GNH Indices: Dasho Karma Ura, Director The Centre For Bhutan Studies

GNH Indices
Dasho Karma Ura, Director

The Centre for Bhutan Studies
February 18th, 2008, Thimphu
GNH Indices 18.02.2008 1/79

GNH Indices Construction Timeline
2007 2008 2009
GNH Indices 18.02.2008 2/79

GNH in Policy Making
National Index SINGLE NUMBER GNH INDEX
Influence
Progress
GNH INDICATORS
Measurement
Influence
Policy Making
GNH POLICY SCREENING TOOLS
GNH PROJECT SELECTION TOOLS
GNH Indices 18.02.2008 4/79

Role of Citizens in GNH Policy Making
Report progress through

GNH indicators
Policy Making
PROJECT SELECTION TOOLS
POLICY SCREENING TOOLS

Citizens
of Bhutan
Represented by heterogeneous
panel to conduct policy review
GNH Indices 18.02.2008 5/79

POLICY SCREENING
GNH Indices 18.02.2008 6/79

GNH Policy Screening Tools
Policy Screening Questions
Policy proposals will be rated prior to approval by a series of screening questions

on a 1 to 4 scale in order to carry out any necessary modifications
1. Corruption
Will increase the Do not know the Will not have any Will decrease the
opportunity for effects on corruption appreciable effects on opportunity for
corruption corruption corruption
1 2 3 4
2. Trust
Will decrease the Do not know the Will not have any Will increase the
degree of trust effects on the degree appreciable effects on degree of trust
between people and of trust between the degree of trust between people and
government officials people and between people and government officials
government officials government officials
1 2 3 4
GNH Indices 18.02.2008 7/79

3. Economic security
Will result in a net Do not know the Will no not have any Will probably result in
decrease in economic differential effects on appreciable effects on a net increase in
security within the economic security economic security economic security
population within the population within the population within the population
1 2 3 4
4. Pollution
Will increase the Do not know the Will not have any Will decrease the
amount of pollution or effects on pollution or effect on pollution or amount of pollution or
degradation of the air, degradation of the air, degradation of the air, degradation of the air,
land or water land or water land or water n land or water
1 2 3 4
5. Leisure time
Will decrease Do not know the Will not have any Will increase
opportunities to spend effects on appreciable effects on opportunities to spend
time with family and opportunities to spend opportunities to spend time with family and
friends time with family and time with family and friends
friends friends
1 2 3 4
GNH Indices 18.02.2008 8/79
6. Stress
Will increase levels Do not know the Will not have any Will decrease levels
of stress in the effects on levels of appreciable effects on of stress in the
population stress in the levels of stress in the population
population population
1 2 3 4
7. Culture
Will decrease the Do not know the
Will have no effect on Will increase
opportunity for people effect on opportunity
opportunity to learn opportunity to learn
to learn about or to learn about or
about or participate in about or participate in
participate in cultural participate in cultural
cultural practices and cultural practices and
practices and practices and
traditions traditions.
traditions traditions
1 2 3 4
8. Social support
Will decrease the Do not know the Will increase the
Will have no effect on
amount of social effect on the amount amount of social
amount of social
support available to of social support support available to
support available in
people in time of available in time of people in time of
time of needs
need. needs need.
1 2 3 4
GNH Indices 18.02.2008 9/79
Policy Screening Score
Corruption 3 Culture 3 Family 2

Trust 1 Social Support 2 Health 4
Security 4 Productivity 4 Information 1
Pollution 1 Equity 1 Participation 1
Leisure 1 Biodiversity 2 Discrimination 3
Stress 2 Spiritual 1 Corruption 1
Final score = 37 / 210 out of a potential 84 / 210
Policy must be improved, score is low
GNH Indices 18.02.2008 10/79

BASIC INDICATORS
GNH Indices 18.02.2008 11/79

Survey Domain Summary
Domain name Topics covered No. variables

D1 Demographics - Personal demographics 110
- Employment
- Household structure
1 Psychological Well- - Satisfaction 75
being - Happiness
- Social support
- Stress
- Mental health
- Spirituality
- Emotional experience
2 Culture - Languages 231
- Identity
- Core values
- Community participation
- Local customs
- Etiquette
- Value changes
- Knowledge & creativity
- Music & TV
- Architecture/Buildings
GNH Indices 18.02.2008 12/79


3 Education - Non formal education 136
- Skills known
- Skills applied
- Family, civic & cultural
knowledge
- Student attitudes to their
education
- Parental attitudes to their child’s
education
- Rituals/Religious events
4 Health - Overall health 164
- Disabilities
- Activity limitations
- Substance use
- Physical activity
- Food insecurity
- Child rearing
- Suicidal thoughts
- Access to sanitation, access to
hospital service
- Indigenous health services
GNH Indices 18.02.2008 13/79
5 Time Use - Time stress 89

- Time diary
- Activity times
- Activity enjoyment
- Social & family activities
- Woola activities
6 Good Governance - Political participation 182

- Government effectiveness
- Leadership performance
- Satisfaction with government
institutions
- Fairness and rights
- Media
- Transparency & trust
- Corruption
- Contributions
GNH Indices 18.02.2008 14/79

