IDEAS home Printed from https://ideas.repec.org/p/ehl/lserod/3058.html
   My bibliography  Save this paper

Weak and strong sustainability in the SEEA: concepts and measurement

Author

Listed:
  • Dietz, Simon
  • Neumayer, Eric

Abstract

In this paper, we explain how the latest international handbook on environmental accounting, the System of Integrated Environmental and Economic Accounting or SEEA (United Nations et al., 2003), can be used to measure weak and strong sustainability. We emphasise the importance of understanding the conceptual differences between weak and strong sustainability. We then outline what we consider to be current best practice in measurement, all the time flagging the relationship between our discussion and that of the SEEA-2003. This is an important task in our view, because, despite covering a very wide range of relevant conceptual and empirical issues, the handbook is by design not meant to provide clear guidelines for the purpose of measuring sustainability in either its weak or strong version.

Suggested Citation

  • Dietz, Simon & Neumayer, Eric, 2007. "Weak and strong sustainability in the SEEA: concepts and measurement," LSE Research Online Documents on Economics 3058, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:3058
    as

    Download full text from publisher

    File URL: http://eprints.lse.ac.uk/3058/
    File Function: Open access version.
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. van den Bergh, Jeroen C. J. M. & Verbruggen, Harmen, 1999. "Spatial sustainability, trade and indicators: an evaluation of the 'ecological footprint'," Ecological Economics, Elsevier, vol. 29(1), pages 61-72, April.
    2. Kenneth J. Arrow & Partha Dasgupta & Karl-Göran Mäler, 2003. "The genuine savings criterion and the value of population," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 21(2), pages 217-225, March.
    3. Kirk Hamilton, 2003. "Sustaining Economic Welfare: Estimating Changes in Total and Per Capita Wealth," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 5(3), pages 419-436, September.
    4. Neumayer, Eric, 2000. "Scarce or Abundant? The Economics of Natural Resource Availability," Journal of Economic Surveys, Wiley Blackwell, vol. 14(3), pages 307-335, July.
    5. A. Markandya & D. W. Pearce, 1998. "Environmental sustainability and cost–benefit analysis," Chapters, in: The Economics of Environment and Development, chapter 4, pages 54-64, Edward Elgar Publishing.
    6. Daniel Kahneman & Amos Tversky, 2013. "Prospect Theory: An Analysis of Decision Under Risk," World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127, World Scientific Publishing Co. Pte. Ltd..
    7. R. M. Solow, 1974. "Intergenerational Equity and Exhaustible Resources," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 41(5), pages 29-45.
    8. Neumayer, Eric, 2004. "Sustainability and well-being indicators," LSE Research Online Documents on Economics 30851, London School of Economics and Political Science, LSE Library.
    9. Asheim, Geir B, 1994. " Net National Product as an Indicator of Sustainability," Scandinavian Journal of Economics, Wiley Blackwell, vol. 96(2), pages 257-265.
    10. Jeroen C.J.M. van den Bergh & Harmen Verbruggen, 1998. "Spatial Sustainability, Trade and Indicators," Tinbergen Institute Discussion Papers 98-105/3, Tinbergen Institute.
    11. Gerlagh, Reyer & Dellink, Rob & Hofkes, Marjan & Verbruggen, Harmen, 2002. "A measure of sustainable national income for the Netherlands," Ecological Economics, Elsevier, vol. 41(1), pages 157-174, April.
    12. Paul Ekins & Sandrine Simon, 1999. "The sustainability gap: a practical indicator of sustainability in the framework of the national accounts," International Journal of Sustainable Development, Inderscience Enterprises Ltd, vol. 2(1), pages 32-58.
    13. Eric Neumayer, 2013. "Weak versus Strong Sustainability," Books, Edward Elgar Publishing, number 14993.
    14. Dasgupta, Partha, 2001. "Human Well-Being and the Natural Environment," OUP Catalogue, Oxford University Press, number 9780199247882.
    15. Eric Neumayer, 2000. "Scarce or Abundant? The Economics of Natural Resource Availability," Journal of Economic Surveys, Wiley Blackwell, vol. 14(3), pages 307-335, July.
