work done by nsis

02/10/14

Cuneo PhilippeDirector of Methodology, Coordination and International Relations

Work done by NSIs

On GDP and beyond

10-12-14Work Done by NSIs on GDP and Beyond – e-frame final conference - Amsterdam2

Context

A growing societal and political demands to measure progress, well-being and sustainable development

Two important initiatives

The Stiglitz-Sen-Fitoussi Report on the Measurement of Economic Performance and Social Progress

EU Commission Communication GDP and Beyond

They suggest better measurement in three main areas Economic performance where improvement in GDP accounting are needed Societal well-being (quality of life, including subjective well-being including

inequalities and disparities assessment) Sustainability and environment (intergenerational well-being)


NSIs’ responses to fill statistical gaps

Response both at International and National level

A Sponsorship “Stiglitz” (measuring Progress, Quality of Life and

Sustainable Development) set up and adopted by the ESS

A wide participation with16 NSIs AT, BG, DE, DK, ES, FR, IT, LU, NL, NO, PL, PT, SE, SI, SK, UK- and CH

The Sponsorship’s proposals were adopted by the

European Statistical System

The Sponsorship identifies 50 concrete actions for improving and developing European statistics over the coming years


NSIs’ responses to fill statistical gaps

Recommendations of the Sponsorship1. Households perspective and distributional aspects of income, consumption and wealth

Better promoting the already existing information in the National Accounts that is relevant to the recommendations of the “Stiglitz” Report (net adjusted disposable income and actual final consumption)

Using the household surveys in order to provide macro-economic information on the distribution of income, consumption (short term) and wealth

Fostering the compilation of the balance sheets accounts of households.

Broaden income measures to non market domestic activities as well as leisure time (medium term)

2. Environmental sustainabilityComplementing national accounts with integrated environmental economic accounts

Revising sustainable development scoreboard

Linking National Accounts and energy accounts

3. Multidimensional measures of quality of life- Establishing objective indicators of quality of life on the basis of household surveys and relevant

administrative sources - Assessing quality of life inequalities in a comprehensive way- aggregating the different inequality dimensions (medium term)- Measuring subjective well-being


Work done by NSIs on GDP and beyond

To collect the information, a questionnaire sent by France within e-frame to European NSI (MS+Swiss) to take stock of existing practices in measuring well-being and sustainability.

22 countries filled the questionnaire (AT, BE, CZ, DE, DK, ES, FI, FR, HU, IE, IT, LV, LT, NO, NL, PL, PT, RO, ,UK, SE, SK and CH)

A great many initiatives both at EU level (or even international) and National level are mentioned

Thus making it Impossible to mention here all these initiatives; in this presentation: more attention devoted to QoL and to some examples

A report presenting exhaustively the information collected and validated by countries will be provided shortly.


Overview of work done on quality of life

Titre de la rubrique


Work done by NSIs on quality of life at EU level

10 MS participated in an Expert group set up by Eurostat, following the Sp (DE,DK, ES, FI, FR, IT, LU, NL, PL, UK) to make proposals for measuring quality of life in an harmonized way at the EU level

Dimensions, topics, variables Data sources to be used, ways of dissemination A first set of Qol indicators published on Eurostat website Data Sources: EU-SILC as a core instrument for data at individual level,

possibly completed with additional data sources (LFS, EHIS) or administrative data

http://epp.eurostat.ec.europa.eu/portal/page/

2013 EU-SILC Ad-Hoc module (commission regulation N°62/2012, 24/01/2012) to provide a more comprehensive set of variables on well-being

Use as much as possible already tested variables in the ESS 22 variables divided in 7 areas added (secondary variables) First results in 2015

http://epp.eurostat.ec.europa.eu/portal/page/


Work done by NSIs on quality of life at National level

A questionnaire sent by INSEE to European NSIs (MS+Switzerland) to take stock of National existing practices in measuring well-being and sustainability.

