The Luxembourg Index of Well-being, produced by the National Institute for Statistics and Economic Studies (STATEC), provides the country with a wide set of indicators to track the evolution of well-being over time.
The Luxembourg Index of Well-being (LIW)
Abstract
Context
Following the international momentum brought by the recommendations of the Commission on the Measurement of Economic Performance and Social Progress (more commonly known as the Sen-Stiglitz-Fitoussi commission), as well as various international initiatives such as the OECD’s Better Life Index, Luxembourg developed its own Index of Well-being. In 2010, the Economic and Social Council and the High Council for Sustainable Development were commissioned by the Luxembourg Government to develop new indicators to measure social progress and adopt a Beyond GDP approach. The two agencies agreed on a common system of well-being indicators in 2013. In 2015, the Luxembourg Index of Well-being (LIW) was developed by the National Institute for Statistics and Economic Studies (STATEC), under the authority of the Ministry of Economy.
Description and key outcomes
The Luxembourg Index of Well-being comprises 21 indicators, both objective and subjective, across 11 domains of well-being: income and wealth; employment; housing; health; work-life balance; education and skills; social connections; citizenship and governance; environment; physical security; and subjective well-being. The Index is composite and summarises all dimensions of well-being into one numerical value to track their evolution over time. This evolution is used to identify social outcomes and the impact of policies on populations.
The 2022 PIBien-être report is structured in six parts to address subjective well-being, the evolution of the Luxembourg Index of Well-being, dissatisfaction at work, well-being in Luxembourg and in Europe, and international perspectives on quality of life in Luxembourg. The report emphasises the importance of assessing economic and well-being trends separately, noting the empirical discrepancies between the country’s good economic performance and its people’s levels of life satisfaction.
Policy relevance
The Luxembourg Index of Well-being provides the country with a wide set of indicators to track the evolution of well-being over time. Additionally, STATEC hosts an annual workshop on measuring progress, as well as a well-being seminar series, involving inputs from stakeholders and academia.
Further information
Economic and Social Council and High Council for Sustainable Development (2013), ‘’PIBien-être”: Avis commun CES-CSDD [‘’PIBien-être” Common statement CES-CSDD], https://ces.public.lu/content/dam/ces/fr/actualites/2013/11/pibienetre/avis-commun-ces-csdd-pibien-etre.pdf
National Institute for Statistics and Economic Studies (STATEC), Measuring Progress Annual Workshop website,
https://statistiques.public.lu/en/statistique-publique/statec/red/workshop.html (accessed 27 October 2023)
National Institute for Statistics and Economic Studies (STATEC), Measuring Progress: STATEC Well-being Seminar Series website, https://statistiques.public.lu/en/actualites/2023/semeco-mp-oct.html (accessed 27 October 2023)
National Institute for Statistics and Economic Studies (STATEC) (2022), Rapport PIBien-être 2022 [“PIBien-être” Report 2022], https://statistiques.public.lu/fr/publications/series/analyses/2022/analyses-03-2022.html
Stiglitz, J., Sen, A., and Fitoussi, J.P. (2009), Report by the Commission on the Measurement of Economic Performance and Social Progress, https://ec.europa.eu/eurostat/documents/8131721/8131772/Stiglitz-Sen-Fitoussi-Commission-report.pdf
OECD resources
OECD, How’s Life in your country? Country notes, Luxembourg, https://www.oecd.org/wise/measuring-well-being-and-progress.htm#country-notes