    16. Pezzey, John C V & Withagen, Cees A, 1998. " The Rise, Fall and Sustainability of Capital-Resource Economies," Scandinavian Journal of Economics, Wiley Blackwell, vol. 100(2), pages 513-527, June.
    17. Partha Dasgupta & Geoffrey Heal, 1974. "The Optimal Depletion of Exhaustible Resources," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 41(5), pages 3-28.
    18. Hamilton, Kirk & Atkinson, Giles, 1996. "Air pollution and green accounts," Energy Policy, Elsevier, vol. 24(7), pages 675-684, July.
    19. Hartwick, John M, 1977. "Intergenerational Equity and the Investing of Rents from Exhaustible Resources," American Economic Review, American Economic Association, vol. 67(5), pages 972-974, December.
    20. Giles Atkinson & Richard Dubourg & Kirk Hamilton & Mohan Munasinghe & David Pearce & Carlos Young, 1997. "Measuring Sustainable Development," Books, Edward Elgar Publishing, number 1242.
    21. Max-Neef, Manfred, 1995. "Economic growth and quality of life: a threshold hypothesis," Ecological Economics, Elsevier, vol. 15(2), pages 115-118, November.
    22. Roy Brouwer & Martin O'Connor & Walter Radermacher, 1999. "GREEned National STAtistical and Modelling Procedures: the GREENSTAMP approach to the calculation of environmentally adjusted national income figures," International Journal of Sustainable Development, Inderscience Enterprises Ltd, vol. 2(1), pages 7-31.
    23. Neumayer, Eric, 2000. "On the methodology of ISEW, GPI and related measures: some constructive suggestions and some doubt on the 'threshold' hypothesis," Ecological Economics, Elsevier, vol. 34(3), pages 347-361, September.
    24. repec:reg:rpubli:132 is not listed on IDEAS
    25. Hamilton, Kirk, 1994. "Green adjustments to GDP," Resources Policy, Elsevier, vol. 20(3), pages 155-168, September.
    26. Karl-Göran Mäler, 1991. "National accounts and environmental resources," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 1(1), pages 1-15, March.
    27. Pearce, David W. & Atkinson, Giles D., 1993. "Capital theory and the measurement of sustainable development: an indicator of "weak" sustainability," Ecological Economics, Elsevier, vol. 8(2), pages 103-108, October.
    28. Lawn, Philip A., 2003. "A theoretical foundation to support the Index of Sustainable Economic Welfare (ISEW), Genuine Progress Indicator (GPI), and other related indexes," Ecological Economics, Elsevier, vol. 44(1), pages 105-118, February.
    29. Ekins, Paul & Simon, Sandrine & Deutsch, Lisa & Folke, Carl & De Groot, Rudolf, 2003. "A framework for the practical application of the concepts of critical natural capital and strong sustainability," Ecological Economics, Elsevier, vol. 44(2-3), pages 165-185, March.
    30. World Bank, 2004. "World Development Indicators 2004," World Bank Publications - Books, The World Bank Group, number 13890, December.
    31. Eric Neumayer, 2000. "Resource Accounting in Measures of Unsustainability: Challenging the World Bank's Conclusions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 15(3), pages 257-278, March.
    32. Ekins, Paul & Simon, Sandrine, 2001. "Estimating sustainability gaps: methods and preliminary applications for the UK and the Netherlands," Ecological Economics, Elsevier, vol. 37(1), pages 5-22, April.
    33. De Groot, Rudolf & Van der Perk, Johan & Chiesura, Anna & van Vliet, Arnold, 2003. "Importance and threat as determining factors for criticality of natural capital," Ecological Economics, Elsevier, vol. 44(2-3), pages 187-204, March.
    34. Roy Brouwer & Christian Leipert, 1999. "The role of environmental protection expenditures in integrated economic–environmental accounting: tuning theoretical perspectives and statistical realities," International Journal of Sustainable Development, Inderscience Enterprises Ltd, vol. 2(1), pages 185-200.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Adrian Boos, 2015. "Genuine Savings as an Indicator for “Weak” Sustainability: Critical Survey and Possible Ways forward in Practical Measuring," Sustainability, MDPI, vol. 7(4), pages 1-37, April.
    2. McGrath, Luke & Hynes, Stephen & McHale, John, 2019. "Augmenting the World Bank's estimates: Ireland's genuine savings through boom and bust," Ecological Economics, Elsevier, vol. 165(C), pages 1-1.
