Broad prosperity (well-being) is a way of measuring prosperity that looks beyond economic growth alone. In addition to income and production, it includes quality of life, such as health, education, safety, environment, social cohesion and living conditions. It also weighs consequences for future generations and for other places. Where gross domestic product (GDP) mainly counts monetary flows and production, broad prosperity asks whether life actually improves, now and later, here and elsewhere.
The three dimensions of broad prosperity
- Here and now — prosperity in the present, from income and health to housing and living conditions.
- Later — consequences for future generations, such as natural capital, climate and debt.
- Elsewhere — effects of choices on people and environment in other parts of the world.
Why is broad prosperity relevant for regions and municipalities?
For municipalities and regions, broad prosperity provides an assessment framework that connects policy tasks: health, climate, housing, economy and social cohesion can be considered together rather than separately. Policy is then guided not only by costs or growth, but by the question whether living conditions and quality of life actually improve.
How does broad prosperity relate to the doughnut economy?
Broad prosperity is closely aligned with the doughnut economy. Both combine a social foundation with an ecological ceiling. The social foundation concerns basic human needs; the ecological ceiling concerns planetary limits. Both shift attention from growth as a goal to prosperity that is viable and fair.
How does broad prosperity become measurable?
Broad prosperity becomes useful for decision-making when translated into concrete indicators and trade-offs. A social cost-benefit analysis (MKBA) can make broader value visible and comparable, including effects without market prices, such as health, nature and liveability.
How does New Economy apply broad prosperity?
New Economy translates broad prosperity into evidence-based strategy and decision-making for regions and municipalities, using data and impact analysis as a basis. A broad concept then becomes a practical compass for policy, investment and implementation. See the solutions by transition challenge.
Frequently asked questions about broad prosperity
Broad prosperity is a way of measuring prosperity beyond economic growth, including health, environment, social cohesion and living conditions, now and later.
GDP mainly measures monetary flows and production. Broad prosperity asks whether quality of life actually improves and also weighs future generations and effects elsewhere.
Three dimensions are commonly used: here and now, later and elsewhere. They cover present quality of life, future effects and impacts in other places.
Municipalities use broad prosperity as an assessment framework that connects policy tasks and focuses decision-making on quality of life and living conditions.
Broad prosperity can be measured with indicators and tools such as a social cost-benefit analysis (MKBA), which also includes value without a market price.
For policy work based on broad prosperity, see Services or Solutions, or use the contact page.