Brynjolfsson: Digital goods create huge value yet can push measured GDP down

erikbryn · x · 2026-09-13

Economist Erik Brynjolfsson argues in a discussion with David Deming and Avi Collis that many goods and services — especially digital goods, plus home production, health and safety — are not fully reflected in GDP. In many cases, conventionally measured GDP will actually fall as these goods are created and improve: substitution replaces prior spending but doesn't price quality gains, e.g. free Wikipedia beats printed encyclopedias on access and freshness.

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