22 countries filled the questionnaire (AT, BE, CZ, DE, DK, ES, FI, FR, HU, IE, IT, LV, LT, NO, NL, PL, PT, RO, ,UK, SE, SK and CH)

Many initiatives both at EU level (or even international) and National level are mentioned

Impossible to mention here all these initiatives

In the eframe framework, a report presenting exhaustively the information collected (and validated by countries) is planned.



At least, the implementation of the EU-SILC regulations (CZ, RO)

Many countries have special pages on their web site dedicated to QoL indicators (CH, ES, NL, LV, MT, NL, SK…)

But several important initiatives have also also been launched in different countries to improve existing metrics of Well-being and Progress

These initiatives can be ranged into National wide consultations (such as the one launched by in the UK) Parliamentary commissions (such as the ones established in Germany

and Finland) Expert round tables tasked with proposing indicator sets based on

existing statistics (such as Italy and Spain) Development of new statistics (such as new survey in France, Poland)



National consultations

Measuring National Well-Being Programme (MNW) in UK

Six months National debate to focus on “what matters” Launched in November 2010 175 events with 750 people and 34000 responses received on line or via other

channels Note: difficulties to joint some social groups

The MNW has developed a framework for measuring well-being consisting of 10 domains and around 40 Headlines measures of wll-being

Output Questions on individual well-being added to ONS household surveys Publication: “Measuring National Well-Being- Life in the UK 2012” report,

planned to be updated annually An interactive “wheel of measures”, maps, graphs and charts


Wheel of measures


Wheel of measures (2)


Work done by NSIs on quality of life at national level

Parliamentary commissions

The W3 indicator set in Germany

End 2010, the German Bunsdestag established a Study Commission to develop an alternative to GDP for measuring growth, wealth and QoL

In June 2013, its report proposed a set of indicators, called the “W3 indicators” (not a single indicator because it is impossible) Its name “w3 indicators” to emphasize the equal importance of the 3

dimensions 10 headline indicators covering material well-being, social inclusion and

environment to be observed and commented every year. Complemented with 9 so-called “warning lights” which shall only part of

the reporting when crossing certain thresholds which were proposed by the commission

A last indicator “Information light” as a kind of memorandum item to remind the importance of non market activities


W3 indicator set in Germany

Material prosperity Sozial inclusion Environment

Headline indicators

„Warning lights“

GDP per person/GDP change rate on the previous year per person

Income distribution P80/P20

General government debt as a percentage of GDP

Health: Life expectancy

Freedom:World Bank indicator „Voice and

Accountablity“

Greenhouse gas emissions national

Nitrogen surplus national

Species diversity national

Employment:Employment rate

Education:Upper secondary attainment rate

Net fix capital formation as a percentage of GDP

Wealth distribution P90/P50

Financial sustainability of pHH: Credit to GDP gap, Property price gap and equity

price gap

Quality of employment:Under employment rate

Life long learning:Participation in formal and non-formal

education

Health: Healthy life years

Greenhouse gas emissions global

Nitrogen surplus global

Species diversity global: Bird index

Non-market domestic production

„Information light“



Parliamentary commissions

The Findicators in Finland

A service open in 2009, providing up-to-date statistical information on key social indicators, as a joint effort of the Prime Minister’s office, Members of Parliament and Statistics Finland.

Over 100 indicators for social progress, and user-friendly as possible

The service is based on solutions enabling automatic updates directly from a database maintained by Statistics Finland

The relevance is ensured by the involvement of the users and feedback function

To prevent potential users from saying ‘there is a lot of information but I can’t find it, it is too old, too complicated, not policy relevant



Expert round tasked

The BES Initiative in Italy

The aim of the project is to produce a dashboard of indicators able to provide a shared view of the progress of the Italian society.

