M EASURING WELL-BEING AND PROGRESS 1 The OECD Better Life For almost 10 years, the OECD has been looking beyond the functioning Initiative of the economic system to the diverse experiences and living conditions of people and households. Measuring well-being and progress is a 5 On-going research on key priority that the OECD is pursuing through the OECD Better Life measuring well-being and progress Initiative, various research and methodological activities, and key th » Material conditions events such as the 4 OECD World Forum on “Statistics, Knowledge » Quality of life and Policy” that is being organised in New Delhi, India, on 16-19 » Sustainability October 2012. This brochure provides background information on these streams of work being led by the OECD Statistics Directorate. 9 Developing a policy framework for well-being 9 Key events “I strongly believe that today, we have to consider a broader picture in our policy making, because a ‘growth as usual’ approach is simply not enough. In the current 10 Related initiatives and context, it is of utmost importance to define core objectives besides level of income, networks such as improving our citizens’ well-being, ensuring access to opportunities and preserving our social and natural environment.” 11 Further reading Angel Gurría, OECD Secretary-General, 12 October 2011, Conference “Two Years after the release of the Stiglitz-Sen-Fitoussi Report”, Paris The OECD Better Life Initiative The OECD Better Life Initiative (www.oecd.org/betterlifeinitiative), launched in May 2011 on the occasion of the OECD 50th Anniversary, brings together several strands of the OECD’s work on measuring well-being and progress. The Initiative aims to promote “Better Policies for Better Lives”, in line with the OECD’s overarching mission. There are two main pillars to this initiative, How’s Life? and Your Better Life Index. How’s Life? is a report that provides a comprehensive picture of well-being in OECD countries and other major economies, by looking at people’s material conditions and quality of life across the population. Your Better Life Index is an interactive web-based tool that allows citizens to measure and compare well-being across countries according to the importance they give to the various dimensions of people’s well-being. Organisation for Economic Co-operation and Development The two main pillars of the OECD Better Life Initiative are the How’s Life? report and Your Better Life Index How’s Life? How’s Life? Measuring Well-Being (www.oecd.org/howslife), released for the fi rst How’s Life? MEASURING WELL-BEING Every person aspires to a good life. But what does “a good or a better life” mean? This report looks at the most important aspects that shape people’s lives and well-being: income, jobs, housing, health, work and life balance, education, social connections, civic engagement and governance, environment, personal security time in October 2011, is prepared under the oversight of the OECD Committee on and subjective well-being. It paints a comprehensive picture of well-being in OECD countries and other major economies, by looking at people’s material living conditions and quality of life across the population. The report responds to the needs of citizens for better information on well-being and of policy makers to give a more accurate picture of societal progress. How’s Life? The report fi nds that well-being has increased on average over the past fi fteen years: people are richer and MEASURING WELL-BEING more likely to be employed; they enjoy better housing conditions and are exposed to lower air pollution; they Statistics and will be released every two years. It looks at the most important aspects live longer and are more educated; they are also exposed to fewer crimes. But differences across countries are large. Furthermore, some groups of the population, particularly less educated and low-income people, tend to fare systematically worse in all dimensions of well-being considered in this report: for instance they live shorter lives and report greater health problems; their children obtain worse school results; they participate less in political activities; they can rely on lower social networks in case of needs; they are more exposed to crime and pollution; they tend to be less satisfi ed with their life as a whole than more educated and higher-income people. that shape people’s lives and well-being. It paints a comprehensive picture of well- How’s Life? is part of the OECD Better Life Initiative, launched by the Organization on the occasion of its 50th Anniversary. The OECD Better Life Initiative aims to promote “Better Policies for Better Lives”, in line with the OECD’s overarching mission. One of the other pillars of the OECD Better Life Initiative is the Your Better Life Index (www.oecdbetterlifeindex.org), an interactive composite index of well-being that aims at involving citizens in