Markets even have a volatile index graph, calculating assumptions of investment speculation wealth creation. Without volatility people can't create increased gambling profits, stated on investment company and Superannuation accounts balance sheets. Companies look to make profitable trades, yet I assume very few companies report huge loses, until that “end of time” market crash.

666 mentioned in the bible is the devil's number, symbols have no upright location. Number 8 is eternity rotated 90 degrees. 101, in 1999 I was told was said to look like a symbol of the devil. (1s) on each side of the zero are horns while the zero is the devil's head. Yes, 101 symbol of the devil sounds ridiculous, easily ignored by people wanting to believe the honestly of anecdotal governments. That's why many learning titles have 101. That's why I use handle steve101 and steve9 on several other forums.

Graphs and figures are all lies, even the unemployment figures are not sort from Centrelink, who, Centrelink would merely have to press a few buttons on a computer keyboard to calculate the true unemployment figures, yet, people believe media statements as though truth is always expressed.

What god ideology runs establishment?

Cathedral twin towers represent the horns of the devil, and or women's breasts. You may say “anyone can post anything on the Internet”.
http://en.wikipedia.org/wiki/Moses_(Michelangelo)

Michelangelo has posted his comment long before the Internet existed. I would say, using pope Julius II instructions.

Why many country flags have pentagrams? Flag pentagrams symbolise the devil, the devil symbolises evil. And, flag pentagrams symbolise the five wounds of Jesus. I say Jesus is a threatening symbol by Jesus own life parable story. Symbols can have more than one meaning. Whatever else pentagrams symbolise, there is no suggestions of truth and honesty.

Self-perpetual Free Market Forces economics are too good to be true. Free market forces conveniently used to blame for economic downturns when boom periods end. The devil is in the detail.

The Next Bust Excuses:
Recently, world bond markets “zero interest rates” have been a finance news item. I suggest finance news have been expressing zero interest rate bonds, bond markets for several years. I suggest, listeners are being conditioned to believe multiple trillions of many currencies denominations, of very low interest bonds, exist.

Australian 2 trillion dollars of superannuation, much of superannuation investments are in bond market's imaginary government bonds. When interest rates rise, as often predicted. Bonds will lose market trade-able value by whatever interest rate percentage increase multiplied by the number of years remaining on invested bonds. Investors speculated bond market profits as interest rates fell, will turn into loses when bond rates rise. Bond market crash history: March 1994 6% to September 1994 10%; 1970 lows to mid 1980s highs.

101 economics readings are designed to hold readers ignorant of real information, using fake graphs as thought economic theory is real.

Google “animal spirits” to be more confused by last paragraph statements.
http://www.economicshelp.org/blog/glossary/animal-spirits/