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The Social Progress Imperative

The Social Progress Imperative ... Requently Asked Questions (FAQs)

Burgess COMMENTARY

Peter Burgess

FAQ The Social Progress Imperative is working through partners in the Social Progress Network to make the concept of social progress as important as economic growth or Gross Domestic Product. We are new and ambitious, maybe even a little radical, and so it's no surprise you have questions. Please consult the FAQs below, and don't hesitate to write us. We'd love to hear from you.

Top 5 FAQs

Q: What is 'social progress'? A: The Social Progress Imperative defines 'social progress' as the capacity of a society to meet the basic human needs of its citizens, establish the building blocks that allow citizens and communities to enhance and sustain the quality of their lives, and create the conditions for all individuals to reach their full potential.

Inclusive growth requires achieving both economic and social progress. Explore the 2015 Social Progress Index. Watch the TED video that explains the concept of social progress.

Q: Why measure social progress? A: If you don’t measure, it is hard to make the most rapid progress. More and more people recognize that GDP alone is not an adequate guide for national development strategies. The Social Progress Index brings a new rigor to this effort, not by changing the way GDP is measured but by creating a complementary lens on national performance. Our goal is to measure social progress directly, comprehensively, and rigorously. Measuring social progress guides us in translating economic gains into advancing social and environmental performance in ways that will unleash even greater long-term economic success. Read more about how we measure social progress. Watch our short video on how social progress complements GDP as a measure of national performance.

Q: Are you saying that economic growth is not important? A: No. Our model shows that economic growth is strongly correlated with social progress, but the direction of causality can go from social to economic and other factors are important too. Hence economic development alone is an incomplete development strategy. We want to break down the barriers that have separated thinking about economic development and thinking about social progress, to help countries design development strategies that are more holistic and more effective. The Social Progress Index allows countries to investigate the relationship between economic and social development much more rigorously and understand some of its root causes. The Social Progress Index will also help us understand how social progress can actually drive long-term economic success. See our chart below of Social Progress Index 2015 overall performance for each country compared to its GDP per capita. Click here to see full size. Spi Vs Gdp Points And Trend Cmyk Read the Social Progress Index 2015 Report. Explore the 2015 Social Progress Index online.

Q: Is social progress the same as happiness? A: No. Happiness is complementary to the Social Progress Index since there is a significant conceptual distinction to be made between the measurement of happiness or subjective wellbeing and the measurement of social progress. The Social Progress Index is not a measure of happiness or other forms of life satisfaction, but of actual life outcomes. However, there are fruitful lines of inquiry that use the Social Progress Index to understand the causes of happiness or wellbeing. After controlling for GDP, there is a statistically and quantitatively significant impact of the Social Progress Index on life satisfaction. However, it is important to note that the relationship between subjective well-being and the Social Progress Index is complex. We have undertaken preliminary analysis of the relationship between subjective well-being and each dimension of the 2015 Index. Once one controls for GDP, there is no separate impact of the Basic Human Needs or Foundations of Wellbeing dimensions on subjective well-being; there is, however, a quite robust and independent impact of Opportunity on life satisfaction. Read the Social Progress Index 2015 Report. Q: What is the Social Progress Index? The Social Progress Index is an aggregate index of social and environmental indicators that capture three dimensions of social progress: Basic Human Needs, Foundations of Wellbeing, and Opportunity. The Index measures social progress strictly using outcomes of success, not how much effort a country makes. For example, how much a country spends on healthcare is much less important than the health and wellness actually achieved by that country, which is what outcomes measure. The image below shows the component-level structure of the Social Progress Index 2015, which has 12 components (shown) and 52 indicators (not shown). Click on the image to explore the index. Framework Component Buttons People's Report Card What is the People's Report Card? Peoples Report Card Twitter Final On September 25th, 2015, 193 world leaders came together at the United Nations to agree on 17 Global Goals to achieve 3 extraordinary things in the next 15 years: end extreme poverty, reduce inequality, and protect the planet. These goals will affect every single life on this planet, but they’ll only work if every single person knows about them, and holds their leaders to account. The Social Progress Imperative partnered with Global Citizen and Project Everyone to create The People’s Report Card, a tool powered by the Social Progress Index to track the world’s progress on achieving the Global Goals—and so far we’re only achieving a C minus. C minus is not good enough at school, so it’s certainly a poor grade for the whole world’s efforts to defeat poverty and provide every global citizen with the means for a good life. To achieve the Global Goals, we must do better, and the good news is that we can. The People’s Report Card provides the citizens of the world with the means to hold their leaders to account to help our world get from C minus to A in the time it will take children now starting school to emerge with their own final grades. Read more about the People's Report Card. Social Progress Index 2015 - Findings