7 Community Vitality - Migration 109
- Volunteering
- Donations
- Belonging
- Community trust
- Community vitality
- Family relationships
- Crime
- Community problems
8 Ecology - Ecological values 214
- Land development
- Quality of arable land
- Quality of forestry
- Soil protection
- Wild fires
- Water use/quality
- Air quality
- Experience of ecological
change
- Waste
- Transportation use
- Energy use
GNH Indices 18.02.2008 15/79
9 Living Standards - Income 76

- Financial security
- Debt
- Housing
- In-kind income
10 Agriculture - Agricultural trends 55
- Constraints to crops
- Fertiliser/Insecticide use
- Equipment owned
D2 Food - Types of food consumed 51

All 12 sections 1,492
GNH Indices 18.02.2008 16/79

GNH Survey
GNH Domains 1. Psychological Well-being

2. Cultural Diversity and Resilience
3. Education
4. Health
5. Time Use and Balance
6. Good Governance
7. Community Vitality
8. Ecological Diversity and Resilience
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 17/79
Survey Results

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 18/79
1. Psychological Well-being
Life satisfaction
• Satisfaction with health

• Satisfaction with material circumstances
• Satisfaction with work-life balance
• Satisfaction with personal relationships
• Subjective happiness
Survey question:
On a scale of one to ten, I consider
myself
Not a very Very happy
happy person person
1 2 3 4 5 6 7 8 9 10
GNH Indices 18.02.2008 19/79

Happiness Happiness
Subjective happiness
Subjective happiness (scale
(scale 1-10)1-10) Causal factors for happiness
66
0 20 40 60 80
Percent
44 43
20
33 25 20 17 16 11
15
Financial security
Percent
Good family
10
Good health
Resources for farm production
Access to basic facilities
5
Personal development/education
Faith and spiritual pursuits
Employment and job satisfaction
0
1 2 3 4 5 6 7 8 9 10
Good governance and welfare system
Quality of life Life satisfaction

Subjective quality of life Satisfaction with security of
Quality of life (scale 1-5)
Satisfaction with material circumstances
finances/livelihood
50
1%
40
5%
13%
Percent
Satisfied
30
40% Fairly satisfied

Not very satisfied
20
Dissatisfied
10
Don't know
41%
0
Very poor Poor Neither poor Good Very good

nor good
GNH Indices 18.02.2008 20/79

Life satisfaction Life satisfaction

Satisfaction with relationship with Satisfaction with occupations
Satisfaction with personal relationships Satisfaction with occupations in daily life
immediate family members in daily life
2% 1% 3%
2%
0% 6%
10% Satisfied Satisfied
Fairly satisfied Fairly satisfied
27% Not very satisfied
Not very satisfied
Dissatisfied Dissatisfied
63%
Don't know Don't know
87%
Life satisfaction Mental health

Satisfaction withwith
Satisfaction health
health Mental health status
Mental health
3%
5% 1%
5%
Satisfied 10%
Fairly satisfied Normal well-being
Not very satisfied Some mental distress
34% 56% Dissatisfied Severe mental distress
Don't know
85%
GNH Indices 18.02.2008 21/79

Suicide Stress
Consideration of suicide ever Perception of stress
Perception of stress
before in lifetime during last year
Consideration of suicide ever before
4% 16% 19%
Very stressful
Somewhat stressful
Yes 23% Not very stressful
No Not at all stressful
42%
96%
Spirituality
Subjective level of spirituality
Spirituality
1%
3%
Very
36% Moderately
Not very
60% Not at all
GNH Indices 18.02.2008 22/79

Emotional experience
Negative emotions
Survey question:
During the past two weeks, how often have you experienced the following
emotions?
Anger Sadness Pride Envy
Often Often Often Often Often Often Often Often
Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes
Never Never Never Never Never Never Never Never

0 20 40 60 80 0 20 40 60 80 0 20 40 60 80 0 20 40 60 80
Percent Percent Percent Percent
Jealousy Selfishness Guilt Frustration

Often
Often Often
Often Often
Often Often
Often
Sometimes
Sometimes Sometimes
Sometimes Sometimes
Sometimes Sometimes
Sometimes
Never Never Never Never Never Never Never Never

0 20 40 60 80 0 20 40 60 80 0 20 40 60 80 0 20 40 60 80
Percent Percent Percent Percent
GNH Indices 18.02.2008 23/79

Emotional experience
Positive emotions
Survey question:
During the past two weeks, how often have you experienced the following
emotions?
Calmness Contentment Generosity
Often Often Often Often Often Often
Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes
Never Never Never Never Never Never

0 20 40 60 80 0 20 40 60 80 0 20 40 60 80
Percent Percent Percent
Forgiveness Empathy/Compassion
Often Often Often Often
Sometimes Sometimes Sometimes Sometimes
Never Never Never Never

0 20 40 60 80 0 20 40 60 80
Percent Percent
GNH Indices 18.02.2008 24/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 25/79
Identity Cultural activities

Importance of maintaining Bhutanese Frequency of attending the tshechu or
traditions within
Maintaining one’straditions
Bhutanese everyday life other Attendance
major festival in one’s dzongkhag
of festivals
1% 3%
2% 17% 16%
31%
Not important Always
Important Sometimes
Very important Never
Don't know No such event
81% 51%
Cultural/Festival participation Values

