is a blog about design, technology and culture written by Khoi Vinh, and has been more or less continuously published since December 2000 in New York City. Khoi is currently Principal Designer at Adobe, Design Chair at Wildcard and co-founder of Kidpost. Previously, Khoi was co-founder and CEO of Mixel (acquired by Etsy, Inc.), Design Director of The New York Times Online, and co-founder of the design studio Behavior, LLC. He is the author of “Ordering Disorder: Grid Principles for Web Design,” and was named one of Fast Company’s “fifty most influential designers in America.” Khoi lives in Crown Heights, Brooklyn with his wife and three children. Refer to the advertising and sponsorship page for inquiries.+
In his “Strategies” column in today’s New York Times, economics reporter Jeff Sommer has some eye-opening comments on how important the iPhone is to current economic activity.
‘The iPhone is having a measurable impact,’ said Michael Feroli, the chief United States economist for JPMorgan Chase. ‘It’s a little gadget, but it costs a lot and it seems that everybody has one. When you do the multiplication, it’s going to matter.’ He estimates that iPhone sales are adding one-quarter to one-third of a percentage point to the annualized growth rate of the gross domestic product.
I looked it up for my own curiosity, and 2013 GDP was estimated at US$16.8 trillion, according to this site. One-quarter of one percent of that is US$42 billion. I’m no mathlete, so please let me know if I forgot to carry a one in there.
Read the article at nytimes.com.
Update: Reader Mike Tasso wrote in with a more clear-headed interpretation of the numbers:
If the US$16 trillion economy grows by 2%, that means it will grow by US$320 Billion. The article is basically saying that iPhone represents about 12-15% of that (.3/2)—about US$40-50 Billion.