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Obviously, but it would be even weirder if renters contributed to GDP but homeowners didn't.
I covered the export case already. If the engine isn't exported and is instead bought by Boeing the value of the engine is not explicitly counted in GDP (hence final goods and services). Best you can say is that if the engine weren't made here it would need to be imported which would subtract from GDP.
Singapore is highly prosperous. How many jet engines do they produce? There's more than one way to prosperity and it's a mistake for you to shoehorn your vision of what it looks like into what GDP is actually measuring - the amount of goods and services produced in an area.
Capital gains, trades, etc do not contribute to GDP by definition.
Stuff trading firm employees buy with their salaries counts as GDP, but they mostly don't spend their money on the financial sector.
It's useful for measuring goods and services produced in an area and the material standard of living. It's not useful for comparing who makes more jet engines - there are simpler approaches for that.
It's weird to just make up imaginary services. There's no 'imputed rent' for those who own cars rather than renting them. The fact that a government decided to restrict the production of houses while encouraging mass immigration and some baby boomer's property has appreciated 10x and said boomer still lives in that house is not productive economic activity like the production of food, oil or electricity. If banks encourage property bubbles and raise house prices, that's not productive activity.
We talk about GDP because it's supposed to be measuring productive economic activity.
So the engine is still included in GDP, as a double negative. I'll say it again, building engines is included in GDP.
Singapore produces lots of useful goods. Key exports include refined petroleum, integrated circuits, computers, electronics and telecommunications equipment, pharmaceuticals, and chemicals. They also have a large financial sector. It's not necessarily bad to have a large financial sector but it doesn't contribute so much to wealth as industrial production.
Trading firms make profits via high speed trading. Those profits then move out into the rest of the economy via wages, dividends, investment. Therefore high speed trading is effectively part of GDP, despite not being very productive.
GDP doesn't just measure goods and services produced in an area, it measures imaginary fabrications as well, without regard for the desirability and quality of the activity in question. It is ironically similar to how Soviet central planners would set targets for weight only to get unusably heavy chandeliers, GDP privileges quantity over quality and often departs from reality. Building jet engines is just an example of a high quality activity. Of course in economics all statistics are flawed in some respect. GDP is just particularly flawed.
Industry of any kind accounts for just 25% of Singaporean GDP. 75% comes from services. Singapore is a country that is prosperous from providing services, not exports.
This is a sleight of hand. You say HST is part of GDP despite not being productive. But buying and selling stocks does not contribute to GDP.
An HST firm makes a profit on a trade and pays an employee his salary. The employee gets a haircut and pays the barber. What part of this story is included in GDP? It's the haircut, not the trade.
Is imputed rent the only such "imaginary fabrication" in your view? Seems easy enough to just take it out of the equation.
Compared to what?
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But to address @RandomRanger's concern, the engine is implicitly counted in GDP. It's part of the value of the plane. That's also why an imported engine is subtracted from GDP - we want to only count the parts of the plane which were produced domestically.
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