Attendance of cultural activities Opinion on value change in the last few
in a year years regarding material wealth of most
Cultural/Festival participation Value change of material wealth
people in Bhutan
55
60
3% 4%
Percent
40
7%
24 More concerned
Stayed the same
20
9
5 3 3 Less concerned
Don't know
0
on
e ys ys ys y s
ow
N da da da da kn
1-
5 12 0 0 n'
t 85%
6- -2 >2 o
13 D
GNH Indices 18.02.2008 26/79

Survey question: Generosity

Please indicate the importance that you assign to each of the following
principles 0%
1%
2%
Legend: Not important

Values/ 35% A little important
Principles in life Important
Very important
62%
Don't know
Family life Generosity Spiritual faith Material wealth Compassion

1% 0% 2% 2% 1% 3%
1% 20% 1% 10% 1%
1% 26%
35% 32%
48%
62% 41% 65%
78% 72%
Reciprocity Responsibility Self-development Harmony at home/community

1% 7% 1% 0% 0% 2% 0%1%
2% 1% 1% 0%
27% 28%
26%
55% 34%
71% 68% 72%
GNH Indices 18.02.2008 27/79

Astrologer Storytelling
Consultation of tsip for specific Storytelling to children
occasions
Consultation of astrologer Storytelling to children
Yes Yes
No No
0 20 40 60 80 100 0 20 40 60 80 100
Percent Percent
Traditional sports Architecture

Frequency of playing archery Opinion on result of change in architecture
(only men)
Traditional sports of Bhutanese houses to “modern buildings”
Changes due to modern architecture
in the lifestyle of Bhutanese
5%
1% 14%
More than once a week 5% Significant changes
Once or twice a month Moderate changes
38% 45%
56% On special occasions 12% Little changes
Never No change
Don't know
24%
GNH Indices 18.02.2008 28/79

Etiquette
Proper observation and practice of
Driglam Namzha by the youth today
Driglam Namzha practiced by youth
8%
Yes
32% No
60% Don't know
GNH Indices 18.02.2008 29/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 30/79
3. Education
Education quality Education quality

Student’s satisfaction with current Parent’s satisfaction with current
education
Student's system
satisfaction w/education system education
Parent's system
satisfaction with education system
5% 4% 5%
16%
18%
Satisfied
Satisfied Neither nor
Neither nor Dissatisfied
Dissatisfied Don't know
73%
79%
Education applicability Education applicability

Student opinion on the Parent opinion on the
applicability of education
Student's opinion on applicability applicability of education
Parent's opinion on applicability
2%
2% 4%4%
7%
20%
Agree Agree
Neutral Neutral
Disagree Disagree
77%
86%
GNH Indices 18.02.2008 31/79

3. Education
School education Civic knowledge

Student’s aspired education Knowledge of name of one's
Student's aspiration for education level
level Dzongda/Drungpa
Knowledge of Dzongda/Drungpa name
15%
College degree 35%
47% Post graduation studies Yes
Lower qualification No
38%
65%
Traditional knowledge
Ability to recite any
Ability to recite any traditional lozey
traditional lozey
9%
7%
>2-3 full
15% At least 1 set
Parts of a few lozey
69% None at all
GNH Indices 18.02.2008 32/79

3. Education
Traditional skills
Percentage of citizens having
basic skills in Zorig Chusum
Zorig chusum skills
30 Weaving
14 Painting
16 Carpentry
4 Carving
1 Sculpture
2 Casting
2 Blacksmithing
16 Bamboo works
0
12
Gold-/Silversmithing
13 Embroidery
1 Masonry
5 Leather works
Paper making
0 10 20 30
Percent
GNH Indices 18.02.2008 33/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 34/79
4. Health
Self-rated health Health satisfaction

Subjective health
Subjective status
health status Health satisfaction
Health satisfaction
5% 1%
17% 23% 3%
Satisfied
Excellent/Very good Fairly satisfied
Good Not very satisfied
Fair/Poor 34% 56% Dissatisfied
Don't know
60%
Diseases/Illnesses Functional health

Major health problems of ill people Healthy/unhealthy days out of
Major health problems of ill people
Healthy
the last 30days
days(of last 30 days)
14%
12%
50% Poor physical/
14% mental health
12%
(0-16 healthy days)
12% Moderate physical/
mental health
59% 27% (17-29 healthy days)
Hypertension/High blood pressure
Arthritis/Rheumatism Excellent physical/
mental health
Back or neck problem (30 healthy days)
Eye/Vision problem
Other or Don't know
GNH Indices 18.02.2008 35/79

4. Health
Long term disabilities Life expectancy

Long term disabilities (>6 months)
Long term disabilities (> 6 months) Life expectancy 66.10 years
17%
Disability adjusted 60.95 years
Yes life-expectancy
No
83% Happy life years 45.81 years
Body Mass Index

Body Mass Index
Body Mass Index
5%6%
22% Underweight
Healthy weight
Overweight
Obese
67%
GNH Indices 18.02.2008 36/79

