GDP: Environmental

1
GDP Environmental Social Dimensions

• Chapter 6
• Sections 1, 2 6

2
Whats are some limits to GDP as conventionally
calculated?

• Treats goods and bads the same
• Crime, divorce and natural disasters as economic
  gain.
• Environmental spills and cleanups count
• Takes no account of income distribution
• Ignores non-market activity
• Core sphere
• Market failure externalities
• Depletion of natural capital as income

3
The Future?
4
Figure 6.1 Macroeconomics in Context
5
Accounting for the Environment

• Environmental functions p.5
• Resource (inputs to production)
• Ecosystem Services (air, water, climate)
• Sink (waste)
• eaNDP GDP depreciation of mfg capital
  depreciation of natural capital p.6
• http//unstats.un.org/unsd/envAccounting/seea2003.
  pdf

6
Measuring Household Production

• Section 3 not assigned
• Core sphere social reproduction see time use
  survey, p.17

7
Table 6.1 Average Hours per Day Spent in Primary
Activities
8
Genuine Progress Indicator

• Best known attempt at offering an alternative to
  GDP (as currently defined)
• Redefining Progress web site
• Measurement now extended to 2006

9
Table 6.2 Calculating the 2002 Genuine Progress
Indicator (in billions of 1996 dollars) (to be
continued)
10
(continued) Table 6.2 Calculating the 2002
Genuine Progress Indicator (in billions of 1996
dollars)
11
(No Transcript)
12
Figure 6.4 Real GDP Per Capita and GPI Compared
13
No Fault p.28
Which of the follow describe A A resource
function of the natural environment? B An
environmental service function? C A sink
function? 1. a landfill 2. a copper mine 3.
carbon dioxide (a byproduct of combustion)
entering the atmosphere 4. wild blueberries
growing in a meadow 5. a suitable temperature for
growing corn 6. a view of the Grand Canyon
14
Other slides
15
Figure 6.2 Time Trends of Community Biomass of
Large Predatory Fishes in Various Ecosystems
16
Figure 6.3(a) Proportion of Full-Time Homemakers
among All Workers, 1870
17
Figure 6.3(b) Proportion of Full-Time Homemakers
among All Workers, 2000
18
Table 6.3 Human Development Index, 2003