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World Economic Order and Demography Sustainability Indicators

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Title: World Economic Order and Demography Sustainability Indicators


1
World Economic Order and DemographySustainability
Indicators
  • PEEP course Global Trends
  • 21 September 2006
  • Mats Johansson
  • Lisa Van Well

2
National Income Accounting
  • Defining GDP and PPI (PPP)
  • GNIused by World Banks Atlas (3-year average)
    Method takes into account all production in the
    domestic economy (such as GDP), plus the net flow
    of factor income (profits, labour income from
    abroad)
  • Defining NNP, NIAs

3
Gross Domestic Product (GDP)Closed economy
GDPFCCIG-TIOpen economy GDPFCCIGX-Z-TI
4
Business cycles and structural transformation
  • Business cycles Regular cyclical fluctuations in
    the ec
  • economy (short term), repetitive phases
  • Structural transformation From one economic
    phase to another qualitative different phase
    (long term), a completely new phase Business
    cycles Investment a central variable
  • Investment Increases the production capacity,
  • income creating (profits, wages), increases the
    purchasing power
  • More demand, more investments ?higher
    employment?upswing
  • After a while production capacity gt consumption
    capacity? overcapacity?unemployment, income
    decline?downswing
  • In the downswing depreciation of K ?increased
    investment, higher employment? income creating
    ?upswing
  • Today more synchronised business cycles (effects
    of the globalisation processes)

5
World Economic Order
  • Processes of globalisation
  • Comparative advantages, economies of scale and
    scope
  • Trade flows between regions of the world
  • Models of economic world order
  • Global economic institutions (World Bank, IMF,
    WTO)

6
World Bank
  • Mission to fight poverty and improve the living
    standards of people in the developing world.
  • Specialised UN institution
  • Provides loans, policy advice, technical
    assistance and knowledge sharing services
  • Promotes growth to create jobs and to empower
    people to take advantage of opportunities

7
International Monetary Fund (IMF)
  • Organization of 184 countries
  • Goal to foster global monetary cooperation,
    secure financial stability, facilitate
    international trade, promote high employment and
    sustainable economic growth, and reduce poverty.

8
World Trade Organisation (WTO)
  • Multilateral Organisation dealing with rules of
    trade between nations
  • Negotiation Forum for trade agreements and
    dispute resolution, technical assistance
  • Principles Free trade without discrimination,
    fair competition, transparency

9
Environmental costs of Globalisation/Free Trade?
  • Environmental costs of consumption
  • Environmental costs of transport
  • Environmental costs of production

10
Demography
  • Population trends in various parts of the world
  • Dependency ratio
  • Problems with population decline
  • New trends in agriculture
  • Migration and immigration

11
  • Measuring Sustainability

12
Sustainable Development-Beyond concepts to action
  • Think globally, act locally
  • Each local authority should enter into a dialogue
    with its citizens, local organizations and
    private enterprises and adopt a local Agenda 21
  • Earth Summit- Agenda 21 (ch. 28)

13
Indicators and stragegiesLocal Agenda 21
  • Europe 5292 LA21 in 36 countries (80)
  • Africa 151 LA21 in 28 countries
  • Asia-Pacific 674 LA21 in 17 countries
  • Latin America 119 LA21 in 17 countries
  • N. America USA 87, Canada 14
  • Middle East 79 LA21 in 13 countries

14
Local Agenda 21 in Sweden
  • 289 municipalities
  • Focus on stakeholder dialogue (citizens and
    businesses), process, integration of environment,
    economy and social aspects

15
Local SD indicatorsSustainable Seattle (NGO)
  • Waste Reduction and Recycling Program
  • Environmental Priorities Project
  • Comprehensive plan
  • Sustainable Seattle Citizens Initiative
    Voluntary network and civic forum, developed
    local sustainability indicators

16
Seattle sustainability indicators Criteria
  • Relevant
  • Reflect community values
  • Attractive to local media
  • Statistically measurable
  • Logically or scientifically defensible
  • Reliable
  • Leading and
  • Policy-relevant.

17
European Sustainable Cities Towns Campaign
project
  • Towards A Local Sustainability Profile European
    Common Indicators
  • Launched by Environmental Commissioner Margot
    Wallström, 1999

18
European Common Indicators Survey method
  • Citizen Satisfaction with the Local Community
  • Local Contribution to Global Climatic Change
  • (and/or local Ecological Footprint)
  • Local Mobility and Passenger Transportation
  • Availability of Local Public Open Areas and
    Services
  • Quality of Local Outdoor Air
  • Childrens Journeys to and from School
  • Sustainable Management of the Local Authority and
    Local Businesses
  • Noise Pollution
  • Sustainable Land Use
  • Products Promoting Sustainability
  • equality and social inclusion , local governance,
    empowerment, democracy, local/global relationship
    , local economy, environmental protection ,
    cultural heritage/quality of the built
    environment

19
Principles of sustainable governance- strategies
  • Urban Management, including a range of tools for
    managing sustainability
  • Policy integration-vertically and horizontally
  • Ecosystems thinking, with a social dimension
  • Cooperation and Partnership Learning by doing
    and by example, networks
  • EUROPEAN SUSTAINABLE CITIES EXPERT GROUP
    ON THE URBAN ENVIRONMENT, MARCH 1996, BRUSSELS

20
Global indicators?
  • World Development indicators (WDI) 630 different
    indicators (World Bank Group)
  • Millennium Development Goals indictors
  • Bellagio Principles (1996 by international group
    of measurement practitioners, organised by IISD),
    indicators impossible for consensus, but
    developed principles for assessment of
    sustainable development
  • what matters gets measured!

21
Bellagio Principles
  • Guiding Visions and Goals for SD
  • Holistic Perspective
  • Essential Elements (inter and intra-generational
    equity, ecological conditions, market and
    non-market activities)
  • Adequate scope (timeframe, local and far-reaching
    impacts, build on historic and future conditions)
  • Practical focus (to give clear picture of
    sustainability)
  • Openness and accessible
  • Effectively communicated, especially to
    politicians
  • Broad participation
  • Ongoing assessment (adjustable goals)
  • Supportive of Institutional capacity

22
Environmental Sustainability Index (ESI)
  • Involved 3 groups World Economic Forums Global
    Leaders for Tomorrow, Environmental task force,
    Yale University and Center for International
    Earth Science Information (Columbia University)
  • Measures overall progress towards environmental
    sustainability in 142 countries by 20 indicators
    and 5 core components
  • Environmental systems, Reducing Stresses,
    Reducing Human Vulnerability, Social and
    Institutional Capacity, Global Stewardship

23
Problems with measuring Sustainable Development?
24
The social constructions of sustainability
  • Sustainability is inherently problem-driven
    concept, rather than scientific (like climate
    change)
  • About values and norms of the type of lifestyles
    we want and attitude to the resources upon which
    these are based.

25
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