Why governments should prioritize well-being
-
0:01 - 0:07Just over a mile away from here,
in Edinburgh's Old Town, -
0:07 - 0:09is Panmure House.
-
0:10 - 0:11Panmure House
-
0:11 - 0:18was the home of the world-renowned
Scottish economist -
0:18 - 0:19Adam Smith.
-
0:20 - 0:25In his important work
"The Wealth of Nations," -
0:25 - 0:29Adam Smith argued,
amongst many other things, -
0:29 - 0:32that the measurement of a country's wealth
-
0:32 - 0:36was not just its gold and silver reserves.
-
0:36 - 0:42It was the totality of the country's
production and commerce. -
0:42 - 0:49I guess it was one of the earliest
descriptions of what we now know today -
0:49 - 0:52as gross domestic product, GDP.
-
0:53 - 0:56Now, in the years since, of course,
-
0:56 - 1:02that measurement
of production and commerce, GDP, -
1:02 - 1:05has become ever more important,
-
1:05 - 1:06to the point that today --
-
1:06 - 1:10and I don't believe this
is what Adam Smith would have intended -- -
1:10 - 1:15that it is often seen as
the most important measurement -
1:15 - 1:18of a country's overall success.
-
1:18 - 1:24And my argument today
is that it is time for that to change. -
1:25 - 1:30You know, what we choose to measure
as a country matters. -
1:30 - 1:34It really matters,
because it drives political focus, -
1:34 - 1:38it drives public activity.
-
1:38 - 1:40And against that context,
-
1:40 - 1:47I think the limitations of GDP
as a measurement of a country's success -
1:47 - 1:50are all too obvious.
-
1:50 - 1:55You know, GDP measures
the output of all of our work, -
1:56 - 1:59but it says nothing
about the nature of that work, -
1:59 - 2:03about whether that work
is worthwhile or fulfilling. -
2:03 - 2:10It puts a value, for example,
on illegal drug consumption, -
2:10 - 2:13but not on unpaid care.
-
2:14 - 2:18It values activity in the short term
-
2:18 - 2:25that boosts the economy,
even if that activity is hugely damaging -
2:25 - 2:30to the sustainability of our planet
in the longer term. -
2:31 - 2:34And we reflect on the past decade
-
2:34 - 2:38of political and economic upheaval,
-
2:38 - 2:41of growing inequalities,
-
2:41 - 2:46and when we look ahead to the challenges
of the climate emergency, -
2:46 - 2:48increasing automation,
-
2:48 - 2:52an aging population,
-
2:52 - 2:59then I think the argument for the case
for a much broader definition -
2:59 - 3:03of what it means to be successful
as a country, as a society, -
3:03 - 3:07is compelling, and increasingly so.
-
3:07 - 3:10And that is why Scotland, in 2018,
-
3:10 - 3:15took the lead, took the initiative
in establishing a new network -
3:15 - 3:21called the Wellbeing Economy
Governments group, -
3:21 - 3:23bringing together as founding members
-
3:23 - 3:30the countries of Scotland, Iceland
and New Zealand, for obvious reasons. -
3:30 - 3:33We're sometimes called the SIN countries,
-
3:33 - 3:37although our focus is very much
on the common good. -
3:38 - 3:42And the purpose of this group
is to challenge that focus -
3:42 - 3:44on the narrow measurement of GDP.
-
3:45 - 3:48To say that, yes,
economic growth matters -- -
3:48 - 3:50it is important --
-
3:50 - 3:54but it is not all that is important.
-
3:54 - 4:00And growth in GDP should not be pursued
at any or all cost. -
4:01 - 4:04In fact, the argument of that group
-
4:04 - 4:08is that the goal, the objective
of economic policy -
4:08 - 4:11should be collective well-being:
-
4:11 - 4:15how happy and healthy a population is,
-
4:15 - 4:19not just how wealthy a population is.
-
4:19 - 4:22And I'll touch on the policy
implications of that in a moment. -
4:22 - 4:25But I think, particularly
in the world we live in today, -
4:25 - 4:28it has a deeper resonance.
-
4:28 - 4:30You know, when we focus on well-being,
-
4:30 - 4:33we start a conversation
-
4:33 - 4:37that provokes profound
and fundamental questions. -
4:37 - 4:40What really matters to us in our lives?
-
4:41 - 4:45What do we value
in the communities we live in? -
4:45 - 4:49What kind of country,
what kind of society, -
4:49 - 4:51do we really want to be?
-
4:52 - 4:55And when we engage people
in those questions, -
4:55 - 4:57in finding the answers to those questions,
-
4:57 - 5:01then I believe that we have
a much better chance -
5:01 - 5:07of addressing the alienation
and disaffection from politics -
5:07 - 5:09that is so prevalent in so many countries
-
5:09 - 5:12across the developed world today.
-
5:12 - 5:16In policy terms, this journey
for Scotland started back in 2007, -
5:16 - 5:20when we published what we call
our National Performance Framework, -
5:20 - 5:24looking at the range of indicators
that we measure ourselves against. -
5:24 - 5:28And those indicators
are as varied as income inequality, -
5:28 - 5:30the happiness of children,
-
5:30 - 5:34access to green spaces, access to housing.
