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THE UNIVERSITY OF BIRMINGHAM School of Public Policy International Development Department Gross National Happiness or Gross National Product? A Social Analysis of Bhutan’s approach to development A Dissertation for Master Science Degree in Rural Development Alberto Rognoni Supervisor: Robert Leurs 2003/2004 Word count: 11,721 (main text)

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Page 1: Gross National Happiness or Gross National Product?

THE UNIVERSITY OF BIRMINGHAM

School of Public Policy

International Development Department

Gross National Happiness

or

Gross National Product?

A Social Analysis of Bhutan’s approach to development

A Dissertation for Master Science Degree in

Rural Development

Alberto Rognoni

Supervisor: Robert Leurs

2003/2004

Word count: 11,721 (main text)

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"There are in the heart of the vast Himalayas

some strange market places where one can barter

the whirlwind of life for infinite wisdom"

Milarepa, 11th Century

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Acknowledgment

First I would like to thank the People of Bhutan for their warm welcome and for their openness and co-operation, meeting them has been a life experience.

The Centre for Bhutan Studies, as my host institute, has kindly accepted to support me in my field work, not only taking care of all formalities and logistics related to my trip to Bhutan, but guiding me in my understanding along this initial journey across Bhutan’s culture, tradition, perspective and development process.

Special thanks also to Helvetas Bhutan, Michael Rutland and the association Amici del Bhutan for their support.

The International Development Department (IDD) of the University of Birmingham has of course made this work possible, guiding me in my learning throughout the course, thanks to the contribution of the whole academic and post-graduate office staff.

Nevertheless, the usual disclaimers apply, the responsibility for errors and omissions is solely mine.

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Executive Summary

Bhutan is attracting a considerable amount of interest from the international

development world. The country has recently been developing at quite a fast pace. In fact,

forty years back, the social structure, value system and life style of the majority of Bhutanese

did not differ very much from that of their ancestors around 1500.

In addition, the country’s leadership have developed unique development strategies

based on the concept of Gross National Happiness, as an alternative to conventional

development approaches.

The aggregate impact of nation building, low interdependence with other cultures, and

absence of colonial domination, cannot be overemphasised. It resulted in a strong sense of

identity, self-reliant traditions, self-confidence and a powerful vision that are at the basis of

today policy making, thus leading Bhutanese to drive their own development process.

While economic growth is essential, it is not an end in itself, but one amongst many

means of achieving holistic development, which in turn is defined as a process where the key

concept is “balance”.

A particular challenge in Bhutan’s approach is the concept of being traditional and

modern, static and dynamic at the same time.

Recognizing that a wide range of factors contributes to human well-being and

happiness, the country has identified four major areas as the main pillars: economic growth

and development; preservation and promotion of cultural heritage; preservation and

sustainable use of environment; and good governance.

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Gross National Happiness (GNH) is defined as the overarching philosophy and

guideline of development, a bridge over the gap between values and development, the single

unifying concept of development that does not reject material progress, rather takes it as a

precondition. GNH starts where GDP ends, as a reflection of Bhutan’s vision on the purpose

of human life.

Regardless of any economic and development model, unlimited continuous growth

and people happiness are two different things. Many dismiss the latter as romantic, well-

meaning but pointless idealism. Nevertheless, there is a clear need to re-place people and

people’s needs at the core of any model. If people’s broad priority is happiness, that should be

the wide objective of public policies, adapted to any different circumstances and context, and

that seems to be exactly what GNH is all about.

Bhutan is not primarily concerned with methodologies and measurements. On the

contrary, attention is on principles and values, starting from a broad and shared vision and

then deriving policies and strategies. Measurements are simply considered tools that can be

devised and tuned once the main path is set. This is also reflected in GNH being a philosophy,

a unifying principle, not a specific methodology. On the contrary, different methodologies

could possibly be adapted to GNH.

The concept goes beyond a conventional development state whose objective is

precisely development, while justice and happiness are understood to be a consequence. In a

GNH state, happiness is the objective while development is a means towards it.

The GNH concept is not developed sufficiently to provide operational guidelines and

an evaluative framework for policy formulation, policy assessment and implementation.

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Nevertheless it is being operationalised by defining a commonly shared vision whose

principles are to be kept central to the nation’s path.

The country is going through a process of participatory development based on

bottom-up policy-making with possibly no equal in both the developed and developing world,

particularly because ordinary people are directly involved into policy making on a nation-wide

scale. However, the process still presents both deeply participative and very top-down

characteristics at the same time. Of course the process is ongoing and developing, nevertheless

such contrasting aspects combined with a considerable level of achievements represent an

interesting aspect to be underlined.

The GNH concept is still being discussed and further defined, thus not being fully

operationalised yet. Nevertheless, it represent Bhutan’s socio-cultural challenge, within an

impressive participatory, empowering and democratisation exercise.

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Table of Contents

Acknowledgment ................................................................................................................................... iii Executive Summary............................................................................................................................... iv Acronyms................................................................................................................................................ ix 1 Introduction.................................................................................................................................... 1 2 Methodology .................................................................................................................................. 3 3 Country Background and Modern Development Approach .................................................. 4

3.1 Economic Growth and Development............................................................................... 6 3.2 Preservation and Promotion of Cultural Heritage........................................................... 7 3.3 Preservation and Sustainable Use of Environment......................................................... 8 3.4 Good Governance................................................................................................................ 8

4 Gross National Happiness .........................................................................................................10 4.1 The Concept........................................................................................................................10 4.2 Rationale and Origins.........................................................................................................12 4.3 Operationalising GNH ......................................................................................................18 4.4 The GNH Challenge..........................................................................................................24

5 Gross National Happiness: A Social Analysis Perspective....................................................29 5.1 Bhutan: Key Social Units and Axes of Social Difference.............................................30

Household, family and extended family ...................................................................................30 Society and nation state. .............................................................................................................30 Class...............................................................................................................................................31 Age.................................................................................................................................................31 Gender...........................................................................................................................................33 Ethnicity........................................................................................................................................33

5.2 GNH: Participatory Development...................................................................................34 Passive participation....................................................................................................................34 Participation for information giving and consultation...........................................................35 Participation for material incentives .........................................................................................35 Functional participation..............................................................................................................35 Interactive participation..............................................................................................................36 Self-mobilisation ..........................................................................................................................36

