Global Economy Inches Upward as Environmental and Social Concerns Mount
22 / 10 / 2014, WorldWatch
Nationalprogress is often measured almost exclusively by growth in the gross domestic product, or GDP. Yet as the global economy inches upward, actual social and environmental well-being lags. Alternative measures for gauging progress are needed to determine true prosperity, write Worldwatch’s Mark Konold and Climate and Jacqueline Espinal in the Institute’s latest Vital Signs analysis (bit.ly/VSOEcon). The global economy grew moderately (at 4.49 percent) in 2013, resulting in a total combined GDP of $87 trillion for all countries in the world. Emerging markets accounted for a large part of the growth (representing 50 percent of the total), as an affluent middle class formed and young workers migrated into cities, encouraging business investment in developing countries. Growing inequality. Even as the global economy picks up, however, social challenges continue to mount. According to the United Nations Development Programme, average household income inequality in recent decades has risen in both industrial and developing countries. One billion out of 7 billion people live below poverty levels and experience most acutely the dark side of development, such as global climate change, water depletion, food shortages, and biodiversity destruction.