Defining and Measuring Macroeconomic Sustainability — The Sustainable Economy Indices
Throughout this paper, a set of indices for the measurement of the sustainability of national and regional economic systems is developed. The basic concept for the development of the indices sees economic sustainability co-determined by the natural and social environment of economic activity as well as by the operational principles of economic systems which are found in actions of payment.
Accordingly, indices of economic sustainability for the interfaces between economic systems and their social (Consumption Surplus) and natural environment (Ecological Sustainability) as well as for the exchange of money between economic subsystems (Solvency) are developed. Together with auxiliary indices, a set of indices for the measurement of the sustainability of national and regional economic systems is developed.
The calculation of the indices is based on an extended version of Supply and Use Tables Including Environmental Accounts. The extended SUTEA contains accounts for the ecological valuation of flows of resources and residuals as well as a novel classification of economic activity (Survivability, Production and Consumption Surplus).
KeywordsEconomic System Efficiency Index Consumption Surplus Current Account Deficit Ecological Sustainability
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