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Discussion.....................................................................................................................................36 5.3 GNH: Professionalism, Processes and Organisations ..................................................38

Professionalism ............................................................................................................................39 Process ..........................................................................................................................................40 Organisation .................................................................................................................................42 Discussion.....................................................................................................................................43

6 Conclusions ..................................................................................................................................45 Bibliography...........................................................................................................................................48 Appendices ............................................................................................................................................58

A. Typology of participation.......................................................................................................59 B. Aggregate forms on professionalism, processes and organisations.................................61 C. Millennium Development Goals indicators ........................................................................66 D. Royal Government of Bhutan Statistics ..............................................................................71 E. Economic, Social and Environment Statistics ....................................................................75 F. Poverty Monitoring Indicators and Targets ........................................................................80 G. Human Development Indicators (UNDP 2003)................................................................82 H. Apparent quality-of-life in 67 nations in the 1990s (World Database of Happiness WDH 2003).......................................................................................................................................90

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Acronyms

ADB - Asian Development Bank

GDP - Gross Domestic Product

GNH - Gross National Happiness

GPI - Genuine Progress Index

HDI - Human Development Index

HLY - Happy Life Years

MDGs - Millennium Development Goals

PD - Participatory Development

RGoB - Royal Government of Bhutan

WDH - World Database of Happiness

WVS - World Values Surveys

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1 Introduction

The general aim of this dissertation is to discuss and analyse Bhutan’s approach

to development and more specifically the concept of Gross National Happiness, which

is at its core. The intent is to provide a Social Analysis perspective of the ongoing

process, which is turning upside down some of the conventional approaches to

development. Thus as a contribution to the debate and possibly to the process as a

whole.

Chapter two will describe the methodology applied.

Chapter three will provide a concise country background, and will briefly define

the four pillars of modern development approach: economy, culture, environment and

governance.

Chapter four will analyse and discuss the concept of Gross National Happiness,

its rationale, origins, the present operationalising phase, and main challenge.

Chapter five will assess Bhutan’s development process from a Social Analysis

perspective. Peculiar key social units and axes of social difference will be underlined.

The level of participation of the whole process will be assessed. Finally, the concept will

be analysed against advocated paradigm shifts in terms of professionalism, processes

and organisations.

Chapter six will summarise a general conclusion.

Two are the main challenges embedded in this research. On the one hand, the

discussion and analysis of the process requires a broad understanding of Bhutan’s

history and culture. On the other hand, the analysis may be useful and appropriate if

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conventional development frameworks and tools are adapted to the concept and not the

other way around.

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2 Methodology

The dissertation is based on a literature review integrated with field work in

Bhutan.

Secondary information has been drawn from the extensive literature available on

the topic, which is mainly accessible from the Centre for Bhutan Studies’ website.

Additional publications, both specific to Bhutan’s topic or concerning relevant

development issues, have been collected from other different sources.

Primary information have been collected during the field work that took place

between 2nd and 16th September 2004 thanks to the hosting institute, the Centre for

Bhutan Studies. People involved in Bhutan’s development process have been

interviewed at different levels: ordinary people in both urban and rural settings; people’s

elected representatives; local administrators involved in the operationalisation of the

concept; researchers who are contributing to the process; and top leaders and members

of Bhutan’s government who are amongst the group of thinkers who developed the

Gross National Happiness concept.

The Social Analysis perspective have been based on frameworks and tools which

were part of the course material at the University. They are provided in appendices and

are at the base of a call for paradigm shifts in today’s development debate.

The whole review and analysis is based on qualitative methodology, which

entails a degree of “personal best judgement”.

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3 Country Background and Modern Development Approach

Bhutan is described as the country moving from the feudalism of the Middle

Age directly to the new millennium (Rutland 2002). In fact, forty years back, the social

structure, value system and life style of the majority of Bhutanese did not differ very

much from that of their ancestors around 1500 (Priesner 1999, 25).

The country began to emerge from isolation, a result of deliberate strategies

rather than formidable physical barriers (Priesner 199, 35), and enter the modern world

after the 1950s, trying to go in few decades through a process, which took some

centuries in Europe (Gupta 1999, 28-32; UNICEF 2004).

Bhutan’s approach is not totally extraneous to what the World Commission on

Culture and Development (UNESCO) defines as “endogenous development open to

the outside” which fosters cultural values instead of being prejudicial to them, where

culture is indeed the source and the ultimate goal of development (Aris and Hutt 1994,

9). One of the main reasons for Bhutan’s recent rapid development is the primacy of

Bhutanese culture, which “has been a source of defining development strategies of one’s

own choice and pace” (Karma Ura 2004).

The aggregate impact of nation building, low interdependence with other

cultures, and absence of colonial domination, cannot be overemphasised. It resulted in a

strong sense of identity, self-reliant traditions, self-confidence and a powerful vision that

are at the basis of today policy making, thus leading Bhutanese to drive the development

process, with foreign “experts” strictly considered as advisors with no influence on

decision-making, and foreign aid sought or welcomed only when it fits into local policies

(Priesner 1999, 27 and 35-36).

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While economic growth is essential, it is not an end in itself, but one amongst

many means of achieving holistic development, which in turn is defined as a process

where the key concept is “balance”: balance between material and non-material needs of

individuals and society (RGoB 2001, 4); balance between tradition and modernisation

(UNICEF 2004); balance between economic development and environment

conservation (RGoB 2000, 30); balance between capitalist and socialist models (Rizal

2002, 63); in short “The Middle Path”.

Well-being cannot be measured by merely economic indicators, as observed by

the World Bank: Bhutan should be considered one of the few countries where the

quality of life of its people is higher than would be expected from traditional

development indicators (RGoB 2000a, 16-17). Bhutanese people are just as preoccupied

with material acquisition as most other people, but they balance that with a strong sense

of the ideal of sufficiency inherent in their value system. The “awareness of sufficiency”,

or “contentment”, or “satisfaction”, are fundamental to Buddhist teaching (Aris and

Hutt 1994, 19).

A particular challenge in Bhutan’s approach is the concept of being traditional

and modern, static and dynamic at the same time, “Bhutan would be a beacon to the

world relaying the message that it is possible to be the same while being distinctly

different” (RGoB 2000b, 70).

Recognizing that a wide range of factors contributes to human well-being and

happiness, the country has identified four major areas as the main pillars (RGoB 2001,

4).

