Documents Costanza, Robert 4 results

"While global Gross Domestic Product (GDP) has increased more than three-fold since 1950, economic welfare, as estimated by the Genuine Progress Indicator (GPI), has actually decreased since 1978. We synthesized estimates of GPI over the 1950–2003 time period for 17 countries for which GPI has been estimated. These 17 countries contain 53% of the global population and 59% of the global GDP. We compared GPI with Gross Domestic Product (GDP), Human Development Index (HDI), Ecological Footprint, Biocapacity, Gini coefficient, and Life Satisfaction scores. Results show a significant variation among these countries, but some major trends. We also estimated a global GPI/capita over the 1950–2003 period. Global GPI/capita peaked in 1978, about the same time that global Ecological Footprint exceeded global Biocapacity. Life Satisfaction in almost all countries has also not improved significantly since 1975. Globally, GPI/capita does not increase beyond a GDP/capita of around $7000/capita. If we distributed income more equitably around the planet, the current world GDP ($67 trillion/yr) could support 9.6 billion people at $7000/capita. While GPI is not the perfect economic welfare indicator, it is a far better approximation than GDP. Development policies need to shift to better account for real welfare and not merely GDP growth."

"The UN Sustainable Development Goals (SDGs) offer a detailed dashboard of goals, targets and indicators. In this paper we investigate alternative methods to relate the SDGs to overall measures of sustainable wellbeing that can motivate and guide the process of global societal change. We describe what a Sustainable Wellbeing Index (SWI) that connects with and complements the SDG dashboard might look like. We first investigate several options for how to construct such an index and then discuss what is needed to build consensus around it. Finally, we propose linking the SDGs and our SWI with a comprehensive systems dynamics model that can track stocks and flows and make projections into the future under different policy scenarios."

"Discounting the future is essential to inform long-term decisions, but the future of humanity is being put in jeopardy by using the same discount rate for all capital types. Different types of capital assets (built, human, social, natural) have inherently different characteristics and contribute differently to the production of all goods and services. They will behave and depreciate differently and will thus require different discount rates and different approaches to discounting. Here, we estimate the net present value (NPV) of global ES recognizing that ecosystem services are the product of the interaction of the four different types of capital that each have different characteristics. We combine a range of different discount rates for each of the 4 types of capital according to their relative contributions to the production and value of each of 17 global ecosystem services. We estimate that the NPV of global ES ranges from $5.7 to $9.1 × 1015 (quadrillion 2011$USD). For comparison, the NPV of global GDP estimated in the same way would be about $2.9 to $4.8 × 1015. This more nuanced approach to discounting can improve information for long-term project appraisal and decision making and help build a more sustainable and desirable future."

"The human economy is in effect a subsystem of the biosphere. Ecosystems provide natural resources that are fundamental to both societal well-being and economic performance. Here, we show how recovery of national economies from systemic crises can be moderated by the natural resources used to power them. By examining data from 133 systemic economic crisis events in 98 countries over 40 years, we found that countries relying on a broad range of electricity sources experienced extended recovery times from crises, though that effect was tempered somewhat when the relative contribution of those sources was increasingly balanced. However, the best predictor of economic recovery was the extent of reliance on renewable energy—we found that economic recovery tends to be swiftest in countries powered primarily by renewable energy sources. These findings have profound implications for global energy policy and reveal the need to consider both the composition and diversity of energy sources in models of economic resilience."