Robert Costanza, the new head of Portland State University’s Institute for Sustainable Solutions and Josh Farley, professor of Ecological Economics at the Gund Institute from the University of Vermont are guests. Topics include a discussion of the idea that most indicators of growth is pinned to Gross Domestic Product. What GDP was designed to do and why it’s not being used properly as a measure of economic well being. This metric is compared to the Genuine Progress Indicator (GPI) as the new measure of our well being as a nation. It adds things such as the value of volunteer work and household labor and accounts for the distribution of income. By this measure we have not made any real progress since 1975 because costs have outweighed the benefits of the additional growth. Josh says that we are pursuing the wrong goal, increasing the rate of consumption doubling it every generation.
Overemphasis on growth leads to more stresses on society. The equation between increasing consumption and increasing happiness is something we’ve been sold by advertising. In reality that relationship doesn’t hold. Other measurements such as Gross National Happiness are discussed. Poverty and distribution of wealth and the notion that we can grow our way out of poverty as a fallacy are noted. Creating rewarding meaningful jobs should be a top priority.