4. Health
Smoking Alcohol
Current smoking Frequency of alcohol consumption in the
Smoking frequency
past 12 months
3% Frequency of alcohol consumption
1%
16% Daily Everyday 10
Occasionally 3-4 times a week 11
>1 year ago Twice a week 5
Never Once a week 4
79% 2-3 times a month 7
Once a month 4
Less than once a month 9
Never 50
0 20 40 60
Percent
GNH Indices 18.02.2008 37/79

4. Health
Health system Health System

First contact in case of health problems Distance to nearest healthcare
First contact in case of health problems Distance to nearest healthcare
10% 4%
7%
32% Hospital 25% 35%
BHU <0.5 hours
9% 0.5-1 hour
Tsip
Lama 1-3 hours
Choep >3 hours
Other
20%
22% 35%
Health system
QualityQuality
of medical staff
of medical staff
7%
6%
15% Satisfied
Neutral
Dissatisfied
Don't know
73%
GNH Indices 18.02.2008 38/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 39/79
Stress of overload Stress of overload

Frequency of feeling rushed Increase of feeling to be rushed
Frequency of feeling rushed Increase of
compared tofeeling to be rushed
two, three years ago
1% 3%
18% 5% Everyday
Few times a week 26% 32%
32% Once a week More rushed
Once a month About the same
20% Few times a year Less rushed
Never Don't know
11% 12% Don't know
39%
Volunteering Socializing
Volunteer hours in the past year Socializing with friends in the last
Volunteer hours month Socializing with friends
59
60
20 40 60
Percent
37
27 22
13
40
Percent
0
0 k th th th w
ee on on on o
rw kn
20
m m t m 't
9
12 10 10 pe a a
as on
es es nc
e
n
l D
tim tim O ti
w w No
Fe Fe
0
Never <10 h 10-39 h 40-100 h >100 h
GNH Indices 18.02.2008 40/79

Life-work balance
Balance between paid work, unpaid work, and free
time (Percent of all activities
Life-work balance during an average day)
Life-work balance
4% 1%
5% Work
1%
7% 1%34%
1%
4% Personal care (incl. sleeping)
5%
7% 34% Sports/leisure/media
Social/cultural activities
Religious activities
47% Education/learining
47% Community participation
GNH Indices 18.02.2008 41/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 42/79
6. Good Governance
Corruption Perception of central ministries

Opinion on existence of corruption Trust in central ministries
Opinion on existence of corruption Trust in central ministries
21%
30%
Common Trust
3%
Not common Distrust
55%
15% 75%
Perception of judiciary Perception of judiciary

Trust in courts Opinion on independence of
Trust in courts courts
Opinion on independence of courts
20%
38% Independent
Trust 48% Not independent
9% Distrust
Don't know
Don't know
71% 14%
GNH Indices 18.02.2008 43/79

6. Good Governance
Perception of media Perception of media

Trust in media Opinion on independence of media
Trust in media Opinion on independence of media
34% 36% 39% Independent

Trust Not independent
Distrust Don't know
Don't know
63% 26%
3%
Political participation Political participation

Attendance of zomdue in past 12 Average number of days attending
months meetings
Time devoted to decision making
Attendance of zomdue
60
Percent 47
40
30%
Yes 21
20
No 11 9 8
3
70%
0
ne ys ys ys ys ow
No da da da da kn
5 12 0 0 t
1- -2 >2 n'
6- 13 Do
GNH Indices 18.02.2008 44/79

6. Good Governance
Fundamental rights Fundamental rights

Freedom of speech
Freedom of speech
Freedom of discrimination
Freedom from discrimination
Yes 61 Yes 45
No 28 No 30
Don't know 11 Don't know 25
0 20 40 60 80 0 20 40 60 80
Percent Percent
GNH Indices 18.02.2008 45/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 46/79
Belonging Community safety

Sense of belonging to local Perception of safety
Community in community
safety
community
Sense of belonging to local community
Very strong 73
35%
Somewhat strong 22 Always safe
47%
Usually safe
Weak 3
Rarely safe
Don't know 2
0 20 40 60 80 19%
Percent
Community safety Family care

Victim of crime during the last Do family care for each other?
twelve months Family care
Victim of crime
3% No 3
Neutral 5
Yes
No
Yes 92
97% 0 20 40 60 80 100
Percent
GNH Indices 18.02.2008 47/79

Trust Trust
Sense of trust in other
General trust people SenseSense
of trust in neighbours
of trust for neighbors
2%
4% 12%
25% Trust most of them
34%
People can be trusted Trust some of them
Need to be careful Trust a few of them
28%
Don't know Trust none of them
Don't know
71%
25%
Social support Social support

Someone to help when you Helpfulness of neighbours
Support available Helpfulness of neighbours
have problems
2% Always 33
7% Sometimes 45
None of the time Rarely 14
Some of the time Never 6
38% Most/All of the time
53% Don't know 2
Don't know
0 20 40 60
Percent
GNH Indices 18.02.2008 48/79

Family proximity Civic engagement

Number of relatives living in same Participation in volunteering during
community
Number of relatives in same community last 12 months
Participation in volunteering
14%
24%
All
42% Yes
Most
About half 58% No
24%
A few
None
29%
9%
GNH Indices 18.02.2008 49/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 50/79
Air quality Biodiversity

