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India begins transition to measuring "green" GDP

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Added by apesphere on 11 Jun 2009
From: economictimes.indiatimes.com

Image courtesy Nitin Kirloskar via Flickr

Starting in 2010, India will begin incorporating measures of natural resource depletion within their measure of national income.

 

According to the Economic Times, an official from the Ministry of Statistics and Programme Implementation stated that the calculation would incorporate:

 

"the cost of recovery of polluted resources, which has to be used as a deflator to real GDP. Our green GDP may be significantly lower than real GDP as economic growth is resource-intensive".

 

China tried to measure a green GDP in 2004, but abandoned it after it triggered infighting between government departments and the political establishment. Environmental degradation had lowered GDP into the red.

 

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