Rich nations, poor nations


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  • Welcome: Hello everyone, my broad topic is Rich Nations, Poor Nations, but my specific topic for today to talk is called: The Happy Planet Index. Do anyone has heard about it. What can you tell us about it? Before going into detail..lets see first the contents of my presentation.
  • Purpose: The purposeof my presentation is to challenge your way of thinking about what is a rich country or poor country. Since the establishment of economics statistics, GDP has been the only measurement use to define development. Countries and international organizations, tend to only focus in one single indicator and stadistic, but GDP has many flaws. The happy Planet index is an alternative.Notice: My presentation does not try to say that GDP or economic development is not important, but is to say that there should be a balance. Satisfaction cannot be measure only in economic terms, since we have seen that in order to get that economic development we are destroying our planet. The Question: So, my questions is what is important for individuals??
  • GDP is important, but costly: This is how we see the world today. Rich countries defined by GDP. In fact we can say that economic development in terms of GDP can bring other things like: security, health care, but at what cost to the planet and to the same individuals. People in so called developed countries, have polluted environments, higher suicide and depression rates, therefore is it worth to be “develop” on the terms of GDP. GDP formula: The gross domestic product (GDP) or gross domestic income (GDI) is the amount of goods and services produced in a year, in a country. It is the market value of all final goods and services made within the borders of a country in a year. It is often positively correlated with the standard of living.Only measures one thing: Gross domestic product comes under the heading of national accounts, which is a subject in macroeconomics. GDP measures only one factor, in peoples life, and while important, hey should be balanced measure.
  • 3. Problem Statement: What is the problem with GDP Measure and why I want to show you other alternatives. 4. Focusing the development of countries on GDP has kept countries poor stay poor and while some success has occur like Korea, can we say Koreans are happier that to say any habitant of africa or latinamerica or south east asia.
  • Challeging, complement,
  • 4. HPI:
  • The index while is called Happy index, is not claiming to be able to measure happiness, since is very subjective and personal. Is not measuring if people are smiling or not. Is trying to measure individual well-being focusing in areas that matter like: Life expectancy: taken from the human development index Life satisfaction: taken from GALLUP and World Values survey Ecological footprint: World Wide Foundation Planet report Highest HPI: 76.1 (which means no country is making a good grade, therefore the NEF actually calls the happy planet index to the unhappy planet)
  • Start at 2:15 Finish at 9:30 minutes
  • Rich nations, poor nations

    1. 1. Rich Nations, Poor Nations<br />“The Happy Planet Index”<br />Edu <br />
    2. 2. Contents<br />Purpose<br />Happy Planet Index Overview <br />Pros and Cons<br />Video: 5 min<br />Development Model: Country Example<br />Conclusions<br />Back up<br />
    3. 3. What is the main purpose of individuals?<br />Security, Satisfaction, Happiness, Well-being or Richness?<br />All?<br />
    4. 4. Gross Domestic Product <br />GDP measurement have been important, but also have been costly to our planet environment<br />
    5. 5. GDP: Problem Statement <br /><ul><li> Only measure one thing: Does not measure what matters more for individuals.
    6. 6. Wealth creation: Measured. But not Well-being that is more valuable.
    7. 7. Planet’s ecological impact of growth: Not measured
    8. 8. Who is getting wealthy? : Not measured. Per capita factor, does not consider this. </li></li></ul><li>Alternatives?<br />Many options:<br /><ul><li>Human Development Index (UN)
    9. 9. Happy Planet Index (NEF)
    10. 10. Gross National Happiness (Bhutan Kingdom)
    11. 11. National Well-Being Accounts (NEF)
    12. 12. Sustainable Economic Welfare Index
    13. 13. Genuine Progress Indicator </li></li></ul><li>Happy Planet Index<br />What: Index of human well-being and environmental impact .<br />Who: New Economics Foundation (NEF) in July 2006. <br />Why: Challenge well-established indices of countries’ development, which are seen as not taking sustainability into account. <br />Key Message: Aim of most people is not to be rich, but to be happy and healthy<br />
    14. 14. HPI Measurement<br />Result: Index range from 0 to 100<br />
    15. 15. Pros and Cons of HPI<br />+ Well-being of people<br />+ Includes Ecological <br />Impact in Planet.<br />+ Includes Life expectancy.<br />+ Supplementary to GDP <br />- Happiness could be considered subjective. <br />- Survey method can have high error rate.<br />- Lead to generalization<br />
    16. 16. VIDEO<br />Nic Marcs<br />NEF Founder<br />July 2010<br />
    17. 17. Costa Rica<br />* Highest HPI score is that of Costa Rica (76.1/100)<br />
    18. 18. Costa Rica<br />Country Facts: <br /><ul><li>Abolition of the Army in 1949. </li></ul>Investment in Education (32nd Rank). <br />Focus on Environmental growth (3rd rank).<br />25% Landmass is protected national parks (1st rank) <br />Reduction in poverty from 40% to less than 16% in last 50 years.<br />Trade liberalization (FTZ). Exports to surpass its 30% ratio of GDP to a current 50% rate <br />Developmen Model: <br />New economy centered on people and the environment. <br />Pura Vida: Costaricans Way of Life<br />Pura Vida!<br />
    19. 19. Conclusions<br />Is important to measure economic development, but should be also integrate it with well-being and ecological impact<br />GDP High ≠ Well Being of citizens<br />Let’s enjoy life and have a Pura Vida mentality.<br />Pura Vida!<br />
    20. 20. Back up Information<br />- GDP per capita<br />- HPI 2009<br />
    21. 21. Costa Rica<br />Country Facts: <br />Size: 51,000Km2 (129th rank)<br />Pop: 4.5 million (117th r rank)<br />Life Expectancy: 77.6 (56th rank)<br />GDP per Capita*: $10,900 (100th rank)<br />Unemployment: 4.6% (80th rank)<br />Literacy: 95% <br />
    22. 22. GDP/HPI Formulas<br />
    23. 23. HPI 2009 List<br />
    24. 24. GDP Per capita 2009 List<br />