Living Standards Series: Discussion Paper:18/01, February 2018

The purpose of this report is to investigate different existing frameworks for measuring wellbeing, make a recommendation on which the Treasury should be using based on technical criteria and identify any issues with that choice relative to New Zealand including
any obvious ways around those issues (such as extra indicators and recalculating indexes for inter-temporal comparisons).
Criteria that have been considered relate to both the theoretical framework for measuring wellbeing, as well as the practicalities of operationalising and presenting data based on the framework. Desirable criteria include international comparability, a dashboard approach, data
availability and appropriateness for a developed country like New Zealand. This is important for monitoring our progress against more than just economic indicators. The focus of this report is on the measurement framework for current state wellbeing (represented by the left-hand column of Figure 1 below), which is separate from but related to the measurement frameworks that are being developed for the capital stocks that provide flows of wellbeing. Anticipating future wellbeing (Sustainability for the Future) is the topic of parallel reports, while considering risks and resilience (Managing Risks) is currently under development. (From the Introduction).

One of four discussion papers related to the Treasury approach to the Living Standards Framework - follow the link for more information. Record #5772