Beyond GDP and Back: What is the Value-added by Additional Components of Welfare Measurement?

Christoph Schmidt, Sonja C Kassenboehmer, Mon, 01/31/2011

In Sarkozy's controversial 2009 Commission on the Measurement of Economic Performance and Social Progress, Stiglitz and Sen argued that standard indicators of material well-being no longer suffice as measures of welfare. They conclude that other measures such as health, security, happiness, and environmental impact should figure more importantly in economics. The authors of CEPR DP8225 reply that these measures add little value to the economist's toolbox.

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URL: www.cepr.org/pubs/dps/DP8225.asp

Topics: Development Frontiers of economic research

Tags: happiness, Happiness economics, Sen, Stiglitz, sustainability and welfare measurement, Stiglitz Report