-
5:34 - 5:38None of these are captured
in GDP statistics, -
5:38 - 5:44but they are all fundamental
to a healthy and a happy society. -
5:44 - 5:50(Applause)
-
5:50 - 5:53And that broader approach is at the heart
of our economic strategy, -
5:53 - 5:57where we give equal importance
to tackling inequality -
5:57 - 6:00as we do to economic competitiveness.
-
6:00 - 6:02It drives our commitment to fair work,
-
6:02 - 6:05making sure that work
is fulfilling and well-paid. -
6:05 - 6:09It's behind our decision to establish
a Just Transition Commission -
6:09 - 6:13to guide our path
to a carbon zero economy. -
6:13 - 6:17We know from economic
transformations of the past -
6:17 - 6:21that if we're not careful,
there are more losers than winners. -
6:21 - 6:25And as we face up to the challenges
of climate change and automation, -
6:25 - 6:28we must not make those mistakes again.
-
6:29 - 6:32The work we're doing here in Scotland
is, I think, significant, -
6:32 - 6:35but we have much, much to learn
from other countries. -
6:35 - 6:38I mentioned, a moment ago,
our partner nations -
6:38 - 6:41in the Wellbeing network:
-
6:41 - 6:43Iceland and New Zealand.
-
6:43 - 6:47It's worth noting, and I'll leave it to you
to decide whether this is relevant or not, -
6:47 - 6:51that all three of these countries
are currently led by women. -
6:51 - 6:58(Applause)
-
7:02 - 7:04They, too, are doing great work.
-
7:04 - 7:09New Zealand, in 2019,
publishing its first Wellbeing Budget, -
7:09 - 7:11with mental health at its heart;
-
7:11 - 7:17Iceland leading the way on equal pay,
childcare and paternity rights -- -
7:17 - 7:20not policies that we immediately think of
-
7:20 - 7:23when we talk about
creating a wealthy economy, -
7:23 - 7:28but policies that are fundamental
to a healthy economy -
7:28 - 7:30and a happy society.
-
7:30 - 7:35I started with Adam Smith
and "The Wealth of Nations." -
7:35 - 7:40In Adam Smith's earlier work,
"The Theory of Moral Sentiments," -
7:40 - 7:43which I think is just as important,
-
7:43 - 7:47he made the observation
that the value of any government -
7:47 - 7:49is judged in proportion
-
7:49 - 7:52to the extent that it makes
its people happy. -
7:53 - 7:56I think that is a good founding principle
-
7:57 - 8:02for any group of countries
focused on promoting well-being. -
8:02 - 8:05None of us have all of the answers,
-
8:05 - 8:09not even Scotland,
the birthplace of Adam Smith. -
8:09 - 8:13But in the world we live in today,
with growing divides and inequalities, -
8:13 - 8:16with disaffection and alienation,
-
8:16 - 8:18it is more important than ever
-
8:18 - 8:22that we ask and find the answers
to those questions -
8:22 - 8:26and promote a vision of society
-
8:26 - 8:32that has well-being,
not just wealth, at its very heart. -
8:32 - 8:38(Applause)
-
8:38 - 8:43You are right now in the beautiful,
sunny capital city ... -
8:43 - 8:45(Laughter)
-
8:45 - 8:50of the country that led the world
in the Enlightenment, -
8:50 - 8:54the country that helped lead the world
into the industrial age, -
8:54 - 8:56the country that right now
is helping to lead the world -
8:56 - 8:59into the low carbon age.
-
8:59 - 9:04I want, and I'm determined,
that Scotland will also be the country -
9:04 - 9:09that helps change the focus of countries
and governments across the world -
9:09 - 9:14to put well-being at the heart
of everything that we do. -
9:14 - 9:18I think we owe that to this generation.
-
9:18 - 9:21I certainly believe we owe that
to the next generation -
9:21 - 9:24and all those that come after us.
-
9:24 - 9:27And if we do that, led here
from the country of the Enlightenment, -
9:27 - 9:32then I think we create
a better, healthier, fairer -
9:32 - 9:34and happier society here at home.
-
9:34 - 9:36And we play our part in Scotland
-
9:36 - 9:41in building a fairer,
happier world as well. -
9:41 - 9:42Thank you very much.
-
9:42 - 9:48(Applause)
- Title:
- Why governments should prioritize well-being
- Speaker:
- Nicola Sturgeon
- Description:
-
In 2018, Scotland, Iceland and New Zealand established the network of Wellbeing Economy Governments to challenge the acceptance of GDP as the ultimate measure of a country's success. In this visionary talk, First Minister of Scotland Nicola Sturgeon explains the far-reaching implications of a "well-being economy" -- which places factors like equal pay, childcare, mental health and access to green space at its heart -- and shows how this new focus could help build resolve to confront global challenges.
- Video Language:
- English
- Team:
- closed TED
- Project:
- TEDTalks
- Duration:
- 10:00
Brian Greene edited English subtitles for Why governments should prioritize well-being | ||
Brian Greene approved English subtitles for Why governments should prioritize well-being | ||
Brian Greene edited English subtitles for Why governments should prioritize well-being | ||
Krystian Aparta accepted English subtitles for Why governments should prioritize well-being | ||
Krystian Aparta edited English subtitles for Why governments should prioritize well-being | ||
Krystian Aparta edited English subtitles for Why governments should prioritize well-being | ||
Krystian Aparta edited English subtitles for Why governments should prioritize well-being | ||
Joseph Geni edited English subtitles for Why governments should prioritize well-being |