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3.1 Economic Growth and Development

The main developments in recent decades have been the tax reform in 1954; the

land reform in 1979; the introduction of an environmental law; the liberalisation of

trade; the promotion of industrial and hydropower projects (Aris and Hutt 1994, 37-38);

thus gradually moving the country from a barter to a monetary economy (Ibid., 140).

Notwithstanding a focus on people and a dominance of social and cultural

values, the country started its own structural adjustment programme in the 1990s,

generally characterised by liberalisation, privatisation and reforms in banking and

financial sectors (Rizal 2002, 188).

A series of measures were set to prevent extreme urban-migration: land reform;

improvement of rural access starting with farm and feeder roads; moving basic services

like health, education, capacity building, financial and marketing to rural areas instead of

moving people; a safety net mechanism (RGoB 2001, 32-35).

Investments in those industrial sectors having higher potential, hydropower

above all, are care of the state. The development of a private sector is facilitated through

provision of financial services, enhanced trade liberalisation (RGoB 2001, 44), policies

supporting foreign direct investment, lowered tariff and reduced or abolished sales tax

and custom duty (ADB 2003b, 4).

Family planning and all related initiatives are the means for reducing the

noticeable population growth rate (RGoB 2001, 40). Social sector spending, presently

amounting at 26 per cent of government resources, is the highest in Southern Asia and

surpasses the 20 per cent benchmark set by the World Summit on Social Development

in 1994 (UNICEF 2004).

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More statistical data are provided in the appendices.

3.2 Preservation and Promotion of Cultural Heritage

A concept, interchangeably defined as “culture”, “religion”, “identity” or

“tradition”, potentially accommodating a whole complex of spiritual, material,

intellectual and emotional aspects and values, is at the base of Bhutan’s social, political

and economic life (Aris and Hutt 1994, 17-18).

Assimilating changes due to increasing exposure to the world, without losing the

country’s intact and unique culture and identity is one of the main challenges facing the

country today, which requires that the value of cultural heritage be interpreted in

dynamic and development-oriented terms.

The diffusion of trans-national global culture can set in motion forces of silent

dissolution of local languages, knowledge, beliefs, customs, trades, institutions and

communities. On the contrary, traditional values and the quality of social relations lie at

the root of happiness, supporting as well positive social change and linking the

individual and the society at large as an effective social security net (RGoB 2001, 28-29).

Moreover, for Bhutan “lacking military might or economic strength, cultural

identity is a means to give security”, and it is this perception which informs many of the

policies for development planning and implementation (Rutland 2002).

The government is promoting and protecting Bhutan’s cultural heritage by

enforcing traditional lifestyle and behaviour, including a national dress, traditional

building style, the ability to speak read and write Dzongkha, good knowledge of culture,

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customs, tradition and history of Bhutan (Aris and Hutt 1994, 17-18), and strict

conditions for acquiring citizenship (Ramakant and Misra 1996, 83-84).

3.3 Preservation and Sustainable Use of Environment

Bhutan is one of the world's ten ecological 'hot spots' (Gupta 1999, 90), and that

is due to the traditional reverence for nature, which has influenced the country’s

environmental ethics and practice long before global concerns for environment were

raised.

Modern legislation may indeed weaken the informal arrangements built up in

centuries by local communities, which often embody a profound understanding of local

ecosystems (RGoB 2000b, 67). On the contrary, Bhutan is reaffirming the supremacy of

a holistic approach to environment and conservation, based on traditional values, with

the aim of turning biodiversity from a constraint into an opportunity. Moreover,

national accounts system should be “greened” to include environmental satellite

accounts (RGoB 2000b, 65).

3.4 Good Governance

It was the third King (1952-1972), the “Father of Modern Bhutan”, who started

a new development process, gradually establishing a National Assembly, a High Court, a

Council of Ministers, abolishing serfdom and bonded labour, separating legislative,

executive and judiciary powers, codifying the law, surrendering the King’s veto power to

the National Assembly, taking Bhutan out of feudalism (Gupta 1999, 27-28).

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Under the actual fourth King, in power since 1972. The process continued with

a systematic decentralisation of power based on the King’s personal understanding: “I

do not believe that monarchy is the best system of government because the person who

holds the high office of King does not reach that position because of merit” (Basu 2003,

113), and “the principles and ideals of democracy are inherently good, and a democratic

system is desirable for Bhutan. If the lessons of some democracies are not encouraging,

it is not because the concept of democracy is flawed: it is because of mismanagement

and corruption by those who practice it” (RGoB 2001, 6).

Bhutan’s system is based on a public administration supporting a three level

form of people representation: the Block Development Committee, that is group of

villages; the District Development Committee; and the National Assembly. Central

principles, already in practice, therefore are: decentralisation; representation and

participation; improved organisational culture; a shift from a sector approach towards a

system based on Block needs; decreased central bureaucracy (RGoB 2001, 22-27).

The process is ongoing, it represents a formidable challenge, the devolution of

responsibilities and competencies has already gone a long way, but still under strict

central control to guide it, nevertheless moving towards what Gupta (1999, 50) defined

as a greater emphasis on participation than representation.

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4 Gross National Happiness

This chapter will introduce the concept of GNH, provide an insight into its

origins and discuss the way it is being operationalised, including an analysis of its major

challenges.

4.1 The Concept

Overall happiness can be defined as feeling good, enjoying life and feeling it is

wonderful, (Layard 2003a, 4), the sum of satisfaction with the life domains (Veenhoven

quoted in Donnelly 2004, 388), a cognitive comparison between life as it is and how it

should be (Veenhoven 2004, 331). Happiness is subjective, its defining characteristic

being a feeling of inner satisfaction (Bracho 2004, 518). Going back to Aristotle, it could

be argued that, once basic needs are satisfied, only the foolish derive happiness from

merely material riches. On the other end melancholy is a characteristic of the genius

(Angelino and Salvaneschi 1981).

Within Bhutan’s approach, happiness is the ultimate thing all human beings

want, while other things are wanted only as a means to its increase (Thinley 1999b, 13).

Gross National Happiness (GNH) is defined as the overarching philosophy and

guideline of development, a bridge over the gap between values and development, the

single unifying concept of development that does not reject material progress, rather

takes it as a precondition (Pankaj and Dorji 2004, 447-448). GNH starts where GDP

ends (Bandyopadhyay 2004, 261), as a reflection of Bhutan’s vision on the purpose of

human life (Bracho 2004, 535), thus emphasising that development should serve people

and not the other way round (Hitata 2004, 568).

