In general, Baumol type effects (spending decreasing in sectors where productivity goes up), mean that we can have scenarios in which the economy is growing extremely fast on “objective” metrics like energy consumption, but GDP has stagnated because that energy is being spent on extremely marginal increases in goods being bought and sold.
In general, Baumol type effects (spending decreasing in sectors where productivity goes up), mean that we can have scenarios in which the economy is growing extremely fast on “objective” metrics like energy consumption, but GDP has stagnated because that energy is being spent on extremely marginal increases in goods being bought and sold.