The Statistical Index System of the Green GDP

Jisong Wu

Establishment of the Green GDP index system is recognized as a worldwide problem. “The Eleventh Five-Year Plan” of China has been carrying a breakthrough attempt under the scientific developing viewpoint in this field. According to the theory of new recycle economics (New Recycle Economics, Beijing Press, 2005), the former principle of “3R” in clean production has been expanded to “5R” in new recycle economy, adding concept of “rethink” and “repair” to the “reduce, reuse and recycle”. Theoretically, when implementing the recycle economy, the pollution brought by industry production and its destroy to the ecological system could be reduced to zero. However, the gap between the economic production of traditional industry and this ideal hypothesis is tremendous. If calculating the destructive cost of natural resources and ecological system by the traditional western economics’ theory, no enterprises could afford this cost.

In new recycle economics, there are two purposes of the production: not only creating the social fortune, but also repairing the natural fortune. Therefore, when calculating the Green GDP, three new production cost of creating the natural fortune should be taken into consideration: namely, the cost of resource saving, the cost of pollution treating, and the cost of ecology repair. Under the viewpoint of new recycle economics, this cost input has created a natural fortune, so the Green GDP equals the sum of increase of social fortune and natural fortune.

Consequently, the Green GDP, namely the GGDP Index system could be established, which can be divided into three parts:

Principally, the output by the improvement of living environment equals the effective part of the input of pollution treating through which the relevant indexes of atmosphere, water and solid wastes treating have been improved.

The output of sustaining the ecological system equals the input which effectively increase the resource utilizing efficiency of the energy, water, raw materials, etc. The sub-index system should also be set up according to the binding and excepting index in the future “Five-year Plan”.

The output of the ecological system repair equals the recover of the ecological system by the input of the ecology construction, which mainly depends on the data of the recover of underground water, increase of forest cover percentage and carrying ability of the grassland, etc. to calculate.