Tugas II – Bahasa Inggris Niaga

A. The amount of GDP can always tell whether a country is prosperous or not.

 I do not agree with the statement

       GDP can describe the average income of each person in a country's economy in a
certain period. In this case GDP is the best tool in measuring how much goods and
services can be enjoyed by residents of a country. Logically, the higher a person's
income, the higher his standard of living, which means more prosperity.

           However, some people question the validity of GDP as a measure of welfare.

Among them is the question whether "Gross Domestic Product does not measure
children's health, quality of education, or their enjoyment and freedom. GDP does not
measure the health of our children, but countries with greater GDP can provide better
health care. GDP does not measure the beauty of poetry, but a country with a greater
GDP can provide education for its citizens to be able to read and enjoy poetry. GDP
does not take into account intelligence, integrity, courage, wisdom, or loyalty to our
country, but all these commendable things are easier to grow when people are less
worried about their ability to meet their needs in life.

           

 There are also several other reasons why GDP is not a perfect measure of welfare :

GDP does not include goods and services that are produced and consumed in the
household. For example child care at the care center is part of GDP, while care for
children themselves is not part of GDP. Voluntary work also contributes to people's
welfare, but GDP does not take this contribution into account. GDP does not include
environmental quality. If environmental regulations are eliminated, companies will
produce goods and services at will without considering the pollution they cause. GDP
will increase rapidly but welfare may decline. The decrease in water and air quality will
be far greater than the profits derived from large production.

      One of the prominent characteristics of Indonesia is that the western part of the
country has a significantly larger GDP growth contribution. Java (especially the Greater
Jakarta area) and Sumatra, together, contributed to raising Indonesia's total GDP. The
main reason for this situation is that the western part of Indonesia is located close to
Singapore and Malaysia. These three countries in the course of history have functioned
as centers of economic activity in Southeast Asia. Meanwhile, the eastern part of
Indonesia is located in a path of a quieter economy and has far less population.

While most countries in the world must be jealous of Indonesia's GDP growth rate. The
problem is that Indonesia is still outside the ranking of the top 100 countries with the
highest GDP per capita in the world. However, the GDP figure is still doubtful if it is used
to reflect the wealth of the Indonesian people. Effective government policies are needed
to provide more education for Indonesian children and more job opportunities for
Indonesian adults. Finally, we can conclude that GDP is a good measure of welfare for
various purposes, but not for all purposes.