Q: What does the Social Progress Index 2015 tell us? A: As expected, there is a broad correlation between economic development and social progress: Norway is on top and Chad at the bottom of the overall rankings. However, there are big differences in social progress for countries at similar income levels. And even for countries that score well, the granularity of our model means that key challenges ahead are highlighted. We find that social progress is not completely explained by economic success. For example: New Zealand achieves a level of social progress (87.08) almost as high as Norway (88.36) at a GDP per capita that is half that of Norway ($32,808 versus $62,448). Costa Rica achieves an SPI of 77.58 with a GDP per capita of only $13,431, ahead of Italy and South Korea, which have nearly three times the GDP per capita ($34,167 and $32,708). Jordan achieves the almost the same level of social progress (63.31) as Saudi Arabia (64.27) with barely a fifth of the GDP per capita ($11,407 versus $52,068). Ghana achieves much higher social progress (58.29) than Nigeria (43.31) at lower GDP per capita ($3,864 versus $5,423). The Index demonstrates that economic growth is not sufficient for social progress. Countries that want better lives for their citizens need to go beyond economic growth alone in designing their development strategies. Read the summary of findings from the Social Progress Index 2015. Read the Executive Summary of the Social Progress Index 2015 Report. Read the full Social Progress Index 2015 Report. *The Social Progress Index uses the World Bank definition: “GDP per capita based on purchasing power parity (PPP). PPP GDP is gross domestic product converted to international dollars using purchasing power parity rates. An international dollar has the same purchasing power over GDP as the U.S. dollar has in the United States. GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in constant 2011 international dollars.' http://data.worldbank.org/indicator/NY.GDP.PCAP.PP.KD

Q: How do Social Progress Index 2015 results compare to earlier indices? A: Social Progress Index 2014 was the first 'full' version of the global Social Progress Index to be released. The 2013 version was a beta version that we put out for testing with a limited sample of 50 countries. The basic 12-component structure of the model is basically unchanged between the three years. A few modifications were made at the indicator level, mainly to remove discontinued indicators. Additionally, there are several indicators that are unchanged conceptually, but are not directly comparable to previous years due to improvements in how they are measured or a switch to more up-to-date sources. As a result, the 2015 Index is stronger but the results are not comparable to either 2014 or 2013 results. A restated version of the 2014 Social Progress Index that is comparable to the 2015 Index is available here. Explore the Social Progress Index 2015 here. Q: What is the difference between score, relative performance, and rank? A: Scores are all based on a 0-100 scale defined at the component level. This scale is set by using the best and worst scores theoretically possible on each indicator for the 100 and 0 values. For indicators which have a large absolute range or no maximum or minimum, we identify the best and worst global performance on each indicator by any country since 2004 to set the maximum (100) and minimum (0) bounds. A simple average of the four components creates each dimension score, which in turn aggregate to a Social Progress Index score, for each country, using a simple average of the three dimensions. As a result, Social Progress Index scores are benchmarked against realistic rather than abstract measures. This scale will also allow us to track absolute, not just relative, performance of countries over time on each component of the model. Relative performance on the Social Progress Index 2015 refers to whether a country performs weakly or strongly compared to the 15 countries nearest to it in GDP per capita.* In the Social Progress Index 2015, the relative performance is categorized as one of the following: Relative strength - Better than one average absolute deviation from the median of the group of 15 countries with most similar levels of GDP per capita* Neutral - within one average absolute deviation from the median of the group of 15 countries with most similar levels of GDP per capita* Relative weakness - Worse than one average absolute deviation from the median of the group of 15 countries with most similar levels of GDP per capita* More information on how this calculation is constructed can be found the Social Progress Index Methodology Report. Rank refers to performance for a country in comparison to all countries in the full Social Progress Index. For the Social Progress Index 2015, that sample is 133 countries. For more detail, please see the Social Progress Index 2014 Methodological Report . *To reduce the effects of yearly GDP fluctuations and maintain stability in country groupings, average GDP PPP between 2010 and 2013 is used to determine country peer groups. A full description of how strengths and weaknesses relative to GDP per capita are calculated is in the Methodological Report (p. 21).The Social Progress Index uses GDP data from the World Bank: “GDP per capita based on purchasing power parity (PPP). PPP GDP is gross domestic product converted to international dollars using purchasing power parity rates. An international dollar has the same purchasing power over GDP as the U.S. dollar has in the United States. GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in constant 2005 international dollars.' http://data.worldbank.org/indicator/NY.GDP.PCAP.PP.KD Social Progress Index 2015

Q: How is this different from all the other wellbeing indices out there?

