HI GPI – SOCIAL COSTS

GPI Home

Economic Indicators

Social Indicators

Environmental Indicators

GPI Details
Adjusted Personal Consumption Expenditure
Public & Non-Profit Provision of Goods/ Services
Built Capital Services
Social and Human Capital Services
Social Costs
Protected Areas Services
Local Pollution Costs
Depletion of Natural Capital

Social Costs (- SC)

 

GPI = U(PCE_ADJ + PP + KB + KS + KH – SC + KN – POL – DKN)

where PCE_ADJ = (PCE – DEFR – HI – CDE)*INQ

 

Social Costs (-SC)Social Costs and SC Sub Indicators Graph

Captures Social Costs (-SC) that result from economic activity but reduce overall welfare, such as homeless/houselessness, underprovided labor hours, commuting time, or damage from crimes.

HI GPI and Social Costs Sub Indicators Excel Table Download 

Social Costs Sub Indicators:

 

Homeless/Houselessness

An undesirable social outcome largely due to housing market failures; multiplies an estimated cost of homeless/houselessness (shelters, public services, health care, etc.) per capita by number of houseless individuals.

Underemployment

Represents the lost welfare when people want to work more but the labor market does not provide opportunities; uses estimates of annual unprovided hours per underemployed worker, underemployment rates, and wage rates.

Crime

Calculates the negative social and economic impacts of crime on individuals and households (e.g., trauma, fear, physical damage) using U.S. Department of Justice estimates of costs per type of crime; assumes that other costs, such as incarceration, are borne by the government.

Vehicle Crashes

Social costs from vehicle accidents can include property damage, lost household production, travel delay, etc. Standard economic measurement systems do not account for motor vehicle crashes as costs; in fact the side effects could be misconstrued as a positive economic gain.

Commuting

Estimates both the direct and indirect expenses of commuting. The direct, or out-of-pocket expenses relate to the money spent to operate a vehicle or for fare on a bus or other public transportation. The indirect costs are associated with loss of time while commuting, time that could have been spent on other, more enjoyable or productive activities.