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The broad concept of national or public happiness is not new. To give a few

examples, in 1749 Muratori in his book titled “Della Pubblica Felicità” described the

objective of public policy as seeking the best economic means to achieve public

happiness (Dixon 2000, 239), a theory further elaborated in the 1760s by utilitarian

Neapolitan economists like Genovesi and Palmieri (Ibid.). In the eighteen century

Bentham and others proposed that the object of public policy should be to maximise

the sum of happiness in society, so economics evolved as the study of utility or

happiness, which was assumed to be in principle measurable and comparable across

people (Layard 2003a, 2). Neoclassical economists of the late nineteenth and early

twentieth century, Edgeworth, Jevons and Wicksteed amongst others, considered

themselves utilitarians, elaborating a substantial mental state which may sometimes be

measured (Dixon 2000, 239; Priesner 1999, 50). Even before the development of the

concept of utilitarianism, Mill and Edgewoth defined society’s objective as the greatest

happiness of the greatest number, objectively measurable through their “felicific

calculus” (Whitehouse and Winderl 2004, 471). In diverse spiritual and native traditions

terms such as “ananda”, “samadhi”, “nirvana”, “maripa” and “oriwaka”, have been

referring to the greatest state of happiness as the yardstick of human realisation (Bracho

2004, 518).

However, since World War II the notion of utility was rejected on the grounds

that satisfaction, pleasure and happiness are purely subjective and not scientifically

measurable (Dixon 2000, 239). Behaviourism was the intellectual and economic climate

of the 1930s, neglecting the study of feelings (Layard 2003a, 3). Most probably, it was

not the concept of public happiness in itself to be rejected, but the assumed difficulties

or impossibility of measuring it led towards more practicable directions.

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Things are nevertheless changing. While for Bhutan putting GNH at the core of

the country’s development approach seems to be perfectly in line with the traditional

lifestyle and culture, in the West economists from different backgrounds believe that

happiness should take a more central role in economics once again. More than 200 years

after Muratori’s arguments, it may be time for economists to re-evaluate the foundations

of their theories (Dixon 2000, 240). The change in economics, including a better

integration with psychology, anthropology and social science, advocated for by the

London School of Economics (Layard 2003a, b, c) is telling. The basic reasons for

keeping, or re-placing, happiness at the centre of development theories are briefly

discussed in the next chapter.

4.2 Rationale and Origins

Development and economics models are increasingly under critique, from both

perspectives of advanced societies and poor countries trying to develop.

Economic growth and measurable indicators have become the ends of

conventional development theories and practices, models have been developed by

advanced societies and widely exported to poor countries, nevertheless no one seems to

be happy with the resulting outcome. According to Galtung (2003), no government is

doing what people are asking for or expecting, even the more democratic ones.

Examples of development failures, especially within developing countries, are more

frequent and widespread than successful cases (Hargens 2002, 25).

In the West, societies have not grown happier as they have grown richer (Layard

2003b, 3). There is a general agreement on the often quoted Esterlin paradox stating

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that once people’s basic needs are satisfied, further increases in income and purchasing

power does not lead to increased satisfaction or happiness (Faris 2004, 151), on the

contrary, moral vacuum, insecurity and more stress are frequent by-products (Layard

2003c, 7 and 16). Several recent studies support such arguments (Binswanger 2003).

Classical economics’ base-concept of free competition for scarce and limited

material resources has been taken beyond any limit, happy is the one who consumes

more resources. Making money has become the objective regardless of values, forgetting

Adam Smith’s argument that markets cannot function without ethics and morals

(Tideman 2001). According to Noble Price economist Douglass North, economic

theory is missing an understanding of human relationships (Ibid.). In addition, unlike

ordinary capital, intellectual capital is not subject to physical limits, intangible values are

stored in the mind, free of physical constraints and therefore potentially of unlimited

supply, thus not requiring any competition (Ibid.).

Moreover, beyond a certain threshold, markets can only grow by

“problematising” present circumstances and delivering appropriate consumer products

(Hershok 2004, 67). The debt-based financial system, shared by the majority of national

economies, creates instability and pressure towards constant growth, regardless of needs

and desires of the population. Its extension into the field of development has led to the

disaster of the third world debt (Rowbotham 2004, 182). Agricultural land use, where

food exports have priority over needs for local consumption, combined with food trade

and transport policies, where near identical products criss-cross the planet in the name

of “trade is good”, are damaging different ecosystems and producing incalculable wastes

(Ibid. 184-185).

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Many advocate for development alternatives, or even alternatives to

development (Ueda 2004, 634-635). While some argue for no alternative between

capitalism and socialism, others define neoclassical economics as disregarding external

reality and call for “real life economics” or “post-autistic economics” (Rowbotham

2004, 187 and 213). Even the concept of sustainability is ironically questioned: “… the

world needs restoration first. After all, who really wants to sustain the mess we live in

now?” (Cunninghan quoted in Bracho 2004, 520).

Purely material aspects are just a part of the whole picture of development, thus

calling for more attention on values, relationships and the intangible (Kaplan 1999),

going back from today “I buy therefore I am” to the original “cogito ergo sum”

(Sivaraska 2004, 497); or, in Erich Fromm language, from “having” to “being”

(Tideman 2001, 7). After all, a long time ago Aristotle stated that wealth is not the good

we are seeking, for it is merely useful for the sake of something else (UNDP 2001, 9).

Regardless of any economic and development model, unlimited continuous

growth and people happiness are two different things. Many dismiss the latter as

romantic, well-meaning but pointless idealism (Bashi 2004, 207). Nevertheless, there is a

clear need to re-place people and people’s needs at the core of any model. If people’s

broad priority is happiness, that should be the wide objective of public policies, adapted

to any different circumstances and context, and that seems to be exactly what GNH is

all about.

According to Thinley (1999b, 13-14), the academic community has not

developed the appropriate tools to look at happiness, dismissing as an utopian and

subjective issue, one of the primary human values and the primary goal of development.

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Consequently, social and economic policies have not been designed explicitly to address

happiness which is not a direct concern of government and international agencies. That

is sharply contrasting with the daily quest for happiness of each individual human being.