A: There have been numerous efforts to go beyond GDP to improve the measurement of national performance. In designing the Social Progress Index we acknowledge the intellectual debt that we owe to these other efforts. As discussed in more detail in the Methodological Report, our work draws on a rapidly expanding academic and practitioner literature focusing on both individual and a few broader assessments of social progress. Our work has been guided by the objective of complementing and extending this work. (For an insightful framework and contemporary discussion of both the challenges and progress in moving “beyond GDP,” see Marc Fleurbaey and Didier Blanchet, “Beyond GDP: Measuring Welfare and Assessing Sustainability.” Oxford University Press, May 2013.) The Social Progress Index is distinct from other wellbeing indices in its measurement of social progress directly, independent of economic development, in a way that is both holistic and rigorous. Most wellbeing indices, such as the Human Development Index and the OECD Your Better Life Index, incorporate GDP or other economic measures directly. These are worthy efforts to measure wellbeing and have laid important groundwork in the field. However, because they conflate economic and social factors, they cannot explain or unpack the relationship between economic development and social progress. The Social Progress Index has also been designed as a broad measurement framework that goes beyond the basic needs of the poorest countries, so that it is relevant to countries at all levels of income. It is a framework that aims to capture not just present challenges and today’s priorities, but also the challenges that countries will face as their economic prosperity rises. The Index has four key design principles: Exclusively social and environmental indicators: our aim is to measure social progress directly, rather than utilize economic proxies. By excluding economic indicators, we can, for the first time, analyze the relationship between economic development (measured for example by GDP per capita) and social development rigorously and systematically. Prior efforts to move “beyond GDP” have comingled social and economic indicators, making it more difficult to disentangle cause and effect. Outcomes not inputs: our aim is to measure the outcomes that matter to the lives of real people. For example, we want to measure the health and wellness achieved by a country, not how much effort is expended nor how much the country spends on healthcare. Actionability: the Index aims to be a practical tool that will help leaders and practitioners in government, business and civil society to implement policies and programs that will drive faster social progress. To achieve that goal, we measure outcomes in a granular way that links to practice. The Index has been structured around 12 components and 52 distinct indicators. The framework allows us to not only provide an aggregate country score and ranking, but also supports granular analyses of specific areas of strength and weakness. Transparency of measurement using a comprehensive framework helps change-makers identify and act upon the most pressing issues in their societies. Relevance to all countries: our aim is to create a holistic measure of social progress that encompasses the health of societies. Most previous efforts have focused on the poorest countries, for understandable reasons. But knowing what constitutes a healthy society for higher-income countries is indispensable in charting a course to get there. The Social Progress Index builds on but is distinct from other efforts to define and measure wellbeing. We briefly explain our analysis of each of these measures below.

Human Development Index (http://hdr.undp.org/en/statistics/hdi/) The Human Development Index (HDI) is a summary measure of human development, providing a single statistic to capture both social and economic development. It is based on just four outcome indicators: life expectancy, mean years of schooling, expected years of schooling, and living standards (through the proxy of GDP per capita). The HDI excludes environmental indicators. Though the HDI covers 187 countries, the limited range of indicators mean that its descriptive and explanatory value is limited for upper middle and high income countries. Millennium Development Indicators (http://mdgs.un.org/unsd/mdg/Default.aspx) The Millennium Development Indicators track progress toward the Millennium Development Goals (MDGs) agreed upon in September 2000 by leaders from 189 nations. The eight MDGs are supported by 60 indicators that are a mixture of social, environmental and economic measures. The indicators mix inputs and outcomes. The focus of the MDGs is extreme poverty and the problems of lower income countries. Multidimensional Poverty Index (http://www.ophi.org.uk/policy/multidimensional-poverty-index/) The MPI assesses the nature and intensity of poverty at the individual level along three dimensions: health, education, and living standards. It is based on measures of social outcomes only, using 10 indicators. The MPI covers 91 countries and is primarily focused on countries with extreme poverty. OECD Better Life Indicators (http://www.oecdbetterlifeindex.org/) The Better Life Index aims to paint a comprehensive picture of wellbeing by looking at people's material living conditions and quality of life. It is based on outcomes indicators and is structured around 10 dimensions combining social, environmental and economic indicators. It is currently available only for the 34 countries of the OECD and indicator availability means that it could not be extended to include countries at all levels of income without revision to the model. Gross National Happiness (http://www.gnhc.gov.bt/) GNH is the national approach to measuring wellbeing of the Kingdom of Bhutan and is designed to “achieve a harmonious balance between material well-being and the spiritual, emotional and cultural needs of our society”. The GNH model mixes economic, social, environmental and cultural indicators, including inputs as well as outcomes. The GNH model is designed to be relevant to the cultural norms of Bhutan; it is not intended to be an internationally comparable benchmark. Many countries are now developing national wellbeing frameworks. Happy Planet Index (http://www.happyplanetindex.org/) The Happy Planet Index aims to measure the extent to which countries deliver long, happy, sustainable lives for the people that live in them. It uses three social and environmental outcome indicators: experienced wellbeing (based on survey data), life expectancy, and ecological footprint. It currently covers 151 countries. Genuine Progress Index (http://www.gpiatlantic.org/gpi.htm) The Genuine Progress Index, based on a capital accounting framework, recognizes the value of human, social, and natural capital alongside manufactured and financial capital. It also assesses the economic costs of liabilities like crime, pollution, sickness, and natural resource depletion. While it has been used at different geographic scales, it has been used primarily in Canada.

