Germany is committed to measuring economic, social, and environmental indicators that go beyond gross domestic product (GDP) to provide a comprehensive picture of the state of well-being in the country. Since 2022, the Annual Economic Report of the Federal Ministry for Economic Affairs and Climate Action features a chapter on aspects of well-being and sustainability that are of particular importance for the overall assessment of economic and financial policy.
Well-being measurement efforts in Germany
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Abstract
Context
Copy link to ContextGermany’s commitment to measuring well-being has previously inspired initiatives such as the Bundestag's Enquete Commission on Growth, Prosperity and Quality of Life, the 2012 Dialogue on Germany's Future, and the government’s Wellbeing in Germany – What Matters to Us initiative (Gut leben in Deutschland, or “Living well in Germany”), introduced in 2016 by the Chancellery. Also, the German Sustainable Development Strategy monitors indicators relevant to the 2030 Agenda for Sustainable Development.
Since 2022, the Federal Ministry for Economic Affairs and Climate Action features selected indicators of well-being and sustainability in their Annual Economic Report. The set of indicators is regulalry reviewed and further developed.
Description and key outcomes
Copy link to Description and key outcomesSince 2022, the Federal Ministry for Economic Affairs and Climate Action includes a chapter on measuring well-being and societal progress in the Annual Economic Report. The Annual Economic Report now features over 30 indicators of well-being and sustainability that are of particular importance for the overall assessment of economic and financial policy, across four themes: "Economic performance and basic needs", "Social justice and participation", "Ecological limits" and "Future resilience of the state and the economy". While the current indicator set is expected to remain largely consistent going forward to enable long-term assessments of well-being and sustainability, it will continue to be regularly assessed and improved as relevant. For instance, perspectives from scientific, business, public actors, and civil society on different measures and aspects of well-being have been gathered via a consultative process starting in 2023, which has comprised an online consultation open to the public, as well as expert roundtables.
Policy relevance
Copy link to Policy relevanceBy including indicators on selected aspects of well-being and sustainability in the Annual Economic Report, the Federal Ministry for Economic Affairs and Climate Action does not make statements about which of these should be prioritised, nor about potential trade-offs between the dimensions of well-being and other policy areas. However, this approach highlights areas in which Germany is currently on an economically and ecologically sustainable, socially fair, and future-oriented path, and identifies others in which more efforts will be needed. Since the Annual Economic Report shapes economic policy of the federal government for the year to follow, monitoring of well-being indicators as integral part of the report serves the purpose of embedding economic policy into a broader societal context.
Further information
Copy link to Further informationBrandt, N., C. Exton and L. Fleischer (2022), “Well-being at the heart of policy: lessons from national initiatives around the OECD”, Basic Papers No. 1, Forum for a New Economy, Berlin, https://newforum.org/wp-content/uploads/2022/02/FNE-BP01-2022.pdf
Consortium for the Social, Behavioural, Educational and Economic Sciences and German Data Forum, Enquete-Commission “Growth, Prosperity and Quality of Life” website, https://www.konsortswd.de/en/latest/enquete-commission/ (accessed 31 May 2024)
German Federal Chancellor (2012), About the Dialogue on Germany’s Future, https://dialog-ueber-deutschland.bundeskanzlerin.de/EN/10-Dialog/_node.html
German Federal Government (2016), About the government report, https://www.gut-leben-in-deutschland.de/about/
German Federal Government (2016), To background information on “Well-being in Germany – what matters to us”, https://www.gut-leben-in-deutschland.de/report/background/
German Federal Government (2016), Well-being in Germany – what matters to us, https://www.gut-leben-in-deutschland.de/en
German Federal Government (2016), Government Report on Well-being in Germany, https://www.gut-leben-in-deutschland.de/downloads/Government-Report-on-Wellbeing-in-Germany.pdf
German Federal Government (2017), The national dialogue and its scientific analysis, https://www.gut-leben-in-deutschland.de/report/national-dialogue
Federal Ministry for Economic Affairs and Climate Action (2024), Jahreswirtschaftsbericht 2024 [Annual Economic Report 2024], https://www.bmwk.de/Redaktion/DE/Schlaglichter-der-Wirtschaftspolitik/2024/03/03-jahreswirtschaftsbericht-2024.html
Federal Ministry for Economic Affairs and Climate Action (2023), Wie lässt sich Wohlfahrt messen? Ergebnisse der Konsultation des BMWK zur Wohlfahrtsmessung im Jahreswirtschaftsbericht [How can welfare be measured? Results of the Federal Ministry for Economic Affairs and Climate Action’s consultation on well-being measurement in the Annual Economic Report”], https://www.bmwk.de/Redaktion/DE/Schlaglichter-der-Wirtschaftspolitik/2023/12/04-wohlfahrt.html
Federal Ministry for Economic Affairs and Climate Action (2023), The Federal Ministry for Economic Affairs and Climate Action launches consultation on measurement of well being in Annual Economic Report, https://www.bmwk.de/Redaktion/DE/Pressemitteilungen/2023/07/20230725-bmwk-startet-konsultation-zur-wohlfahrtsmessung-im-jahreswirtschaftsbericht.html
Federal Ministry for Economic Affairs and Climate Action (2023), Jahreswirtschaftsbericht 2023 [Annual Economic Report 2023], https://www.bmwk.de/Redaktion/DE/Publikationen/Wirtschaft/jahreswirtschaftsbericht-2023.html
Federal Ministry for Economic Affairs and Climate Action (2022), Jahreswirtschaftsbericht 2022 [Annual Economic Report 2022], https://www.bmwk.de/Redaktion/DE/Publikationen/Wirtschaft/jahreswirtschaftsbericht-2022.html
Study Commission on Growth, Well-being and Quality of Life – Paths to Sustainable Economic Activity and Social Progress in the Social Market Economy (2013), Summary of the conclusions and main recommendations of the Study Commission, https://webarchiv.bundestag.de/archive/2013/1212/bundestag/gremien/enquete/wachstum/Schlussbericht/Endversion_EN.pdf
OECD resources
Copy link to OECD resourcesOECD, How’s Life in your country? Country notes, Germany, https://www.oecd.org/wise/measuring-well-being-and-progress.htm#country-notes
OECD (2023), Economic Policy Making to Pursue Economic Welfare: OECD Report for the G7 Finance Ministers and Central Bank Governors, May 2023, Japan, OECD, Paris. https://www.oecd.org/economy/G7_Beyond_GDP_Economic_policy_making_to_pursue_economic_welfare_2023.pdf