Air pollution in one's area Notice of change in biodiversity in
Air pollution in one's area

last five years
Change in biodiversity in last 5 years
3%
19% 16%
31%
Yes
Yes
No
No
Don't know
Don't know
79%
53%
Waste Waste
Increased production of waste Waste disposal during last 12 months
compared to previous year Waste disposal
Increased production of waste
73
Composting and burning
26
6% Municipal garbage pickup
14 Taken to landfill
Yes
8 Dumped in forest
No 6 Dumped on open land
42% 52%
Don't know 3 Dumped in rivers/streams
Other
7
0 20 40 60 80
Percent
GNH Indices 18.02.2008 51/79

Water quality Forest quality

Satisfaction with water quality Satisfaction with state of forest
in one's area
Satisfaction with water quality Satisfaction with state of forest
1% 2%
11% 7%
Satisfied Satisfied
Not satisfied Not satisfied
89% 91%
Soil conditions
Unusual flooding during the past
five years
Unusual flooding in past five years
5% 13%
Yes
No
Don't know
83%
GNH Indices 18.02.2008 52/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 53/79
9. Living Standards
Relative income Financial security

Relative wealth of family within community Matching of household income with family's
Relative wealth within community
needs for food, shelter, and clothing
4% Matching of household income with needs
3%
32%
12% 19%
61% Not enough
Just enough
More than enough
Wealthier than most families
69%
About the same as most families
Poorer than most families
Don't know
Financial security
Debt to cash income ratio
Debt ratio to income Prospective change of financial
situation in next two years
No debt 78
Debt <50% of income 6
Prospective change of financial situaton
Debt 50-100% of income 7
12%
Debt 101-200% of income 5
4%
Debt >200% of income 4 Get better
Stay the same
0 20 40 60 80 56% Get worse
28%
Percent Don't know
GNH Indices 18.02.2008 54/79

9. Living Standards
Food security Room ratio

Necessity to cut the size of meal or Number of persons per room
skip meal due to food shortage or lack
of money in the past 12 months
Room ratio
Necessity to cut or skip meal
60
3% 43
Percent
36
40
20
Yes 11 10
No
0
om om om om
s/r o s/r o s/r o s/r o
on on on on
97% ers ers ers ers
p p p p
1 2 3 >3
0- 1- 2-
GNH Indices 18.02.2008 55/79

Agenda

3. Education
4. Health
6. Good Governance
9. Living Standards
10. Agriculture
GNH Indices 18.02.2008 56/79
10. Agriculture
Fertilizer Cash income

Use of fertilizer Change in cash income
Use of fertilizer Cash income from agriculture
Neither 8 Increased 55
Chemical only 3 Stayed the same 26
Both 50 Decreased 12
Manure only 39 Not applicable 7
0 20 40 60 80 0 20 40 60 80
Percent Percent
Acres planted
Change in planted acres
Number of acres planted
Increased 11
Stayed the same 66
Decreased 13
Not applicable 10
0 20 40 60 80
Percent
GNH Indices 18.02.2008 57/79

AGGREGATION
METHODS
GNH Indices 18.02.2008 58/79

GNH Index Pyramid
Composite
Index
GNH INDEX
Cluster Cluster Index 1 Cluster Index 2

Indices
e.g. Trust
Ind.1 Ind.2 Ind.3 Ind.1 Ind.2 Ind.3 Ind.4

Indicators
e.g. Trust in media
GNH Indices 18.02.2008 59/79

Design & Aggregation Methods of GNH-Indices
Stock and flow variables
Mostly ordinal data in ranges
Re-scaled or transformed into 0 to 1 values
x’ = Basic index = (x-xmin/xmax-xmin)
x = Basic index adjusted for distribution = (x-xmin/xmax-xmin) · (1-k)
xc = Intermediate index aggregated at the cluster level = x1+x2+…+xn = Σx/n

Arithmetic mean based on principle of equal weight of x
Alternatively,
xCI = w1xC1+w2xC2+…+wnxCn = wC·xC/n
Weighted mean, where weights are based on some system of preference.
Aggregation requires unweighted or weighted cluster indicators.

GNH Indices 18.02.2008 60/79
Re-scaling of Indicators
Survey question:
Do you practice meditation
Daily Weekly Occasionally Not at all

Codes used for
1 1 2 3 4
data storage
6.6% 1.1% 7.2% 85.1%
Re-scaling codes from 0 to 1

(with 1 as most positive value)
Daily Weekly Occasionally Not at all

2
1 0.66 0.33 0
Calculate re-scaled mean as Rescaled

comparable indicator value mean
3 1 · 0.066 + 0.66 · 0.011 + 0.33 · 0.072 + 0 · 0.851 = 0.10
GNH Indices 18.02.2008 61/79

Inequality measurement
Distribution coefficient
Policymakers can increase the GNH index score

by more equally distributing any service (i.e. income)
as measured by any single indicator in a cluster index.
Example: Inequality of income distribution
Percent of total Percent of total

sum of income sum of income
1
1
.2 .4 .6 .8
.2 .4 .6 .8
D=0.29 D=0.83
0
0
0 .2 .4 .6 .8 1 0 .2 .4 .6 .8 1
Percent of population Percent of population
GNH Indices 18.02.2008 62/79
CLUSTER INDICES
GNH Indices 18.02.2008 63/79

