rich nations, poor nations
DESCRIPTION
LPM 1TRANSCRIPT
Rich Nations, Poor Nations
“The Happy Planet Index”
Edu
Contents
• Purpose• Happy Planet Index Overview • Pros and Cons• Video: 5 min• Development Model: Country Example• Conclusions– Back up
What is the main purpose of individuals?
Security, Satisfaction, Happiness, Well-being or Richness?
All?
Gross Domestic Product
GDP measurement have been important, but also have been costly to our planet environment
GDP: Problem Statement
• Only measure one thing: Does not measure what matters more for individuals. • Wealth creation: Measured. But not Well-being that is more valuable.• Planet’s ecological impact of growth: Not measured • Who is getting wealthy? : Not measured. Per capita factor, does not consider this.
Alternatives?Many options:
Human Development Index (UN)
Happy Planet Index (NEF)
Gross National Happiness (Bhutan Kingdom)
National Well-Being Accounts (NEF)
Sustainable Economic Welfare Index Genuine Progress Indicator
Happy Planet Index• What: Index of human well-being and environmental impact .
• Who: New Economics Foundation (NEF) in July 2006.
• Why: Challenge well-established indices of countries’ development, which are seen as not taking sustainability into account.
Key Message: Aim of most people is not to be rich, but to be happy and healthy
HPI Measurement
Life Expectancy Ecological Sustainability
Life Satisfaction Well-Being
Result: Index range from 0 to 100
Pros and Cons of HPI
+ Well-being of people
+ Includes Ecological Impact in Planet.
+ Includes Life expectancy.
+ Supplementary to GDP
- Happiness could be considered subjective.
- Survey method can have high error rate.
- Lead to generalization
VIDEO
Nic Marcs
NEF FounderJuly 2010
Costa Rica* Highest HPI score is that of Costa Rica (76.1/100)
Costa Rica• Country Facts: • Abolition of the Army in 1949. • Investment in Education (32nd Rank). • Focus on Environmental growth (3rd rank).• 25% Landmass is protected national parks (1st rank) • Reduction in poverty from 40% to less than 16% in last
50 years.• Trade liberalization (FTZ). Exports to surpass its 30%
ratio of GDP to a current 50% rate
• Developmen Model: • New economy centered on people and the
environment. • Pura Vida: Costaricans Way of LifePura Vida!
ConclusionsIs important to measure economic
development, but should be also integrate it with well-being and ecological impact
GDP High ≠ Well Being of citizens
Let’s enjoy life and have a Pura Vida mentality.
Pura Vida!
Back up Information
- GDP per capita- HPI 2009
Costa Rica
• Country Facts: – Size: 51,000Km2 (129th rank)– Pop: 4.5 million (117th r rank)– Life Expectancy: 77.6 (56th rank)– GDP per Capita*: $10,900 (100th rank)– Unemployment: 4.6% (80th rank)– Literacy: 95%
GDP/HPI Formulas
HPI 2009 List
GDP Per capita 2009 List