When measuring GDP, economists look at the market value of goods and service produced in a country each year. However, this measurement of GDP does not take into account the overall health of the economy. Consider a few examples.
A factory produces machinery and their output adds to the GDP of a country. Add up all the producers in the country and you get the sub-total of total GDP in that country. Now, producers are also polluters. Therefore, you have another group; say the government or (other hired service) that spends more money to get pollutants out of water, soil and air, and treating people at hospital for pollution borne disease. The cost of extracting pollutants out of the air, water and soil and treating sick people are also a service added to the sub-total of total GDP to get a grand-total of GDP.
Environmental economists are pushing the green theory that costs of polluting or burning the environment should subtract from GDP to get a value of GDP that represents the overall health of the economy. The theory of green GDP is of great interest to economists in the environmental field and a hotbed of discussion.
The Wall Street Journal reports that of the 25 most polluted cities in the world, 16 are in China. Moreover, China estimates a one-time cost of about $136 billion to clean up all the pollution pumped into the nation’s air, water and soil in 2004. Many rice fields are polluted in China bringing serious disease to its local population. More recently some China exports (food and toys) were exposed for contamination. China's greater incentive for pollution clean up is its preparation for the 2008 Summer Olympics in Beijing.
The purpose of this posting was not to complain of China or any other country. It was more to introduce the Green GDP as a very interesting economic theory - that all of GDP does not necessarily benefit humankind. However, on a more serious note, Green GDP is an important concept as scientists worry about about global warming and search for alternative sources of energy that is less polluting than oil and coal. Also, with people yearning for immortality (or the longest life on earth) and fear that the earth will overcrowd, the search has begun for "Earth II" in earnest. This is not GameSpy, this is real science. Furthermore, Nature's fury shows the rising ride of natural disasters since 1909, they are almost doubling each decade.
There is much that the individual in industrialized countries can do towards a green GDP. You can go organic on your lawns and house plants. You can take that short walk to the grocery store instead of driving. You can park and ride (group transport). You can ride your bicycle to work (short distances) or the nearby grocery store. You can use public transport where this is easily accessible and convenient. Join in the Active Living Resource Center (I am already an advocate) to make a difference.
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