Bhutan’s approach, on the basis of traditional values, culture and lifestyle,

complemented with an analysis of world-wide empirical experience, turns upside down

the conventional concept of development. Economic growth loses its centrality, it is not

anymore the goal but an initial necessary precondition in order to satisfy human basic

material needs. Once survival is assured it becomes then a tool, or one of the means, for

achieving broad human development, for satisfying human basic spiritual or intellectual

needs towards happiness, the ultimate end. Interestingly enough, this approach is in line

with UNDP’s 1990 proposal to remove economic dimension from the centre to the

means level (Priesner 1999, 47).

From a western conventional perspective, once the primacy of cultural, moral,

ethical, spiritual and intangible aspects of human development is accepted, the issue of

measurement and indicators arise. It is a western linear way of thinking to measure

where processes start, then monitor how far they are leading to, but reality is not linear,

is whole, circular (Thinley 1999b, 19). Most used development indicators measure things

that can be quantified by assigning monetary weightings, qualitative distinctions are then

excluded (Tideman 2001), subjective aspects are by definition not considered, neither

are equality and resource distribution (Bracho 2004, 520). Apart from a wide range

critique concerning claimed scientific methodologies in data collection surveys, a more

conceptual debate regards the appropriateness of the primarily used indicator for social

well-being and economic growth, the Gross National Product (GNP). Such critiques

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maintain that, not only the GNP is nothing more than the measure of the money that

changes hands (RGoB 2000b, 11), or the measure of everything except what makes life

worthwhile (Robert Kennedy quoted in Colman and Sagebien 2004, 298), but it counts

many social negatives as positive, and also fails to count social services enhancing social

well-being, as well as degradation of critical assets and intangible factors (Dixon 2004,

105). According to The Atlantic Monthly (quoted in Bracho 2004, 519) those

shortcomings explain why “GDP is up and America is down”, and why by the curious

standards of the GDP, the nation’s economic hero is a terminal cancer patient going

through a costly divorce. The importance accorded to the GDP is explained by Marshall

with the simple formula of ignoring everything that cannot be weighted and assuming

common standards for all individuals, as to say that looking for something under the

light is easier even if there is nothing to be seen there (Johnson 2004, 547-548). To sum

up, Layard, at the London School of Economics defined the GDP as a hopeless

measure of welfare (2003a, 2).

The question therefore is: does this way of measuring human processes really

help as a tool towards defined goals, or on the contrary it has become an end in itself,

producing as well a misconceived picture of the reality?

Bhutan’s approach once again turns the concept upside down. It does not just

add qualitative variables to the list of quantitative ones (Hargens 2002, 29).

Measurements and indicators are removed from the centre stage. Cultural, moral,

ethical, spiritual and intangible aspects are not measurable, they have to be judged by the

people according to their own specific understanding. By any decency it is for the owner

of the emotion to decide the adequacy of definition and measurement (Galtung 2003).

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Moreover, if happiness is defined by outsiders or through a rigid framework, then some

criteria that at least some people consider critical will inevitably be left out (Sivaraksa

2004, 501). Once again people are central and their values are the core, as Protagoras

said, “man is the measure of all things” (Galtung 2003). There seems to be even a sense

of genuine proud-ness in Bhutanese people talking about GNH as a non-quantifiable

development objective (Thinley 1999b, 13), as a way to further underline the primacy of

spiritual values on material aspects. After all, if indicators may be determined for

intangible domains those are not intangible anymore. People may instead may well be

able to make judgements on them. But one should be careful, that is not to say that

GNH completely rejects the concept of measurements and indicators, as discussed

below.

In conclusion, the concept of GNH has been part of Bhutanese discourse since

long time, as a component of local culture, history and lifestyle. It was formalised by the

actual King in the late 1980s (Priesner 1999), and is being complemented through an

analysis of the world’s development experiences, where it is not only the no-global

movement to underline existing tensions between GNP and public broad well-being

(Zucconi 2004). Bhutan went through a socio-political process, from middle-age

feudalism to authoritarian monarchy, then to a development state within an enlightened

monarchy, and is now moving from a development to a GNH state (Mancall 2004a, 29-

32). GNH then arises out of the very nature of Bhutanese history and polity, and it is at

the same time a reflection of that historical experience and a description of the future

path (Ibid., 36-37). The next chapter will, therefore, analyse how Bhutan is

operationalising GNH.

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4.3 Operationalising GNH

As already mentioned, Bhutan is not primarily concerned with methodologies

and measurements. On the contrary, attention is on principles and values, starting from

a broad vision and then deriving policies and strategies. That is not to say that

measurements are totally neglected. They are simply considered tools that can be

devised and tuned once the main path is set. Priority is then given to where to go and

particularly why, rather than how fast, or doing the right thing rather than doing

anything right (Whitehouse and Winderl 2004, 469). This is also reflected in GNH being

a philosophy, a unifying principle, not a specific methodology. On the contrary,

different methodologies could possibly be adapted to GNH.

In addition, Bhutanese culture is pervaded by values, spirituality, subjectivity and

intangible aspects. Compared with most western cultures, the Bhutanese may be more

accustomed to deal with such evasive aspects of life. They are therefore not disturbed by

the un-quantifiable, neither do they need to precisely weigh everything. Subjective

evaluation may well do, after all, happiness is a subjective value, scientific reductionism

may not apply.

Bhutan is building a GNH state on the basis of a vision ensuing from cultural

values, thus requiring a specific set of tools and instruments because it means creating a

kind of polity and economy which is different from socialist, liberal or free market states

(Karma Ura 2004). The concept goes beyond a conventional development state whose

objective is precisely development, while justice and happiness are understood to be a

consequence. In a GNH state, happiness is the objective while development is a means

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towards it (Mancall 2004a, 21). Moreover, the GNH state assumes primary

responsibility for creating a society where disruptive conditions are minimised and

progress towards happiness are not impeded by un-necessary suffering. Departing from

conventional neo-liberal views, such a task is not left with the private sector or the

market; they are only means to an end for which the state is ultimately responsible

(Ibid., 35). This may be viewed as a step forwards compared to Sen’s capabilities

approach, as to say that happiness could be explained as the ultimate capability, or the

sum of all capabilities, a society has to provide to all individuals, for them then to make

use of it.

