Working Paper: NBER ID: w31155
Authors: Eoin McLaughlin; Cristin Ducoing; Les Oxley
Abstract: We introduce a new database of historical Genuine Savings (GS), an indicator of sustainable development promoted by the World Bank and widely used in contemporary economic research. GS derives from the theoretical work on wealth accounting, and addresses shortcomings in conventional metrics of economic development by incorporating broader measures of saving and investment, including human capital (education), and natural resource depletion. Its value as an indicator is determined by its ability to be used to predict future well-being. This article provides consistent historical estimates of GS since 1850 for 25 countries to enhance, complement, and contextualise the work of the World Bank and others.
Keywords: Genuine Savings; Sustainable Development; Economic History
JEL Codes: N10; N50; Q01; Q32; Q56
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Genuine Savings (GS) (E21) | Sustainable Development (Q01) |
| Changes in Wealth (E21) | Future Wellbeing (I31) |
| Historical Wealth (N21) | Current Economic Conditions (E66) |
| Historical Data (Y10) | Present Sustainability Outcomes (Q01) |
| Changes in Wealth (E21) | Capabilities-based Measures of Sustainable Development (Q56) |
| Changes in Wealth (E21) | Outcome-based Measures of Sustainable Development (Q56) |