It's hard to say whether that "wasting money on products no one wants" is a positive or negative economic impact. Curiously, this "spent" money would be income for somebody else and would actually show up as positive GDP, so fewer attempts at starting companies would be a economically negative.
This is related to which side of the "broken windows fallacy" you subscribe to.
This is related to which side of the "broken windows fallacy" you subscribe to.