GNH Cluster Indices
Cluster Index Indicators Rescaled Distribution Indicator
mean coefficient score
Happiness Happiness 0.66 0.80 0.53

Mental Health GHQ 0.70 0.89 0.62
Emotional Balance Compassion 0.63 0.76 0.48
Calmness 0.55 0.72 0.40
Frustration 0.67 0.79 0.53
Selfishness 0.86 0.87 0.75
0.54
Spirituality Self-reported 0.84 0.88 0.74
Prayers 0.67 0.71 0.48
Meditation 0.10 0.11 0.01
Karma 0.80 0.84 0.67
Killing 0.89 0.90 0.80
0.54
Culture Importance of tradition 0.90 0.91 0.82
Participation in local festival 0.34 0.69 0.23
Local religious sites 0.37 0.86 0.32
Zorig Chusum 0.09 0.42 0.04
0.35
GNH Indices 18.02.2008 64/79
GNH Cluster Indices
Human Rights Freedom from discrimination 0.57 0.60 0.34

Freedom of speech 0.67 0.67 0.45
Right to form association 0.72 0.77 0.55
Equal pay for equal work 0.81 0.82 0.66
0.56
Trust Trust in central ministries 0.96 0.96 0.92
Trust in courts 0.88 0.88 0.77
Trust in media 0.95 0.95 0.90
Trust in neighbours 0.61 0.68 0.41
0.75
Social Support Family relationship index 0.90 0.93 0.84
Proximity of relatives 0.44 0.55 0.24
Help available in time of need 0.73 0.79 0.58
0.55
GNH Indices 18.02.2008 65/79

GNH Cluster Indices
Income 0.50
Ecology Perceived local air quality 0.93 0.93 0.86
Perceived local water quality 0.89 0.89 0.79
Perceived local land degradation 0.78 0.78 0.61
0.76
Health Life expectancy 0.69 N/A 0.69
Healthy days 0.83 0.84 0.70
Body Mass Index 0.79 0.81 0.64
0.68
GNH Indices 18.02.2008 66/79

Sample Indicators – Happiness
Subjective happiness(scale
(scale 1-10)
1-10)
20
15
Percent
10
5
0
1 2 3 4 5 6 7 8 9 10
Happiness score
Rescaled Distribution
mean coefficient
Cluster Index Subjective happiness = 0.66 × 0.88 = 0.54
GNH Indices 18.02.2008 67/79

Sample Indicators – Mental Health
12 Mental health questions
In the last four weeks
1. Been able to concentrate

2. Lost sleep over worry
3. Felt you were useful
4. Capable of making decisions
5. Constantly under strain
6. Could not overcome diffculties
7. Able to enjoy daily activities
8. Able to face up to problems
9. Unhappy and depressed
10. Losing confidence in yourself
11. Thinking of self as worthless person
12. Feeling reasonably happy
GNH Indices 18.02.2008 68/79

Sample Indicators – Emotional Balance
1. Compassion 2. Calmness
Often 34.8% Often 23.9%
Sometimes 56.9% Sometimes 61.8%

Never 8.3% Never 14.4%
3. Frustration 4. Selfishness
Often 4.9% Often 2.3%
Sometimes 55.6% Sometimes 23.9%
Never 39.5% Never 73.9%
GNH Indices 18.02.2008 69/79

Cluster Index – Emotional Balance
mean coefficient
Indicators Compassion
= 0.63 × 0.76 = 0.48
Calmness
= 0.55 × 0.72 = 0.40
Frustration
= 0.67 × 0.79 = 0.53
Selfishness
= 0.86 × 0.87 = 0.75
Cluster Index Emotional Balance 0.54

GNH Indices 18.02.2008 70/79
Sample Indicators – Spirituality
1. Self-reported spirituality 2. Frequency of prayers
Very 59.6% Daily 53.5%
Moderately 36.1% Weekly 4.7%
Not very 3.2% Occasionally 31.1%
Not at all 1.2% Not at all 10.8%
3. Frequency of meditation 4. Consideration of karma
Daily 6.6% Always 59.6%
Weekly 1.1% Sometimes 36.1%

Occasionally 7.2% Rarely 3.2%
Not at all 85.1% Never 1.2%
GNH Indices 18.02.2008 71/79

Sample Indicators – Spirituality
5. Attitudes to taking life
Can never be 79.7%

justified
Can sometimes 18.2%
be justified
Can always be 2.1%
justified
GNH Indices 18.02.2008 72/79

Cluster Index – Spirituality
mean coefficient
Indicators Self-reported
spirituality = 0.84 × 0.88 = 0.74
Frequency of
praying = 0.67 × 0.71 = 0.48
Frequency of
meditation = 0.10 × 0.11 = 0.01
Consideration of
karma = 0.80 × 0.84 = 0.67
Attitudes to taking life

