Fernando Alcoforado*
The objective of this article is to demonstrate the need to abandon the calculation of the Gross Domestic Product (GDP) which computes all financial transactions whether they are beneficial to the population or not with its replacement by the GPI (Genuine Progress Indicator) to measure the economic progress and social well-being of a nation. This substitution is justified by the conclusion that the rise in GDP in several countries shows no correlation with the increase in the welfare of the nation, quite the contrary. GPI, in turn, considers the welfare and environment parameters using the same methodology for calculating GDP, but, unlike this, it subtracts costs due to factors such as crime, pollution, environmental degradation and compromise of natural resources and systems, besides adding to the calculation items such as domestic and voluntary work that do not occur in the calculation of GDP. The justification for replacing GDP by GPI is presented in this article.
To read the article, access the website: <https://www.academia.edu/38942291/THE_END_OF_GDP_GROSS_DOMESTIC_PRODUCT_AS_A_METER_FOR_ECONOMIC_PROGRESS>
* Fernando Alcoforado, 79, awarded the medal of Engineering Merit of the CONFEA / CREA System, member of the Bahia Academy of Education, engineer and doctor in Territorial Planning and Regional Development by the University of Barcelona, university professor and consultant in the areas of strategic planning, business planning, regional planning and planning of energy systems, is the author of 14 books addressing issues such as Globalization and Development, Brazilian Economy, Global Warming and Climate Change, The Factors that Condition Economic and Social Development, Energy in the world and The Great Scientific, Economic, and Social Revolutions that Changed the World.