the debate on societal progress. being in OECD countries and other major economies, by looking at people’s material How’s Life? conditions and quality of life in eleven dimensions: income and wealth, jobs and MEASURING WELL-BEING MEASURING earnings, housing conditions, health status, work and life balance, education and Please cite this publication as: OECD (2011), How’s Life?: Measuring well-being, OECD Publishing. http://dx.doi.org/10.1787/9789264121164-en This work is published on the OECD iLibrary, which gathers all OECD books, periodicals and statistical databases. Visit www.oecd-ilibrary.org, and do not hesitate to contact us for more information. skills, social connections, civic engagement and governance, environmental quality, ISBN 978-92-64-11161-5 30 2011 06 1 P -:HSTCQE=VVV[VZ: personal security and subjective well-being. The OECD Framework for analysing well- 302011061cov.indd 1 23/09/2011 13:30:37 being and societal progress is shown on page 4. Critical features of this framework are its focus on individuals’ and households’ outcomes (rather than drivers and inputs) and on both objective and subjective aspects of well-being. The report also provides information on inequalities in the various dimensions of people’s life and (in a more limited way) on our imprint today on some key resources that will shape well-being in the future. The report fi nds that well-being has increased, on average, over the past fi fteen years: people are richer and more likely to be employed; they enjoy better housing conditions and are exposed to lower air pollution; they live longer, are more educated and are exposed to fewer crimes. But differences across countries are large. Furthermore, some groups of the population, particularly less educated and low-income people, fare systematically worse in all dimensions of well-being considered in this report. For instance they live shorter lives and report greater health problems; their children obtain worse school results; they participate less in political activities; they can rely less on social networks in case of need; they are more exposed to crime and pollution; they are less satisfi ed with their life as a whole than more educated and higher-income people. The report responds to a demand from citizens, analysts and policy makers for better information on well- being and for a more accurate picture of societal progress. The next edition of How’s Life? is planned for Spring 2013. www.oecdbetterlifeindex.org Measuring Well-Being and Progress 2 Your Better Life Index 11 topics to define well being Your Better Life Index Each flower represents a country Your Better Life Index Your Better Life Index (www.oecdbetterlifeindex.org), released for the fi rst time in May 2011, is an interactive web-based tool which enables citizens to compare well-being across countries by giving 11 topics to definetheir own well weight being to each of the eleven dimensions5 circles explored in How’s Life?. Your Better Life Index aims to engage citizens in discussions on whatto mattersset most in their lives and on what governments Eachyour flower priorities represents a country should do to improve well-being. It places people’s concerns and aspirations at the heart of the well- being debate and strengthens participation in the policy-making process. Your Better Life Index The indicators featured in Your Better Life Index are a subset of those included in How’s Life? and they are organised along the 11 dimensions of the OECD Framework. As of May 2012, Your Better Life 11 topics to define well being Index has attracted over 840,0005 visitors,circles and over 1.9 million page views from 184 countries and 32 Your Better Life Index is an interactiveto set tool that allows citizens to measure territories (as defi ned by the UN); more than 28,000 users-created indexes have been shared through and compare well-being acrossEach countries, floweryour priorities represents based on a thecountry topics the OECD has identified variousas channelsessential andin the 6300 areas demographic of material surveys living conditions have been and submitted quality to of the life. OECD, generating useful information of the value that people attach to various life dimensions, and how these preferences differ across countries and the demographic characteristics of users. Your Better Life Index is regularly updated and enhanced: compared to the original version, the 2012 5 circles Your Betteredition Life Index includes is anto interactiveaset few additional tool that indicators, allows citizens some analysisto measure on socioeconomic states and allows a and compare well-beingdisaggregation acrossyour bycountries, gender.priorities basedIt also on expands the topics its geographicalthe OECD has coverage identified to the Russian Federation and Your Better Lifeas essential IndexBrazil. in the areas of material living conditions and quality of life.