Replacing GDP by 2030: Towards a Common Language for the Well-being and Sustainability Community

GDP is the world's most influential indicator because of its underlying community, the macro-economic community, which formalized its language in the System of National Accounts (SNA). However, beyond-GDP is a heterogeneous community that speaks in many dialects, accents, and languages, making it difficult to challenge GDP's dominance. This book proposes a new roadmap to 2030 to create a multidisciplinary Wellbeing and Sustainability Science (WSS) with a common language, the System of Global and National Accounts (SGNA).

Format: Paperback / softback
Length: 362 pages
Publication date: 30 May 2019
Publisher: Cambridge University Press

The global dominance of Gross Domestic Product (GDP) as the primary measure of societal progress has been a subject of debate and criticism. While GDP has been widely recognized for its ability to quantify economic output and provide a snapshot of a country's economic health, it has been criticized for not considering factors such as well-being and sustainability. Despite the emergence of numerous alternatives to GDP, such as the Genuine Progress Indicator (GPI) and the Human Development Index (HDI), these alternatives have not managed to effectively challenge GDP's dominance.

The success of GDP and the failure of beyond-GDP can be attributed to the underlying communities that support them. The macro-economic community, which emerged in the aftermath of the Great Depression and World War II, formalized their language in the System of National Accounts (SNA). This system provided a global terminology with which to communicate and measure economic activity. On the other hand, the beyond-GDP community is a heterogeneous group that speaks in many dialects, accents, and languages. Unless this changes, the beyond-GDP cottage industry will never beat the GDP-multinational.

This book proposes a new roadmap to 2030, detailing how to create a multidisciplinary Wellbeing and Sustainability Science (WSS) with a common language, the System of Global and National Accounts (SGNA). The SGNA would incorporate a broader range of indicators beyond GDP, such as environmental sustainability, social well-being, and human capital. By adopting a common language and framework, the WSS would enable researchers, policymakers, and stakeholders to compare and evaluate different countries' progress more effectively.

The success of the SGNA would require a collaborative effort from governments, international organizations, and academia. It would involve developing new methodologies, data collection systems, and indicators that capture the full range of factors that contribute to societal well-being. It would also require a shift in mindset, from a focus on short-term economic growth to a more holistic approach that considers the long-term consequences of economic activities on human and environmental health.

In conclusion, the dominance of GDP as the primary measure of societal progress is a complex issue that requires a multifaceted approach. While GDP has its advantages, it is limited in its ability to capture the full range of factors that contribute to human well-being and sustainability. By creating a common language and framework, the WSS has the potential to transform the way we measure and evaluate societal progress, enabling us to create a more equitable and sustainable world.

Weight: 620g
Dimension: 228 x 153 x 17 (mm)
ISBN-13: 9781108739870