    3. Philip Lawn, 2007. "A Stock-Take of Green National Accounting Initiatives," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 80(2), pages 427-460, January.
    4. Luke McGrath & Stephen Hynes & John McHale, 2022. "The Air we Breathe: Estimates of Air Pollution Extended Genuine Savings for Europe," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 68(1), pages 161-188, March.
    5. Jeroen C.J.M. van den Bergh, 2007. "Abolishing GDP," Tinbergen Institute Discussion Papers 07-019/3, Tinbergen Institute.
    6. Nick Hanley & Louis Dupuy & Eoin McLaughlin, 2015. "Genuine Savings And Sustainability," Journal of Economic Surveys, Wiley Blackwell, vol. 29(4), pages 779-806, September.
    7. Bazhanov, A., 2011. "The Dependence of the Potential Sustainability of a Resource Economy on the Initial State: a Comparison of Models Using the Example of Russian Oil Extraction," Journal of the New Economic Association, New Economic Association, issue 12, pages 77-100.
    8. Luke McGrath & Stephen Hynes & John McHale, 2020. "Linking Sustainable Development Assessment in Ireland and the European Union with Economic Theory," The Economic and Social Review, Economic and Social Studies, vol. 51(2), pages 327-355.
    9. Nourry, Myriam, 2008. "Measuring sustainable development: Some empirical evidence for France from eight alternative indicators," Ecological Economics, Elsevier, vol. 67(3), pages 441-456, October.
    10. Bazhanov, Andrei, 2011. "Зависимость Долгосрочного Роста Ресурсной Экономики От Начального Состояния: Сравнение Моделей На Примере Российской Нефтедобычи [The dependence of the potential sustainability of a resource econom," MPRA Paper 35888, University Library of Munich, Germany.
    11. Louis Dupuy, 2012. "International Trade and Sustainability : A survey," Working Papers hal-00701426, HAL.
    12. Koji Tokimatsu & Rintaro Yamaguchi & Masayuki Sato & Rieko Yasuoka & Masahiro Nishio & Kazuhiro Ueta, 2011. "Measuring future dynamics of genuine saving with changes of population and technology: application of an integrated assessment model," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 13(4), pages 703-725, August.
    13. Gnègnè, Yacouba, 2009. "Adjusted net saving and welfare change," Ecological Economics, Elsevier, vol. 68(4), pages 1127-1139, February.
    14. Bazhanov, Andrei, 2011. "Investment and resource policy under a modified Hotelling rule," MPRA Paper 32428, University Library of Munich, Germany.
    15. Ferreira, Susana & Moro, Mirko, 2010. "Constructing Genuine Savings Indicators for Ireland, 1995-2005," Stirling Economics Discussion Papers 2010-10, University of Stirling, Division of Economics.
    16. Jeroen C.J.M. van den Bergh & Miklós Antal, 2014. "Evaluating Alternatives to GDP as Measures of Social Welfare and Progress. WWWforEurope Working Paper No. 56," WIFO Studies, WIFO, number 47188, April.
    17. Pezzey, John C.V., 2001. "Optimality, Hartwick’s Rule, and Instruments of Sustainability Policy and Environmental Policy," 2001 Conference (45th), January 23-25, 2001, Adelaide, Australia 125833, Australian Agricultural and Resource Economics Society.
    18. Shmelev, Stanislav E., 2011. "Dynamic sustainability assessment: The case of Russia in the period of transition (1985-2008)," Ecological Economics, Elsevier, vol. 70(11), pages 2039-2049, September.
    19. Koji Tokimatsu & Rintaro Yamguchi & Masayuki Sato & Rieko Yasuoka & Masahiro Nishio & Kazuhiro Ueta, 2014. "Assessing future sustainability by forecast of Genuine Savings paths," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 16(4), pages 359-379, October.
    20. Bazhanov, Andrei, 2008. "Sustainable growth in a resource-based economy: the extraction-saving relationship," MPRA Paper 12350, University Library of Munich, Germany.

    More about this item

    JEL classification:

    • N0 - Economic History - - General
    • M40 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ehl:lserod:3058. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: LSERO Manager (email available below). General contact details of provider: https://edirc.repec.org/data/lsepsuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.