Q: How does the Social Progress Index relate to the post-2015 Sustainable Development Goals (SDGs) that will replace the Millennium Development Goals (MDGs)? A: This year, the world will reflect on progress achieved in the last fifteen years toward the Millennium Development Goals and will launch the Sustainable Development Goals (SDGs), a new set of ambitious targets to steer the world’s development priorities. The 17 proposed Sustainable Development Goals are even more closely aligned. The post-2015 MDG efforts are focused on ensuring that the poorest countries in the world make rapid progress on some basic indicators. That is valid and important. We are focused on a broader set of countries and a broader set of measures that include ones useful for evaluating countries with more advanced social progress. We are also looking to a broader variety of actors to play a role in advancing social progress, or at least not emphasizing as much as the post-2015 MDG work will the role of governments over the private sector or social entrepreneurs. Explore the 2015 Social Progress Index.

Q: What about inequality? Do you measure it? Do fairer societies show higher levels of social progress? A: To explore the relationship between income inequality and social progress, we compared the Gini coefficient, a commonly-used measure of income inequality, to the Social Progress Index. The top performing country on the Social Progress Index does, indeed, have one of the lowest Gini coefficients (0.250), meaning that it is one of the most equal countries in the world, measured in terms income. Yet, when we look across all countries, the somewhat surprising finding is that there is little relationship between Social Progress Index scores and the Gini coefficient. Specifically, we find only a loose negative correlation (-0.38) between the two -- that is, only a weak trend that, as inequality increases, social progress decreases. When we look at the percentage of people living in extreme poverty, however, we find that poverty is negatively and significantly correlated (-0.84) with social progress. This result is statistically significant and holds even when controlling for GDP per capita. It holds for all three dimensions of the Index. These initial findings suggest that the two-way relationship between social progress and various measures of income inequality and income poverty are complex. The Gini coefficient appears to be a weak guide for a social progress agenda. Income poverty measures, although better, raise important issues about the direction of causation and the degree to which anti-poverty programs should focus on income or the wider capabilities of the poor. We will delve further into these issues in future reports. Read the blog post on what the 2015 Social Progress Index says about inequality and poverty. Q: Is the Social Progress Index just a charter for big government? A: No. By focusing on outcomes rather than inputs we have avoided the problem of ranking performance based solely on amounts of money spent on social programs. Our findings also show that economic development and social progress are linked but are not synonymous. Why some countries achieve higher levels of social progress at the same level of income as others is the result of cultural factors, resource endowments, business practices and government policy. The Index will allow us, over time, to investigate these different factors as we see which countries progress most rapidly on different components of the model. Read more about some of the initiatives using the Social Progress Index to improve wellbeing. Explore the multi-sector initiatives advancing social progress.

Q: Will this index really be useful to businesses? A: One of the major questions facing businesses is how to understand and measure the social impact they create. Do they create, or destroy, economic and social shared value** through their business? The Index will help measure the non-economic contribution that businesses make to a country and inform business strategy. Recent analytical work by Deloitte has demonstrated the connection between social progress and Foreign Direct Investment. Applying the Social Progress Framework at the community level in Brazil, Coca-Cola Brasil and Natura have joined forces for the first time to illuminate social conditions in Amazon communities. The two companies have already developed social actions with Amazon communities and buy their products. Now, in partnership with the community, they want to better understand their reality and commit to their socioeconomic development. The initiative will provide insight into the wider social impact of business. ** http://hbr.org/2011/01/the-big-idea-creating-shared-value Read more about the initiatives leveraging social progress data. Q: May I use your data on my website or for other purposes? A: Emphatically yes! The Social Progress Imperative wants the data we publish to be used and disseminated. We only ask that you credit the Social Progress Index and that you do not imply that we endorse your new product. Please contact us for further details. Please also consider embedding our data on your website using this code: