Revision: Green National Product

National income accounts have not, until recently, made any adjustment for the environmental impact of economic growth. Critics argue that because of this omission, the statistics misrepresent improvements in social welfare. For example, no allowance is made for environmental depletion or money spent on correcting environmental damage that is actually recorded as an addition to GDP. GDP only records marketed transactions - at present, there is no market for many important environmental resources and it is also difficult to place monetary values on them.  Green accounting is starting to make progress in a number of countries.

One measure is the Index of Sustainable Economic Welfare (ISEW) developed by economists at the New Economics Foundation. The ISEW adjusts official data on real national output and makes an allowance for defensive spending (i.e. that incurred in cleaning up for pollution and other forms of environmental damage, together with money spent commuting to work). Not surprisingly, the net growth of ISEW is well below that of the official data for national income, output and spending.

Unit 2 Macro: Cyclical and Structural Economic Issues Facing the UK [23 May 2012]
Unit 2 Macro: Evaluation on Supply-Side Policies [21 May 2012]
Unit 2 Macro: Migration and the UK Economy [20 May 2012]
Unit 2 Macro: Positive and Negative Multiplier Effects [20 May 2012]
Unit 2 Macro: The Importance of Productivity [20 May 2012]
Unit 2 Macro: Human Development Index (HDI) [20 May 2012]
Q&A: What do we need to know about output gaps? [20 May 2012]
Unit 2 Macro: The Output Gap [20 May 2012]
Revision notes on unemployment [20 May 2012]
Unit 1 Micro: Revision Presentation on Government Intervention [16 May 2012]
Unit 2 Macro: Bank Cuts UK growth Forecast for 2012 [16 May 2012]
Unit 1 Micro: Revision Presentation on the Price Mechanism [16 May 2012]
Improving Evaluation Skills in Economics Exams [16 May 2012]
Unit 4 Macro: African Human Development Report 2012 [15 May 2012]
Unit 2 Macro: Revision Notes on Supply-side Policies [10 May 2012]
Unit 1 Micro: Revision Blogs on Markets and Intervention [10 May 2012]
Unit 2 Macro: 10 Key Revision Topics for EdExcel [7 May 2012]
Unit 2 Macro: Growth and Development Glossary [5 May 2012]
Unit 2 Macro: Fiscal Policy Glossary [5 May 2012]
Unit 2 Macro: Economic Cycle Glossary [5 May 2012]
Unit 2 Macro: Aggregate Demand Glossary [5 May 2012]
Exam Technique for Economics - Weesteps to Evaluation [5 May 2012]
Macro Revision - Key Statistics on the UK Economy [4 May 2012]
Unit 1 Micro: Using the Cost-Benefit Principle [30 Apr 2012]
Macro Revision: Putting Things in Context [29 Apr 2012]
Unit 2 Macro: Britain back in Recession [29 Apr 2012]
Unit 3 Micro: Key Diagrams for Business Economics [17 Apr 2012]
Unit 4 Macro: Managing the Global Commons - Limits to GDP [15 Apr 2012]
Unit 4 Macro: Mini Documentary on Financial Instability [15 Apr 2012]
Ukraine Hotel ‘Bandits’? [12 Apr 2012]
Government Intervention in the Energy Market [11 Apr 2012]
Football Clubs to Pay for Negative Externalities [11 Apr 2012]
2012 Economics Revision: Ways to Improve your Paper [9 Apr 2012]
Unit 2 Macro: The UK Balance of Payments in 2011 [4 Apr 2012]
Unit 4 Macro: Productivity Improvements in China [3 Apr 2012]
Unit 2 Macro: Revision on Real Economic Data [2 Apr 2012]
Unit 2 Macro: Gross National Happiness in Bhutan [31 Mar 2012]
Posen on slower growth in the UK compared to the USA [30 Mar 2012]
Global Economy- the 2012 BRICS Summit [28 Mar 2012]
Life in the Slow Lane - UK Growth in 2011 Lags the Euro Area [28 Mar 2012]
