An Assessment of the Valuation Methods Used to Calculate the Index of Sustainable Economic Welfare (ISEW), Genuine Progress Indicator (GPI), and Sustainable Net Benefit Index (SNBI)
For some time now, ecological economists have been putting forward a ‘threshold hypothesis’ – the notion that when macroeconomic systems expand beyond a certain size, the additional cost of growth exceeds the flow of additional benefits. In order to support their belief, ecological economists have developed a number of similar indexes to measure and compare the benefits and costs of growth (e.g., the Index of Sustainable Economic Welfare and the Genuine Progress Indicator). In virtually every instance where an index of this type has been calculated for a particular country, the movement of the index appears to reinforce the existence of the threshold hypothesis. Of late, a number of observers have expressed concerns about whether these alternative indexes reflect concrete reality or the prejudices of ecological economists. In view of these concerns, this paper closely examines the valuation methods used in the calculation the Index of Sustainable Economic Welfare, the Genuine Progress Indicator, and the Sustainable Net Benefit Index. It is argued that a consistent and more robust set of valuation techniques is required in order for these alternative indexes to gain broad acceptability. Copyright Springer 2005
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 7 (2005)
Issue (Month): 2 (06)
|Contact details of provider:|| Web page: http://www.springer.com|
|Order Information:||Web: http://www.springer.com/economics/journal/10668|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- T.K. Rymes., 1992. "Some Theoretical Problems in Accounting for Sustainnable Consumption," Carleton Economic Papers 92-02, Carleton University, Department of Economics, revised 1993.
When requesting a correction, please mention this item's handle: RePEc:spr:endesu:v:7:y:2005:i:2:p:185-208. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla)or (Rebekah McClure)
If references are entirely missing, you can add them using this form.