The process of building the GNH state is ongoing. Bhutanese planners and

policy-makers continue therefore to reflect further, and one of their tasks is to challenge

the value of accepted theories and practices of development world-wide (Karma Ura

2004). While, indeed, two main components of the GNH state are already in place and

further developing, i.e. the institutions created during several decades of development

and modernisation, and its personnel in the form of the Civil Service; specific

operational aspects still need to be defined (Mancall 2004a, 34). The GNH concept is

not developed sufficiently to provide operational guidelines and an evaluative

framework for policy formulation, policy assessment and implementation (Wangchuk

2004b). Nevertheless it is being operationalised by defining a commonly shared vision

whose principles are to be kept central to the nation’s path.

Bhutan elaborated its own vision, and established a policy-making system, which

produced related policies (RGoB 2000a and b). Consequent necessary strategies for the

implementation of those policies are then defined through the five year plans (RGoB

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2001), which are resulting from the aggregation of village, blocks and districts plans and

priorities. An autonomous auditing department is in charge for monitoring and

evaluation. Statistical data on conventional development indicators are also being

collected in spite of the ongoing debate about their usefulness and appropriateness

(RGoB 2000c and 2002b).

The document “Bhutan 2020: A Vision for Peace, Prosperity and Happiness”

(RGoB 2000a and b) is the main instrument for keeping GNH concept central at all

levels. This document represents Bhutan’s vision statement. People in all sections of

society such as academics, officials, lamas, monks, students, youth, teachers,

industrialists, administrators, diplomats, NGOs, community leaders, businessmen and

women, expatriates and villagers have participated in its formulation and review, so that

it represents a balanced perspective of a shared vision (RGoB 2000a). The document

addresses in particular the Bhutanese people, including youth or students, businessmen

and women, farmers and villagers, as an informative and useful tool. In addition, the

document is meant to be a consultation guide for civil servants in planning and

implementing policies, as well as an instrument for Bhutan’s partners in development to

make informed choices about their contributions (Ibid.).

Under the guidance of the vision statement, the Bhutanese population as a

whole participates in the policy-making process leading to the formulation of five years

plans. People at village level define their priorities and local policies, which are

combined into blocks plans, then district plans and finally into a national plan, the

whole process facilitated by elected representatives at different levels. On such basis the

National Assembly defines national policies, strategies, implementation plans and use of

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available resources, thus meaning operationalising GNH on the basis of commonly

shared and defined values, vision and priorities (RGoB 2000a and b).

One of the key factors in building and developing such a system may have

been the establishing of a multilevel network of relationships for sharing knowledge,

experience, ideas and understanding. A learning network, connecting people from the

remote villages of Bhutan, their representatives and administrators, Bhutanese planners,

researchers and policy makers and finally the international community of academics and

practitioners. Such a network, facilitates the discussion and analysis of principles and

aspects of GNH at different levels, from the numerous and regular village meetings all

over the country, to the various levels of civil administration, to the national institutions,

to international seminars and events taking place in various countries and involving

people and experiences from many different environments. GNH is therefore discussed

at the same time by ordinary people within their families, at market places, through the

media, up to the national and international organisations such as major universities and

research institutes and the United Nations. It is then for Bhutan’s institutions to

facilitate the flow of ideas and information in all directions, sharing, combining and

reviewing them within a learning perspective, thus building on the basis of culture and

values through the intangible tool of human relationships. The same network is now

active in discussing possible operationalisation guidelines and methodologies.

Another aspect, leading GNH planners to concentrate first on ways and

direction towards the end of happiness, rather than on quantification of progress, is a

perspective on the relation between means and ends which is different, compared with

dominant western approaches to economic development. The concept of the “Dilemma

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of Commons” is extraneous to Bhutanese culture; on the contrary, individual rational

maximisation through socially destructive and irresponsible modes of conduct, in other

words wrong means towards right ends, is considered absurd (McDonald 2004, 317).

This is reflected in GNH emphasising the common benefit and not being the aggregate

of individual happiness, within a perspective where the whole is greater than the sum of

its components. That is precisely why any attempt to measure individual happiness

contradicts GNH (Mancall 2004a, 31).

In terms of operationalising GNH, an interesting suggestion comes from Ueda

(2004, 641-642). The concept of GNH should be incorporated into any policy or

development plan, by making reference to expected or possible effects on happiness.

For example happiness could be incorporated into the process of formulating and

evaluating projects and policies, thus making the connection between the concept and

actual actions clear. Such constant reference to the concept of GNH would inevitably

include donor agencies into happiness thinking.

The persistent happiness of the altipiano (highlands), opposite in Galtung (2003)

language to the temporary happiness of the peaks, could even replace or integrate the

concept of sustainability. In other words, the combination of economic, technological,

financial, social, and environmental sustainability has to lead to enduring and persistent

“sustainable happiness”, to be found at stable middle levels. On the contrary, the peaks,

although enjoyable, represent un-sustainability, because from there the only option is to

go down.

The above practical suggestions are taking the discussion back to measurement

and indicators. In spite of basing their vision on the GNH concept, and building a

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GNH state, Bhutanese planners do not consider measuring happiness a priority, just like

any individual may have a personal definition of happiness, its measurement is also

subjective.

Nevertheless, the amount of research and data available world-wide on

happiness is considerable. While most socio-economic indicators measure means

(Thinley 1999b, 14), many argue that happiness is measurable and comparable

(Veenhoven 2004), and there are several attempts to improve or substitute the GNP

methodology. For example, UNDP’s Human Development Index (HDI) adds some

non-economic, though quantitative, indicators (Tideman 2001, 11). The World Bank’s

Wealth Index gives priority to human and environmental capital rather than built capital

(Ibid.). The Genuine Progress Index (GPI) is based on equity and includes social,

environmental and time variables, all from a qualitative perspective (Colman and

Sagebien 2004). Both World Values Surveys and World Database of Happiness

initiatives measure subjective happiness and compare national averages (Whitehouse and

Winderl 2004, 475). Of particular interest could be the concept of Happy-Life Years

(HLY) introduced by the latter as a qualitative measure of life and providing contrasting

insights compared with conventional economic indicators. The Positive Psychology

School is also contributing to the debate on happiness through a growing amount of

research (Donnelly 2004, 386). “Happiness developed” and “happiness developing”

countries may be completely different from conventional “developed” and “developing”

countries (Ueda, 2004, 641).

An interesting suggestion comes also from Johnson (2004, 561), who proposes

not to measure “functioning”, but to measure what Sen calls capabilities, which, he

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argues, may even be easier to measure and will leave to people the freedom to “not

function”. Within such a view, the indicator is not how much people make actually use

of capabilities, but the level of capabilities they are provided with, regardless of their

choice of using or not using them. For example, the number of un-employed people

should be replaced by the availability of jobs, leaving individuals with the choice not to

work. In the same way, it is not people happiness to be measured but how much a

society facilitates them in possibly being happy. How much easier that may be to

measure remains to be seen.

Bhutanese thinkers, researchers and planners are well in touch or active

contributors to the initiative mentioned above, as part of the ongoing research and

debate fostered by Bhutan’s institutions for operationalising GNH. Particularly, the

ongoing and developing work of the Genuine Progress Index (see Colman and Sagebien

2004), and the peculiar experience concerning traditional culture and values of the

Gorsebrook Research Institute (see Sable 2004), both from Nova Scotia in Canada,

seem to be in close relation with the further progress of GNH and the development of a

measurement approach alternative to the GNP. It is probably not by accident that the

next international seminar on GNH will be held there sometime in 2005.

4.4 The GNH Challenge

The challenge of the GNH approach, both in terms of achievements and

shortcomings, resides with culture. The whole approach is based on, and originates

from, cultural, ethics and moral values. As discussed in the previous chapter, it is by

maintaining those same values well alive and central that the approach may succeed in

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moving from the theoretical debate to its effective operationalisation. But that is not to

say that culture should be protected to stay un-touched and immutable. On the contrary,

as the core of a development process it has also to develop. So, the challenge is the

direction towards which Bhutanese culture is going to develop, and of course it has to

be viewed and evaluated from a Bhutanese perspective.

Cultural changes may originate from internal processes or be influenced by

external factors, and frequently the two mix into the same process.

Internally, the development within the education sector may have relevant

consequences on cultural aspects. In spite of considerable improvement thanks to

Bhutan’s education development policies of the last few decades, the chain of teaching

and passing cultural, traditional and moral values through generations has been

somehow disrupted. Many young Bhutanese had a very limited experience of traditional

life, as they were sent to school abroad or enrolled in boarding schools away from their

parents, schools whose curricula were derived from western ones (Priesner 1999). In

both cases the teaching of culture, particularly local culture, is not included, either by

daily interaction between different generations within the society as it used to be, nor by

the formal education system. In addition, the fast path of recent development in Bhutan

may have further increased the cultural gap between generations. As a result, values of

educated generations may differ, or even be in contrast, with those of more traditional

people, thus calling for effective counter-measures within the education system.

Successful modern societies depend upon educating each succeeding generation in the

values that are at the core of the social life (Mancall 2004a, 35). GNH values and mental

attitude need therefore to be integrated into the education system. The strength of the

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concept being a reflection of a particular cultural consciousness rather than an academic

construct, that is policy-makers having a strong consciousness of Bhutanese identity,

may otherwise rapidly become a weakness once civil servants with primarily western

education begin to lose this intuitive link to indigenous values (Priesner 1999, 45).

Bhutanese thinkers and planners are the first ones to be well aware of such a challenge,

the “Bhutanisation” of imported curricula, integrating both local tradition with modern

knowledge, is therefore a priority in their understanding (RGoB 2000, 31). The call of

spiritual leaders for more open and direct relationships with young generations is also

telling (Zangmo 2004, 1018).

Externally, both development and globalisation processes are having dramatic

effects on local cultures. Some now speak about “cultural genocide” as the cultural cost

of introducing socio-economic change (Mancall 2004a, 24). In today’s world it is not

possible, neither desirable, to go back to isolation, the key to opening up yet retaining

cultural integrity lies therefore in education (Tideman 2001, 12-13), and Bhutan is well

aware of cultural identity being the key to avoid either excessive materialism of the

West, or the poverty of other developing nations (Rowbotham 2004, 185-186).

As Appadurai argues (quoted in Johnson 2004, 557), there is a basic mistake in

perceiving culture as describing only the past and present, while future is a matter of

economics and development discourse, thus leading to view culture and economics as

antagonists, or culture and tradition opposite to development. Within his “aspirational

capacities concept”, culture, or cultural capacity, determines instead the future direction

of economic development. Education should, therefore, enhance traditional beliefs and

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values, not oppose them as often happens in the western educational model (Aldwin

2004, 984).

Culture is the main link between generations and amongst societies. Culture may

be the only means to guide and direct modernisation and globalisation processes instead

of subduing them. Within a broad and holistic approach to development, where the

concept of richness includes spiritual and cultural aspects, the concept of poverty

should as well include spiritual and cultural poverty (Mancall 2004b, 1278). Cultural

development, through enhanced and inspired education, is then basic even for a society

extremely rich in culture such as Bhutan’s. The challenge is not to oppose different or

global cultures, but to enhance local culture, and Bhutan is not by any means alone. It is

indeed part of the myth of western consumerism to believe that the whole world is in

avid pursuit of its culture. A vast part of the world’s population actually live in societies

that value their own culture, prize their independence and are seeking ways, like Bhutan,

of preserving their inheritance and identity (Rowbotham 2004, 187).

The cultural challenge becomes even more important in the process of

operationalising the GNH concept. From the debate on GNH, it seems that the priority

for Bhutanese planners is to maintain the concept’s centrality rather than the definition

of methodological frameworks and procedures. Opposite to a conventional way of

operationalising a concept, a philosophy of life may be operationalised by maintaining

its centrality into all processes, so that cultural values are driving the processes and not

the other way round. It is the primacy of values on methodologies. Of course, from a

conventional development perspective, one could argue that that means GNH is not yet

operationalised. It is simply discussed, and the related many challenges are not

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confronted. From a Bhutanese perspective the primary challenge is cultural, because it is

only through culture that Bhutan can achieve its defined overarching goal, which is

maintaining identity, independence, sovereignty and security as a nation state, being in

turn the pre-conditions for fulfilling all hopes and aspirations. GNH is exactly the single

unifying concept for achieving such an overarching goal (RGoB 2000b), and broad

participation in defining vision, policies and strategies is the key Bhutan is using to

guarantee GNH centrality to the whole development process, in other words to

operationalise it.