It is built on a complex deliberative process based on: Steering Committee: coordinated by National council fr Economic and

Labour (CNEL) and Istat, with the participation of 33 stakeholders (entrepreneurs, unions, NGO networks, women / consumers / environmental organizations) and Istat experts, to identify the domains and to agree on the final list of indicators

Scientific Commission: coordinated by Istat with the participation of 80 experts from academic and research institutions, to identify the best indicators for each domain

Public consultations: National survey Online survey Blog Regional meetings


BES: a complex approach

Discussion

Annual survey on what is important for wellbeing

(24k households)

Steering Committee

12 Dimensions

Scientific commission

134Indicators

Online survey (2500 people)

and Blog

Meetings in every region

and Blog

Final report



Expert round tasked

Spain

The Permanent Commission of the Higher Council of Statistics decided in July 2011 to set up a working group to analyse the initiatives in the field of well being progress and sustainability and to make proposals to incorporate them in the Spanish national system

The working group studies the relevance and feasibility of the 53 recommendations of the Insee-Eurostat Sponsorship



Development of new surveys

France

In 2010, some new questions were added to the French version of EU-SILC in order to assess global satisfaction on a scale from 0 to 10

In the 2009 French Time Use Survey, for a subset of households, questions to grade the quality of time spent on each activity of the respondent’s ten-minute interval diary

In 2011 an innovative experimental survey, which aims at exploring, in a single statistical source, the different dimensions of both objective and subjective Quality of Life Possible for the first time to study accumulation of deprivations. Better understanding of the links between objective determinants of

Quality of Life (such as health, education or marital status) and subjective well-being.

First results were published in 2012. On going work on panel data




Poland

In 2011, a multidimensional Social Cohesion Survey preceded by a pilot survey in 2008 Planned to be carried every 4-5 years, to monitor the change in social

progress and assess the effectiveness of actions undertaken Multidimensional approach with objective and subjective approach

On going work to build few indicators of QoL, developed at NUTS1 and NUTS2, and for different social groups

Analyse of the interactions between different dimensions and drivers of life satisfaction

Time Use survey (2013) with questions to rate individual activities Results available end 2014




Ireland

A module attached to the Quarterly National Household Survey for Quarter 3 of 2013

5 questions added (life satisfaction, life worthwhile, happiness, anxiety, education satisfaction, health satisfaction)

Response on an eleven point scale (except health, 5 point scale) Following assessment of this first survey, 4 first questions could

be repeated each quarter A report “Regional quality of Life in Ireland 2013” has been

published




Switzerland 2011, an household survey on the perception of environment quality and

environment behaviour On Homepage of Website, 27 indicators of QoL By 2014, aim at elaborating an information system based on a conceptual

basis (link capital approach with Well being)

Hungary A multidimensional QoL indicator system with first results end 2013 Add 2 more “national” dimensions: social integration/inclusion and social

norms/anomie Some data on gypsies in the social integration/inclusion dimension On going work to develop indicator at the regional level An annual report based on the set of indicators and a web site on this topic



Development of new methods

Portugal A national well-being index composed of 10 synthetic indexes, one by each

domain, and a final global index, reusing information from Statistics Portugal and ESS and covering the period 2004-2011, 2004 being the based year.

Methodology similar to the one used by Statistics Canada in the “Canadian Index of Wellbeing”

Debate with different statistical stakeholders to select the indicators An annual report on the national Well-being Index will be published

Spain A publication in January 2013 “Alternative in the construction of a

multidimensional QoL indicator” Two alternative ways of synthesizing the measurement

A composite indicator that combined the 9 dimensions without weight of each dimensions A synthetic indicator calculated from a single source with scoreboard methods



Publications, web site

Austria With different stakeholders, development of a set of indicators which

reflect the different dimensions of Quality of Life A publication “How’s Austria” In 2013 publication, a special chapter on determinants of subjective well-

being in Austria

Netherlands Adopted a framework on QoL with 8 relevant domains, with data on

happiness and life satisfaction in each domain Data available published on website Collection of data plan to be extended with questions added to the social

survey Data by social group, provinces, degree of urbanization Methodological work to compare the numeric scale 0-10 to the Dutch one


Overview of work doneMeasuring disparity in National Accounts


Measuring disparity in the National Accounts(1)

A wide participation in the OECD-Eurostat Expert Group

14 European countries involved (AT, DK, DE, ES, FI, FR,IT, NL,PL, PT, SL, SW, UK and CH ; 3 extra European)

Objective: reconciling macro-economic figures and public perception

Two type data Houshold’s Accounts: exhaustive scope, harmonized framework Direct information, individualized information