George Buckley at the Millfield Economics Society [28 Mar 2012]
Unit 4 Macro: Evaluating 3 Years of Quantitative Easing [27 Mar 2012]
Unit 1 Micro: Highest and Lowest Paid Jobs in the UK [26 Feb 2012]
Unit 2 Macro: The Dash for Gas in Mozambique [17 Feb 2012]
Unit 4 Macro: King on the UK Economy [15 Feb 2012]
Competitiveness [8 Feb 2012]
Unit 4 Macro: Focus on India - Comparative Advantage [27 Jan 2012]
Unit 2 Macro: Focus on China - Trade and Growth [27 Jan 2012]
Unit 2 Macro: Focus on China - Carbon Emissions and Growth [26 Jan 2012]
Unit 2 Macro: Focus on China - Per Capita Incomes [26 Jan 2012]
Unit 2 Macro: Focus on China - Changing Economic Structure [26 Jan 2012]
Unit 4 Macro: Focus on India - Economic Growth [24 Jan 2012]
Teaching vacancy - Economics & Business Studies, Reed’s School - Cobham, Surrey [19 Jan 2012]
Revision Presentation: Economics Evaluation Skills [10 Jan 2012]
Exam Advice: 10 Ideas for a Better Economics Paper [10 Jan 2012]
Unit 2 Macro: Factors Driving Business Investment [10 Jan 2012]
Unit 4 Macro: Natural Disasters and their Economic Impact [7 Jan 2012]
AS and A2 Economics - 10 Ways to Improve Evaluation [4 Jan 2012]
Unit 1 Micro: Prezi on the Economics of Negative Externalities [2 Jan 2012]
Resources on Keynes and Hayek [27 Dec 2011]
Unit 2 Macro: Brazil Overtakes UK in Economic Size [26 Dec 2011]
Introduction to Neuroeconomics - Fusing Psychology with Economics [16 Dec 2011]
Rory Sutherland at Zeitgeist [1 Dec 2011]
Behavioural Economics: Herd Behaviour [28 Nov 2011]
Where is the UK Economy? National Output [22 Nov 2011]
Stephen King - Great Article on Macroeconomics [22 Nov 2011]
Beyond the Bike - The Value of Money [19 Nov 2011]
LSE Lecture: Daniel Kahneman - Thinking Fast and Slow [15 Nov 2011]
LSE lecture: Darwin economy [13 Nov 2011]
AS Macro: The State of British Business [13 Nov 2011]
Economics Resources - Week Ended 6 November 2011 [6 Nov 2011]
AS and A2 Macro: GDP resources from Planet Money [31 Oct 2011]
Is happiness the right measure of social progress? [20 Oct 2011]
Can the “invisible hand” solve Africa’s poverty? [13 Oct 2011]
Keynes Prize: The Economics of Cities (2) [13 Oct 2011]
Keynes Prize: The Economics of Cities (1) [12 Oct 2011]
Unit 2 Macro: UK suffers a weak recovery [12 Oct 2011]
Why Is Macroeconomics Such A Mess? [11 Oct 2011]
Fat tax: Denmark [5 Oct 2011]
Unit 2 Macro: Exercise on National income [27 Sep 2011]
Unit 4 Macro: Greek Economy at Default’s Door [25 Sep 2011]
Unit 4 Macro: IMF Flags up Risks of Double Dip [20 Sep 2011]
Study Note - Measuring national income [16 Sep 2011]
Study Note - Value Added and Contributions to a Nation’s GDP [16 Sep 2011]
Study Note - Introduction to GDP [15 Sep 2011]
Unit 2 Macro: Economic Growth and Inequality [14 Sep 2011]
Study Note - What is Macroeconomics? [13 Sep 2011]
Unit 2 Macro: Value Added in Production and GDP [11 Sep 2011]
Starter Video: The Slums of Manilla [11 Sep 2011]
50% tax rates - Chuck it George [7 Sep 2011]
NHS spending good, private provision bad? [5 Sep 2011]
Mixing with the Nobel Economists [4 Sep 2011]
Toilet rolls, soap and climate change [1 Sep 2011]
John Kay on the future of Economics [26 Aug 2011]
Unit 4 Macro: GDP per person since the credit crunch [19 Aug 2011]
Unit 1 Micro: The Price of Football [2 Aug 2011]
7 Reasons why Teachers should Blog [7 Jul 2011]
Shaping the Future - Blanchflower on the UK Economy [7 Jun 2011]
Poor Economics - Esther Duflo at the LSE [3 Jun 2011]
AS Macro: Preparing for Unit 2 (May 2011) [25 May 2011]

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