United Nations Secretary-General António Guterres announced May 8 that Kaushik Basu, the Carl Marks Professor of International Studies in the Department of Economics in the College of Arts and Sciences, and professor in the SC Johnson College of Business, will co-chair an independent “High-Level Expert Group” to develop recommendations for measures that complement or go beyond Gross Domestic Product (GDP). 

Credit: Chris Kitchen/Cornell University file photo

“To achieve the progress we need, the well-being of people and the planet must be at the center of what we measure and value,” Guterres said. “Measures that complement GDP can enable a paradigm shift in policymaking that refocuses efforts on sustainable development and prosperity for all.”

GDP is heavily relied upon as a gauge of prosperity and is the basis for government targets and rankings, but it provides an incomplete picture of the different dimensions of sustainable development.

“In the world of economics, the GDP race — trying to outdo other nations in terms of GDP — has become the big game, ever since Simon Kuznets developed the concept of GDP in 1934,” Basu said. “However, in today’s conflict-ridden world, with sky-rocketing inequality, and dark clouds of climate disaster, it is not clear if this race is doing more good or harm. I am glad the UN decided to do a stock-taking of this central measure of economic well-being, and I look forward to participating in the exercise.”

Read the full story on the College of Arts and Sciences website.