10. A Sketch on Environmental Macroeconomics

1. Economic Growth and the Natural Environment

2. National Accounting and the National Environment

10.2 National Accounting and the Natural Environment

1. Natural Resources 2. Land and surface water(hectares)

3. Ecosystems

1.1 Mineral and energy resources (cubic metres, tonnes, tonnes of oil equivalents, joules)

2.1 Land underlying buildingsand structures

3.1 Terrestrial ecosystems

1.2 Soil resources (cubic metres, tonnes)

2.2 Agricultural land and associated surface water

3.2 Aquatic ecosystems

1.3 Water resources (cubic metres) 2.3 Wooded land and associated surface water

3.3 Atmospheric systems

1.4 Biological resources (timber, crops and plants, aquatic resources, animals other than aquatic)

2.4 Major water bodies -

- 2.5 Other land -

Table 10.1 SEEA Classification of Natural Assets (see UN et al. 2003, p. 252)

Accounting for Sustainability

Country ANS

China 35.1

India 24.2

Japan 15.3

USA 0.9

Netherlands -1.2

Equatorial Guinea -38.4

Angola -42.6

Table 10.2 Adjusted Net Saving as a Percentage of Gross National Income, 2008(see World Bank 2011, p. 185-195)

Modified ISEW per Capita

19501960

19701980

19902000

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

GDP per capitaModified ISEW per cap-ita

Fig. 10.1 US per Capita Values for Modified ISEW and GDP, $US,constant 2005 prices (see Beca and Santos 2010, p. 815)

Living Planet Index

Realm Percent change, 1970-2007

Total -28

Terrestrial -25

Freshwater -35

Marine -24

Table 10.3 Trends in Living Planet Indices, 1970-2007 (see WWF 2010, p. 103)

LPI and Country Income

Income category LPI percent change, 1970-2007

High 5

Middle -25

Low -58

Table 10.4 Change in the LPI by Country Income Group, 1970-2007 (see WWF 2010, p. 103)

EU Sustainability Indicators

Socioeconomic development

Sustainable consumption and production

Social inclusion Climate change and energy

Growth rate of GDPper inhabitant

Resource productivity Inequality of income distribution

Greenhouse gas emissions

Net National Income Municipal waste generated

Individuals’ level of computer skills

Gross inland energy consumption, by fuel

Employment rate Emissions of acidify-ing substances by source sector

Public expenditure on education (for subtheme Education)

Electricity generated from renewable sources

Total investment Electricity consump-tion of households

Life expectancy at age 65, by gender

Implicit tax rate on energy

Genuine savings(to be developed)

Livestock densityindex

General government debt

External costs of energy use (to be developed)

Table 10.5 Selected EU Sustainability Indicators (see Eurostat 2009, p. 292-300)

Classification of Indicators

Source Income Hybrid Wealth

Man-made

Wealth

Natural

Wealth

TotalUN SNA GDP - - - Balance sheetUN SNA NDP - - - Balance sheetAtkinson/Hamilton

GNDP - - - Genuine savings

WWF - - - LPI -UN - - - SEEA -Daly/Cobb ISEW - - - -Eurostat - EU set - - -

Table 10.6 Classification of Indicators