For decades the Gross Domestic Product has been the gold-standard for measuring economic health, wealth and progress. GDP has become entrenched in our discourse, but it is a remarkably narrow measure of a nation’s overall well-being. It defines progress through the narrow lens that more is better – more consumption, more production, more exports. GDP entirely neglects indicators such as income inequality, the cost of underemployment and pollution, environmental impact and resource depletion or a broad range of social indicators including the cost of crime, the value of volunteerism and leisure time, education and community. As a measure of “progress” and national “health”, it is sorely lacking. Which is why many are looking toward alternative measures of well-being, that take into consideration economic, environmental and social indicators. Here are two short video clips which explain why and how GDP fails to paint a complete picture of growth, progress and well-being in the new economy, and how alternative measures such as Gross National Happiness or the Human Development Index can help us.
Check out these videos and we would love to hear your thoughts: