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Policy indexes � what do they tell us and what are their applications? The case of climate policy and business planning in emerging markets

Listed author(s):
  • Swenja Surminski
  • Andrew Williamson
Registered author(s):

    The last two decades have witnessed an explosion in the publication of country indexes that measure and rank the relative policy performances of governments. Whilst there is a well understood audience for such rankings amongst policy-makers and the media, much less is known about their use and applicability to business users and business planning. In this study we explore if and how policy indexes can assist business decision-making and compare and contrast the strength and weaknesses of using indexes between their current target audience of government decision makers and business planners. We focus on one particular area � climate policy � where several of these types of indexes have been developed, all with different aims, varying in investigation of the information content of these climate change indexes and by a number of stakeholder interviews with business representatives. Despite several challenges and limitations to the use of policy indexes by business leaders, we suggest that the need for data and information to support business planning and market entry decisions is strong � particularly in emerging markets and in sectors that face political uncertainty.

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    Paper provided by Grantham Research Institute on Climate Change and the Environment in its series GRI Working Papers with number 88.

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    Date of creation: Sep 2012
    Handle: RePEc:lsg:lsgwps:wp88
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    1. Bohringer, Christoph & Jochem, Patrick E.P., 2007. "Measuring the immeasurable -- A survey of sustainability indices," Ecological Economics, Elsevier, vol. 63(1), pages 1-8, June.
    2. James Cust, 2009. "Using intermediate indicators: lessons for climate policy," Climate Policy, Taylor & Francis Journals, vol. 9(5), pages 450-463, September.
    3. Andrea Saltelli, 2007. "Composite Indicators between Analysis and Advocacy," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 81(1), pages 65-77, March.
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