The idea is to build a bridge between these two approaches to break down households’ accounts by household categories

Breakdown for each component of income and consumption, using distribution coming from micro data (collected or imputed) and benchmarking aggregates on national account figures


Measuring disparity in the National Accounts (2)

Breakdown National Accounts for each component of income and consumption

3 countries are ready to implement it at once 6 countries will be ready at short term (below 2 years) 7 countries will be ready at mid term (2 to 5 years) 1 country can’t implement this method

France has already broken down the French 2003 Household Accounts (income, consumption, wealth), using surveys (2010 data forcasted in 2014)

The Netherlands have produced 2008 data in 2011


Some elements of work done on

Measuring sustainable development


Environmental Economic Accountingat EU level (1)

Implementation of Environmental economic accounting to track the link between the environment and the economy at EU, National, Institutional sector and industry level

Reglementation 691/2011 adopted in 2011, EU MS should transmit data from 2013 on:

(a) air emissions, including greenhouse gases, (b) environment-related taxes (c) economy-wide material flow accounts (EW-MFA).

Derogation until 2015 for 6 countries (CY, AT, FR, MT, PO, UK )

Proposal for amending this regulation with 3 more modules (from 2017 on)

Physical energy flow accounts Environmental goods and services Environmental protection expenditure


Environmental Economic accounting (2)

Further work in UK The Measuring National Well-being (MNW) programme published a

roadmap to include natural capital and ecosystems into the UK Environmental Accounts by 2020

MNW programme is also developing natural capital estimates based on the comprehensive wealth estimates developed by the UN and the World Bank

ONS is currently working on creating an initial monetary ecosystem account for woodland, building on the physical account, due for publication in April 2014

A scoping study is also being worked on for the freshwater habitat in the UK with the view to create similar ecosystem accounts for this habitat later in 2014. Finally, the ONS is planning on creating Top Down overall estimates of the UK Natural Capital stock in 2014 - for all habitats, not by habitat.


Measuring sustainable developmentat national level

Most of the countries have National Sustainable Strategy and Indicator set established by consultation, dialogue with different stakeholders

Most SD indicator sets range from 15 key indicators (e.g. France) to 155 indicators (e.g. Hungary), with an averaage of 80 indicators.

Very often indicator-based assessment for easy communicable message. But unfortunately, these methods are not harmonized and evaluation not comparable

Monitoring report annually or sometimes biannually (AT, DE, CH)

Always a page of NSI website dedicated to National sustainable development indicator set, updated on a regular basis (annually and even twice a year)

Friendly presentations on website (NL, CH); NL adopted a framework nearly identical to the UNECE recommendations on measuring SD (June 2013) (themes according to 3 dimensions of SD « here and now », « later » and « elsewhere »


Conclusion Importance of both international and national actions

If we want indicators as visible as GDP, we need harmonized indicators, agreed at an international level.

But measuring well being means also measuring what matters for individuals, and it is not the same all around the world. We need to adapt the framework and the indicators to national specificities and cultures. No one-size-fits-all indicator set

National actions can also sometimes be used as prototype for future international actions

National actions are less well known than international stds. The e-frame programme gives the opportunity to share experiences and

best practices and to go further beyond GDP with standardized data and a guarantee of quality provided by the Code of Practice

Thank you for your attention !

Contact Philippe CuneoTél. : +33 1 45 82 05 01Courriel : [email protected]

Insee18 bd Adolphe-Pinard75675 Paris Cedex 14

www.insee.fr

Informations statistiques :www.insee.fr / Contacter l’Insee09 72 72 4000(coût d’un appel local)du lundi au vendredi de 9h00 à 17h00

Titre du diaporamasur deux lignes

http://www.insee.fr/




work done by nsis

Documents

quality of life inequalities

quality of lifetitre

measuring wellbeing

income measures

macroeconomic information

existing information

disposable income

distribution of income