= 0.89 × 0.90 = 0.80
Cluster Index Spirituality 0.54

GNH Indices 18.02.2008 73/79
Sample Indicators – Culture
1. Importance of traditions 2. Frequency of attending cul-

tural/social activities in a year
Very important 81.3% > 20 days 3.6%
Important 17.0% 13-20 days 5.7%
Not important 1.7% 6-12 days 24.7%

1-5 days 56.6%
None 9.5%
3. Frequency of visiting local 4. Number of zorig chusum

sites of spiritual significance skills per person
Daily 4.6% 3 or more skills 11.7%
Weekly 3.5% 2 skills 14.8%

Occasionally 88.8% 1 skill 36.2%
Not at all 3.2% No skills 37.3%
GNH Indices 18.02.2008 74/79

Cluster Index – Culture
Indicators mean coefficient
Importance of traditions
= 0.90 × 0.91 = 0.82
Frequency of attending
cultural/social activities = 0.34 × 0.69 = 0.23
Frequency of visiting local

sites of spiritual significance = 0.37 × 0.86 = 0.32
Number of zorig chusum

skills per person = 0.09 × 0.42 = 0.04
Cluster Index Culture 0.35

GNH Indices 18.02.2008 75/79
Sample Indicators – Human Rights
1. Freedom from discrimination 2. Freedom of speech
Yes 44.9% Yes 61.3%

Don’t know 24.9% Don’t know 10.9%
No 30.2% No 27.8%
3. Right to form association 4. Equal pay for equal work
Yes 54.5% Yes 70.7%
Don’t know 35.6% Don’t know 20.0%

No 10.0% No 9.3%
GNH Indices 18.02.2008 76/79

Cluster Index – Human Rights
mean coefficient
Indicators Freedom from

discrimination = 0.57 × 0.60 = 0.34
Freedom of speech
= 0.67 × 0.67 = 0.45
Right to form
association = 0.72 × 0.77 = 0.55
Equal pay for equal

work = 0.81 × 0.82 = 0.66
Cluster Index Human Rights 0.56

GNH Indices 18.02.2008 77/79
Sample Indicators – Trust
1. Trust in central ministries 2. Trust in courts
Trust 95.8% Trust 88.4%
Distrust 4.2% Distrust 11.%
3. Trust in media 4. Trust in neighbours
Trust 94.9% Trust most 34.4%
Distrust 5.1% Trust some 25.1%
Trust a few 28.3%
Trust none 12.2%
GNH Indices 18.02.2008 78/79

Cluster Index – Trust
mean coefficient
Indicators Trust in central

ministries = 0.96 × 0.96 = 0.92
Trust in courts
= 0.88 × 0.88 = 0.77
Trust in media
= 0.95 × 0.95 = 0.90
Trust in neighbours
= 0.61 × 0.68 = 0.41
Cluster Index Trust 0.75

GNH Indices 18.02.2008 79/79
Sample Indicators – Social Support
1. Family relationship index 2. Number of relatives living in

(7 questions) the same community*
All 14.4%
1. The members of your family
really care about each other Most 23.6%
2. You wish you were not part of About half 9.2%
your family A few 29.3%
3. Members of your family argue None 23.6%
too much
* with whom you had contact
4. You feel like a stranger in your
in the past month
family
5. You have enough time to spend
3. Help available in time of
with your family
need
6. There is a lot of understanding
in your family Most of the time 53.8%
7. Your family is a real source of
Some of the time 39.2%
comfort
None of the time 7.0%
GNH Indices 18.02.2008 80/79

Cluster Index – Social Support
Family relationship index

= 0.90 × 0.93 = 0.84
Number of relatives living

in the same community = 0.44 × 0.55 = 0.24
Help available in time

of need = 0.73 × 0.79 = 0.58
Cluster Index Social Support 0.55

GNH Indices 18.02.2008 81/79
Sample Indicators – Education
1. Adult literacy* 2. Combined primary, secon-

dary, tertiary enrolment*
Adult literacy rate 54.0% Enrolment rate 63.0%
* data from Bhutan National Human * data from Bhutan National Human
Development Report 2005 Development Report 2005
3. Applicability of education to
daily life
Agree 84.4%
Neutral 12.7%
Disagree 2.9%
GNH Indices 18.02.2008 82/79

Cluster Index – Education
Adult literacy
= 0.54 N/A = 0.54
Combined primary,
secondary, tertiary enrolment = 0.63 N/A = 0.63
Applicability of education
to daily life = 0.91 × 0.91 = 0.83
Cluster Index Education 0.67

GNH Indices 18.02.2008 83/79
Sample Indicators – Income
Income*
Purchasing Power
Parity 2,060 USD
* data from Bhutan National Human

Development Report 2005
Rescaled
mean (logged)
Cluster Index Income = 0.50 = 0.50
GNH Indices 18.02.2008 84/79

