Mismeasuring Our Lives: Why GDP Doesn't Add Up
The New Press, Apr 27, 2010 - Business & Economics - 176 pages
In February of 2008, amid the looming global financial crisis, President Nicolas Sarkozy of France asked Nobel Prize–winning economists Joseph Stiglitz and Amartya Sen, along with the distinguished French economist Jean Paul Fitoussi, to establish a commission of leading economists to study whether Gross Domestic Product (GDP)—the most widely used measure of economic activity—is a reliable indicator of economic and social progress. The Commission was given the further task of laying out an agenda for developing better measures.
Mismeasuring Our Lives is the result of this major intellectual effort, one with pressing relevance for anyone engaged in assessing how and whether our economy is serving the needs of our society. The authors offer a sweeping assessment of the limits of GDP as a measurement of the well-being of societies—considering, for example, how GDP overlooks economic inequality (with the result that most people can be worse off even though average income is increasing); and does not factor environmental impacts into economic decisions.
In place of GDP, Mismeasuring Our Lives introduces a bold new array of concepts, from sustainable measures of economic welfare, to measures of savings and wealth, to a “green GDP.” At a time when policymakers worldwide are grappling with unprecedented global financial and environmental issues, here is an essential guide to measuring the things that matter.
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LibraryThing ReviewUser Review - thcson - LibraryThing
This is a short summary of a report written by a commission established for assessing supplements and replacements for the GDP measure. That's a worthwhile task, I suppose, but this book is a very ... Read full review
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adjusted affect aggregate Amartya Sen approach assessment assets biocapacity capability approach capture Carbon Footprint citizens climate change Commission Commission’s composite indices consumption and wealth country’s current well-being dashboard developed countries dimensions of quality disposable income distribution domains Ecological Footprint economic activity economic performance emissions environment environmental example expenditures extended wealth focused Footprint global global warming household income human capital Human Development Index important imputations income and consumption increase inequalities issues Joseph Stiglitz leisure living standards market prices measures of economic measures of quality measuring sustainability ment metrics monetary national accounts natural capital natural resources Nicholas Sarkozy non-sustainability OECD output people’s lives policies political voice pollution problem real income Recommendation reflect relevant resource depletion risk SMEW social capital social connections society socio-economic statistical systems Stiglitz subjective well-being surveys tion United valuation various