This document discusses the limitations of using Gross Domestic Product (GDP) as the sole measure of a nation's well-being and progress. It argues that GDP does not account for important factors like environmental protection, community support, health, education, work-life balance, and overall life satisfaction. As an alternative, it presents the concept of Gross National Happiness (GNH) which was developed in Bhutan and considers multidimensional domains like standard of living, mental well-being, community, environment, and governance. The document outlines how GNH has been measured and applied at the national level in various countries and communities to help guide policymaking and improve citizens' lives in a more holistic way.
3. A New Economic Paradigm
Gross National Happiness is
more important than Gross
National Product
Gross National Happiness is
more important than Gross
National Product
Jigme Singye Wangchuk
King of Bhutan 1972
4. Gross
National
Happiness
- Material
Wellbeing/Standard of
Living
- Work
- Time
Balance
- Arts &
Culture
- Education
- Environment
- Affect
(feelings)
- Governance
- Social
Support
- Community
- Health
- Satisfaction with Life - Psychological
Wellbeing
Domain icons by Joumana Medlej at majnouna.com
10. Can Happiness be Measured?
Answer: YES
OECD’s Guidelines on
Measuring Subjective Well-being
which documents the
validity and the status of
happiness measurements.
12. GGrroossss DDoommeessttiicc PPrroodduucctt
What GDP counts:
+ goods and services sold
+ oil spills, natural and
manmade disasters
+ illness and death
+ divorce
+ accidents
the sum of all good and
services produced in a year
What GDP does not count:
- time with friends & family
- volunteering, participating
in democratic process
- gardening, educating
yourself
- walking for exercise
13. Does GDP make us happy?
GDP in the US has
more than tripled
since 1950s.
Adjusted per capita
GDP since 1960 has
doubled since 2010
Happiness has
remained stagnant
and even fallen
14. Easterlin Paradox
40 year study of nations across the globe
Up to a salary of $75K
for family of four, long
and short term
happiness increases a
lot with more money
After a salary of
$75K, long term
happiness increases
are marginal or non-existent,
short term
increases in
happiness do occur.
15. Why measure happiness?
Purpose of government &
life
Granularity and defining
issues
Capture the unobservable
Perception of hurting or
thriving
A “guide societies toward
desirable futures” in an
experimenting society
Inclusivity – you are the data
18. “To those who say this sounds
like a distraction from the
serious business of government,
I say finding out what will
improve lives and acting on it is
the serious business of
government.
"We'll continue to measure
gross domestic product. But it is
high time we admitted that,
taken on its own, GDP is an
incomplete way of measuring
a country's progress.”
– Prime Minister David Cameron
23. Genesis of the Nine
Domains of GNH
Subjective and Objective
indicators
Equal Weighting of Domains
24. What canB Shuubjteactniv’es aGnNd OHb jreectpivoer Itn d2ic0a1to0rs tell us?
In the state of Gasa, people perceive themselves to
have a similar standard of living to those in Thimphu
while the per capita income is lower.
25. State of
Maryland
USA
Used by policy makers
to determine priorities
and see how
sustainability and long
term prosperity change
over time.
38. Gross
National
Happiness
- Material
Wellbeing/Standard of
Living
- Work
- Time
Balance
- Arts &
Culture
- Education
- Environment
- Affect
(feelings)
- Governance
- Social
Support
- Community
- Health
- Satisfaction with Life - Psychological
Wellbeing
Domain icons by Joumana Medlej at majnouna.com
40. Material Well-being/Standard of Living
In general, how much stress do you feel about
your personal finances?
Overwhelming stress
High stress
Moderate stress
Low stress
No stress at all
41.
42. Time Balance
In a typical week, how much of your time
are you able to spend doing the kinds of
things that you enjoy?
None of my time
Not much of my time
Some of my time
Most of my time
All of my time
43.
44. Sick Leave Ordinances
City of San Francisco- Ch. 12W of
SF Administrative Code in Paid
Sick Leave Ordinance includes
part time and temp workers
City of Seattle ordinance 123698
– municipal code for paid sick
leave and paid safe time
45. Environment
How satisfied with you are the efforts
being made to preserve the natural
environment in your neighborhood.
