Gross national happiness

Gross National Happiness (GNH) is an attempt to define quality of life in more holistic and psychological terms than Gross National Product.

The term was coined by Bhutan's King Jigme Singye Wangchuck in 1972. It signaled his commitment to building an economy that would serve Bhutan's unique culture based on Buddhist spiritual values. Like many moral goals, it is somewhat easier to state than to define. Nonetheless, it serves as a unifying vision for the Five Year planning process and all the derived planning documents that guide the economic and development plans of the country.

While conventional development models stress economic growth as the ultimate objective, the concept of GNH claims to be based on the premise that true development of human society takes place when material and spiritual development occur side by side to complement and reinforce each other. The four pillars of GNH are the promotion of equitable and sustainable socio-economic development, preservation and promotion of cultural values, conservation of the natural environment, and establishment of good governance.

Qualitative and quantitative indicators
There is no exact quantitative definition of GNH.

GNH is a qualitative condition that is often discussed in tandem with the Genuine Progress Indicator which, unlike GNP, attempts to quantify well-being and happiness. The two measures agree, however, that subjective measures like well-being are more relevant and important than more objective measures like consumption.

According to Daniel Kahneman, a Princeton University psychologist, the indicator is measured using a new technique called the day reconstruction method. It consists in recollecting memories of the previous working day by writing a short diary.

GNH conferences
"Rethinking Development: Local Pathways to Global Wellbeing", the Second International Conference on Gross National Happiness was held in Antigonish, Nova Scotia June 20–24, 2005, co-hosted by Genuine Progress Index Atlantic (proceedings online); the Coady International Institute; Shambhala; the Centre for Bhutan Studies; the Province of Nova Scotia; the Gorsebrook Research Institute at Saint Mary's University; and the University of New Brunswick.

The last Conference took place Nov 8-11 2006 at Meiji Gaikun University in Yokohama. The conference examined Haida successes to apply non western economic and social modalities.

The 3rd international conference on Gross National Happiness "Towards Global Transformation. World Views Make A Difference" will be organized 22-28 November 2007 in Thailand. Main co-organizers are the Sathirakoses Nagapradipa Foundation (Thailand) and the Center for Bhutan Studies, while local NGO's, progressive business group Social Venture Network and the government of Thailand have formed a support network together with research agencies.

Happiness as understood by classical liberalism
Under classical liberal economic theory happiness was already an economic measurement used interchangeably with utility as well as the general welfare. Classical liberal economists attempt to quantify happiness through measurements in consumption and profits. For example if X product is consumed in good quantity for high profit, classical liberal economists argue that societies know that this good, and all the factors used in the production of the good, generate a great deal of happiness for society. It is this equating of high consumption levels with happiness that has been challenged by proponents of GNH.

Criticism of GNH
Critics allege that because GNH depends on a series of subjective judgements about well-being, governments may be able to define GNH in a way that suits their interests. In the case of Bhutan, for instance, they say that the government expelled about one hundred thousand people and stripped them of their Bhutanese citizenship on the grounds that the deportees were ethnic Nepalese who had settled in the country illegally. While this would reduce Bhutan's wealth by most traditional measures such as GDP, the Bhutan government claims it has not reduced Bhutan's GNH.

Alternative indicators of economic progress have also been supported by a number of NGOs such as the UK's New Economics Foundation, and are employed in some governments notably in Europe and Canada.