By Wouter Van Dieren (auth.), Wouter Van Dieren (eds.)
Indicators used to direct ecomonic coverage (GDP, nationwide source of revenue, etc.) are according to a few components ß yet nowhere of their calculation is there an acknowledgement of the degradation of usual assets. The numbers may perhaps glance strong, yet persevered deterioration of our environment is major us toward crises; in the meantime, policymakers and the general public are basing judgements on dangerously incomplete info. In Taking Nature into Account, some of the world's top specialists make the moral, ancient, monetary, and ecological arguments for together with environmental components whilst measuring financial healthiness. Initiated by means of the membership of Rome (an overseas workforce of influential businesspeople, statesmen, and scientists), and written in cooperation with the area extensive Fund for Nature, the record studies current methodologies and makes strategies for adjusting the way in which we expect approximately and degree the economy.
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Extra info for Taking Nature Into Account: A Report to the Club of Rome Toward a Sustainable National Income
Example text
Sometimes statistical results (in the form of averages, for example) can be conflicting, simply because of the nature of statistics. Also, one has to deal with nonresponse, or sample and measurement errors. When such things occur, compiling the input-output table is a way to integrate all of the statistical sources. Commodity flows, for example, have to be balanced. New statistical uses for the input-output table were found when the demand for recent figures came up. Recent, that is, quarterly and monthly, statistics are available for many transactions of the system, but by their nature they tend to give less detail and are less accurate than the results of the pondered yearly inquiries.
Generally speaking, the interest in national income studies is stimulated by several circumstances. First, the political willingness to steer economic development is important, certainly when social consequences have to be taken into account politically. Second, there has to be a theoretical framework, since insight in the coherence of economic processes leads to an understanding of relationships. And, third, the sheer availability of quantitative data on the economic process will create an interest in what we now call national accounting.
The failure of Mill, perhaps the most influential economic thinker of the last century, to persuade his contemporaries can serve as a warning in contemporary discussions. Only by broadening the discussion, by raising it above the narrow "rational" economic context, do we have a chance of exposing and diagnosing our society's obsession with economic growth. It must always have been seen, by political economists, more or less distinctly, that the increase in wealth is not boundless: that at the end of what they term the progressive state lies the stationary state, that all progress in wealth is but a postponement of thiS, and that each step in advance is an approach to it ...