Very dissatisfied
Dissatisfied
Neither Satisfied nor Dissatisfied
Satisfied
Very Satisfied
46.
47. Wanted: Five to Seven Planets
If everyone on Earth
consumed at the same level
of the U.S
48. Bhutan’s Constitution: Preservation of
the Natural Environment
60% natural habitat
40% development
Bhutan’s Foreign Direct Investment
(FDI) Policy of 2010 - encourages the
development of an environmentally
friendly, sustainable economy
51. What you can do
Take the GHN Index
How Happy Are YOU?
Find out
Use the GNH Index for your project, city,
community, campus or company
happycounts.org
Questions, comments, requests: info@happycounts.org
Each star represents a community, city, campus or organization using the Gross National Happiness Index
https://mapsengine.google.com/map/edit?hl=en&authuser=0&mid=z08bE1wsFGv8.kndei6Z12qkk
Tell a story again:
17 year old king
asked what are you going to do to improve your countries GDP? GNH is more important. Use a subjective and objective measures of wellbeing Guides countries poliecy decisions and alllocations of resorucs
Domain Icons are available for use with attribution: http://www.slideshare.net/TheHappinessInitiative/the-domains-of-happiness-for-the-gross-national-happiness-index
Tell a story here and let this slide stand by itself.
“Now I want to tell you a story. Imagine tomorrow you woke up – and had a really bad day. You left the stove on, happened to burn the house or apartment complex down, on your way to work, you caused a terrible accident that killed three people – blood all over the street, a huge traffic jam – you get to work and your spouse calls you – he or she wants a divorce and promises its going to be long, messy and very expensive. YOU HAVE DONE GREAT THINGS FOR GDP today. Now let’s imagine another scenario: You wake up, it’s a weekend morning, you spend a leisurely morning picking fruit in the garden and making your loved ones breakfast, then you all go for a walk through the neighborhood- you do not go to the gym- and when you get home you decide to spend the afternoon talking, reading to each other and playing a board game – not going to the movies. YOU ARE MISERABLE - YOU HAVE DONE NOTHING FOR GDP.
Robert Kennedy pointed out that our Gross National Product "measures everything except that which makes life worthwhile."
Genuine Progress Indicator Cheat Sheet.
The goal of the Genuine Progress Indicator (GPI) is an alternative to the Gross Domestic Product . It accounts for health care. childcare, volunteering, income distribution,, safety, a clean environment, and other indicators of well-being.. The purpose of the GPI is to shift economic policy towards sustainability. It is used by governmental and non-governmental organizations worldwide. Because the GDP and the GPI are both measured in monetary terms, they can be compared on the same scale. Download report: The Genuine Progress Indicator 2006
The GPI starts with the same personal consumption data that the GDP is based on and maker some adjustments:ADD
Housework, Volunteering, and Higher Education - GPI includes the value of this work figured at the approximate cost of hiring someone to do it. The GPI also takes into account the non-market benefits associated with a more educated population.
ADJUST
Income Distribution - GPI rises when the poor receive a larger percentage of national income, and falls when their share decreases.
Changes in Leisure Time - When leisure time increases, the GPI goes up; when Americans have less of it, the GPI goes down.
Lifespan of Consumer Durables & Public Infrastructure - GPI treats the money spent on capital items as a cost, and the value of the service they provide year after year as a benefit for private capital items and to public infrastructure, such as highways.
SUBTRACT
Resource Depletion GPI counts the depletion or degradation of wetlands, forests, farmland, and nonrenewable minerals (including oil) as a current cost.
Pollution - GPI subtracts the costs of air and water pollution as measured by actual damage to human health and the environment.
Long-Term Environmental Damage - GPI treats as costs the consumption of certain forms of energy and of ozone-depleting chemicals. It also assigns a cost to carbon emissions to account for the catastrophic economic, environmental, and social effects of global warming.
Crime - GPI subtracts the costs arising from crime.
Defensive Expenditures - GPI counts defensive expenditures as costs rather than as benefits.
