A Formula Dangerously Easy for Politicians

gdp=consumer spending+investments+government spending+(exports-imports)

What about this formula is peculiar? This formula is how we judge our economic success yet it has a strange quality: Aside from exports, it measures spending, not production. Any money spent is inherently positive for the sacred GDP. So if the consumer or the government just borrows like crazy and spends the money on doughnuts, that raises GDP. Not to disparage doughnuts; they are wonderful. And certainly the money spent on them will percolate down through the doughnut industry for the betterment of all. But this does raise a point: Is some spending better than others? Is money saved and spent better than money borrowed and spent? Is money spent on small start up companies better than money spent on swampland in Florida? Is the money spent raising a building the same as money spent razing one?

Are all money and all spending created equal?