Sample Indicators – Ecology
1. Perceived local air quality 2. Perceived local water quality
Satisfied 92.9% Satisfied 89.3%
Not satisfied 7.1% Not satisfied 10.7%
3. Perceived local land

degradation
No 77.5%
Yes 22.5%
GNH Indices 18.02.2008 85/79

Cluster Index – Ecology
mean coefficient
Indicators Perceived local air

quality = 0.93 × 0.93 = 0.86
Perceived local
water quality = 0.89 × 0.89 = 0.79
Perceived local land

degradation = 0.78 × 0.78 = 0.61
Cluster Index Ecology 0.76

GNH Indices 18.02.2008 86/79
Sample Indicators – Health
1. Life-expectancy* 2. Healthy days (out of last 30)
Life-expectancy 66.1 years Excellent 59.1%

physical/mental health
(30 healthy days)
* data from Annual Health
Moderate 26.6%
Bulletin 2006 physical/mental health
(17-29 healthy days)
Poor physical/mental 14.3%
health
3. Body Mass Index (0-16 healthy days)
Healthy weight 67.3%
Underweight 6.5%
Overweight 21.7%
Obese 4.5%
GNH Indices 18.02.2008 87/79

Cluster Index – Health
mean coefficient
Indicators Life-expectancy = 0.69 × N/A = 0.69
Healthy days
= 0.83 × 0.84 = 0.70
Body Mass Index

= 0.79 × 0.81 = 0.64
Cluster Index Health 0.68

GNH Indices 18.02.2008 88/79
Specifications of GNH Index
Methods of selecting, normalising, and

weighting indicators for the GNH Index
Selection criteria per indicator: Specifications of GNH Index:
- Gives meaningful information about • No. of indicators: 35

• No. of cluster indices: 12
the development of Bhutan • Normalisation method: Re-scaling (0-1)
- Can be summarized in a single • Weighting method: Equal weighting
number
- Can influence and be influenced by
GNH Indices 18.02.2008 89/79
policy making
GNH Index
Composite
Index
SAMPLE GNH INDEX = 7.04
Subj.Happiness 0.53 Trust 0.75
Mental Health 0.62 Social Support 0.55
Emotional Balance 0.54 Education 0.67

Cluster
Indices
Spirituality 0.54 Income 0.50
Culture 0.35 Ecology 0.76
Human Rights 0.56 Health 0.68
GNH Indices 18.02.2008 90/79

Presentation of GNH Index
GNH Index
2
Spirituality
Income
1.5
Trust
1
.5
Cultural
resilience
0
2008 2009 2010 2011

Cultural resilience
Trust
Living standard
Spirituality
GNH Indices 18.02.2008 91/79
Applications of GNH Indices
• Setting an alternative framework of development for govt.
and people
• Providing indicators to sectors to guide development
• Allocating resources in accordance with the targets and GNH
screening tools
• Measuring the level of happiness and well-being of Bhutan

and any sub-groups within Bhutan at a given point in time
• Measuring progress through time
• Measuring progress for cross country comparisons
GNH Indices 18.02.2008 92/79

GNH Indices: Dasho Karma Ura, Director The Centre For Bhutan Studies

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GNH Indices

Dasho Karma Ura, Director

February 18th, 2008, Thimphu

GNH Indices 18.02.2008 1/79

2007 2008 2009

GNH Indices 18.02.2008 2/79

National Index SINGLE NUMBER GNH INDEX

GNH PROJECT SELECTION TOOLS

GNH Indices 18.02.2008 4/79

Report progress through

PROJECT SELECTION TOOLS

POLICY SCREENING TOOLS

GNH Indices 18.02.2008 5/79

GNH Indices 18.02.2008 6/79

Policy Screening Questions

Policy proposals will be rated prior to approval by a series of screening questions

GNH Indices 18.02.2008 7/79

Policy Screening Score

Corruption 3 Culture 3 Family 2

Final score = 37 / 210 out of a potential 84 / 210

Policy must be improved, score is low

GNH Indices 18.02.2008 10/79

GNH Indices 18.02.2008 11/79

Domain name Topics covered No. variables

GNH Indices 18.02.2008 12/79

Domain name Topics covered No. variables

Domain name Topics covered No. variables

5 Time Use - Time stress 89

6 Good Governance - Political participation 182

GNH Indices 18.02.2008 14/79

Domain name Topics covered No. variables

9 Living Standards - Income 76

D2 Food - Types of food consumed 51

GNH Indices 18.02.2008 16/79

GNH Domains 1. Psychological Well-being

GNH Domains 1. Psychological Well-being

• Satisfaction with health

GNH Indices 18.02.2008 19/79

Quality of life Life satisfaction

40% Fairly satisfied

Very poor Poor Neither poor Good Very good

GNH Indices 18.02.2008 20/79

Life satisfaction Life satisfaction

Life satisfaction Mental health

GNH Indices 18.02.2008 21/79

GNH Indices 18.02.2008 22/79

Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes

Never Never Never Never Never Never Never Never

Jealousy Selfishness Guilt Frustration

Never Never Never Never Never Never Never Never

GNH Indices 18.02.2008 23/79

Sometimes Sometimes Sometimes Sometimes Sometimes Sometimes

Never Never Never Never Never Never

Sometimes Sometimes Sometimes Sometimes

Never Never Never Never

GNH Indices 18.02.2008 24/79

GNH Domains 1. Psychological Well-being

Identity Cultural activities

Cultural/Festival participation Values

GNH Indices 18.02.2008 26/79

Survey question: Generosity

Legend: Not important

Family life Generosity Spiritual faith Material wealth Compassion