Dependence on Foreign Assets - GPI counts net additions to the capital stock as contributions to well-being, and treats money borrowed from abroad as reductions. If the borrowed money is used for investment, the negative effects are canceled out. But if the borrowed money is used to finance consumption, the GPI declines.
source for Layard (2005) graph is his book Happinesss: Lessons From A New Science
also find here http://cep.lse.ac.uk/events/lectures/layard/RL030303.pdf
and a piece on Layard himself http://www.theguardian.com/lifeandstyle/2008/jun/24/healthandwellbeing.schools
Source: http://www.pnas.org/content/early/2010/12/08/1015962107.full.pdf+html
an article and source for photo http://www.vancouversun.com/business/Douglas+Todd+happier+poor+rich/9509671/story.html
From Wellbeing for Public Policy, Diener, Heliwell et all
Social Indicators Research > Vol. 58, No. 1/3, Jun., 2002 > Why Social Policy Nees Subjective Indicators, Ruut Veenhoven
Name of City, Campus or Organization) Happiness Proclamation
WHEREAS, The Declaration of Independence states that we are endowed with “unalienable rights… among these are life, liberty and the pursuit of happiness” and the happiness, or well-being, of citizens is of utmost importance to the ( ); and
WHEREAS The United Nation’s resolution adopted July 19, 2011 “Happiness: towards a holistic approach to development” recognizes “that the gross domestic product indicator by nature was not designed to and does not adequately reflect the happiness and well-being of people in a country” and encourages “additional measures that better capture the importance of the pursuit of happiness and well-being”;
WHEREAS, ( ) understands that “…the welfare of a nation can scarcely be inferred from a measure of national income,” as stated by Simon Kuznets, who created the standard that became GDP;
WHEREAS The idea of measuring people’s happiness or satisfaction with the way their lives are going is an important tool that will help to create a just, sustainable and resilient society;
WHEREAS ( ) understands the importance of creating a broad assessment of the happiness of its (residents) (student body);
WHEREAS The Happiness Initiative’s Gross National Happiness Index provide valuable data and information about the well-being and happiness of our (city) (campus); and
WHEREAS, ( ) is known for its leadership and innovation in the continuing effort to promote the happiness of all peoples; and
WHEREAS, The ( ) acknowledge our role and responsibility for the happiness and well-being of our community;
NOW, THEREFORE, be it proclaimed by the ( )
The ( ) supports the concept of wider measures of well-being to guide public policy and allocation of resources.
The ( ) encourages people and organizations to participate in The Gross National Happiness Index and encourages efforts to conduct a random sampling of our population to ensure representation of the population.
The ( ) is looking forward to seeing the results of the Gross National Happiness Index.
The ( ) encourages the commencement of local town meetings in town halls, community centers, and other public gathering spaces in neighborhoods, where our community revitalizes and reframes the debate and provokes richer broader conversation on a local and national level about subjective and objective metrics.
The ( ) intends to consult the available Gross National Happiness Index data and reports on the issues and ideas raised our community at the town meetings and other activities exploring happiness and well-being.
The ( ) will participate in the town meetings and support activities as is feasible to foster the exploration and conversation about happiness and well-being.
Signed on this day ______________________ at ________________________
Domain Icons are available for use with attribution: http://www.slideshare.net/TheHappinessInitiative/the-domains-of-happiness-for-the-gross-national-happiness-index
Global Footprint network
http://www.footprintnetwork.org/en/index.php/GFN/page/footprint_for_nations/
Source: Inerviiew the John de Graaf
A story: Every movement, organization and effort needs a story. One way to address this is to tell your own story. You can also tell the story depicting need or impact, but often addressing people on a personal level helps kick off a talk and gets people engaged if they can relate to you.
Who is here:
If you have time, get each person to say their name.
If not enough time (the usual), some options:
- have people introduce themselves to their neighbors
ask for hands up or stand up for sectors- government, education, business, not-for-profit, etc.
- ask people to stand up of they represent certain sectors or interest. Some do this so everyone ends up standing up to demonstrate a sense of connection and community
This is a long quote, but if you have time, worth it. You can have someone from the audience read it. You can see the speech here http://www.youtube.com/watch?feature=player_detailpage&v=z7-G3PC_868#t=967s