After all, also western experience confirms the centrality of culture, as David

Landes in his review of two millennia of economic history “The Wealth and Poverty of

Nations” argues: “If we learn anything from the history of economic development, it is

that culture makes all the difference” (quoted in Tideman 2001, 10).

The GNH concept is turning many aspects of conventional development

theories and approaches upside down, from perspectives and constructs to

operationalisation, thus making its discussion, analysis and understanding interesting but

demanding. The following chapter represents a tentative trial towards a deeper

understanding of some GNH aspects.

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5 Gross National Happiness: A Social Analysis Perspective

This chapter analyses Bhutan’s development approach, with particular reference

to GNH, from a social analysis perspective. The aim is not by any means to judge

Bhutan’s process, institutions, organisations and people. It is instead to better

understand their perspective and approach, in order to learn from them and evaluate

possible lessons to be drawn.

The chapter first discusses those social units and axes of social difference having

peculiar and relevant aspects, then evaluates the level and typology of participation into

the development process, and finally, analyses peculiarities of Bhutan’s approach against

advocated paradigm shifts, namely new professionalism, learning processes and learning

organisations. While the discussion on the GNH concept is resulting from the

combination of the literature review and the field work, the final social analysis is mainly

based on what was learnt from the field work. Particularly, while the literature rightly

indicate a considerable level of participation in general terms, it was through the field

work that very contrasting aspects emerged. As detailed below, the process still presents

both deeply participative and very top-down characteristics at the same time, which are

not visible through the aggregate. It was only trough the use of the frameworks part of

the field methodology that each single characteristic emerged. Of course the process is

ongoing and developing, nevertheless such contrasting aspects combined with a

considerable level of achievements represent an interesting aspect to be underlined.

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5.1 Bhutan: Key Social Units and Axes of Social Difference

Household, family and extended family

Traditionally, Bhutanese society is based on the household as the smallest social,

legal and administrative unit, composed of an extended family including all those

components living together for over ten years, and sharing all “loss and gain” equally.

(Karma Ura in Aris and Hutt 1994, 39).

While many traditional societies around the world are basd on a similar notion

of extended family, Bhutan’s society shows a particular level of awareness and

conceptualisation of values such as social capital and relationships. They are entailed in

the household units and in the interaction between households, thus resulting in a

strong interdependency between family members, naturally extended to non-blood

relatives (Leaming 2004, 1063). Both, the single household and the households’

networks, represent the first level of social net in terms of mutual support and coping

strategies. For example, in addition to traditional forms of occasional support between

members of the same household or between different households, it is also quite

common for people to move to other families where they may be of help, receive

support in case of elderly persons, or have access to better education in case of

youngsters (Ibid.).

Society and nation state.

Society and the state are both seen in Bhutan as an extension of the concept of

family. Iindividual welfare and well-being must therefore be provided for by the society

(RGoB 2001, 4). A view quite similar to the Aristotelian theory of social welfare, which

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sees the state as a natural evolutionary development of the family, existing for the

benefit of its members, which should exercise control whenever control results in the

general welfare (Gupta 1999, 39), and contrasting with the notion of a civil society

opposed to the state as originated during the French revolution (Mancall 2004a, 15).

As already mentioned, such a concept of state entails ultimate responsibility in

terms of public well-being, that is happiness, and social safety nets.

Class

While traditional social stratification consisted of a handful of aristocratic

families having often religious eminence, some well-off but tax-paying families, the mass

of tax-paying ordinary households, and serfs and servants, the country’s modernisation

is bringing along some modifications (Aris and Hutt 1994, 29-31). A major social reform

in 1956 abolished serfdom and servitude, both formally and in practice, and gradually

redistributed agricultural land to include former serfs and servants (Ibid.). More recently,

a new well-off middle class is emerging, comprising many people educated abroad or

though the improved local education system, having a relevant role in translating the

goals of development into reality, and possibly being the vanguard of a new social order

resulting in tensions with traditional culture and society (Ramakant and Misra 1996, 50).

Nevertheless, the democratic culture of Bhutanese society allows a high degree of

equality hardly noticed in other countries (Gupta 1999, 49), thus being a possible

softener for social and class tension.

Age

People’s age, in the broad sense of all ages, is seen in Bhutan as a value, and the

relationships between different generations are considered a rich cultural heritage

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(RGoB 2001, 5). The breadth and quality of social relations lie also at the root of

people’s happiness throughout the life cycle: from childhood to old age; they provide a

benign and supportive role to social change and development, a strong identity and a

sense of values to all Bhutanese; that is why GNH comprises a commitment to the

strengthening of social cohesion and unity (Thinley 1999b, 22). From a Bhutanese

perspective, the separation of children and elderly people from their families, because

admitted into boarding schools or relegated to care facilities, creates individual un-

happiness and a loss in social and human capital (Ibid.); opposite to the western view,

which considers the number of those facilities as an indicator of well-being of a society.

The inter-generational contract (Kabeer 2000, 465) is viewed in a much broader

perspective that goes beyond the inter-generational transfers. The bargain is not seen as

linear, where the working generation makes transfers of human capital to the young and

consumption to the old on the understanding that other generations will behave in

similar way (Collard 2000, 453), but circular, where all generations make transfers to the

others, and even within themselves, in different terms and at all times. Infants, children

and older people are not only depending and demanding, their presence also enriches

the whole family and increases satisfaction and happiness, mutually to all members. The

concept goes beyond the values of investing in children for future pay-back or

respecting older people for their accumulated wisdom or wealth, that is valuing present

or future access to capitals, and also beyond the structure and social organisation of a

typical extended family. It comprises all those intangible aspects which are basic to

people’s relationships and represent primary values for “social synthesisers”, as

Bhutanese define themselves (RGoB 2000a, 25).

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Gender

Women in Bhutan have traditionally held a place of honour, they were expected

to hold house and land property and customary rights of inheritance were by daughters.

Today marriage and inheritance laws are de-genderised, even though women still own

60 and 45 per cent of rural and urban properties respectively. A Royal Decree

established equality of wages between male and female labour in 1993 (RGoB 2001, 21

and 43). Female literacy used to be very low but is gradually improving. During the

period 1990-2000 the girl/boy enrolment ratio for primary school increased from 69 to

82 (RGoB 2002b, 19). However, women have also been engaged in traditional

bondages, have occasionally being victims of prejudice and the pressure of household

and childbearing functions have limited their opportunities in other domains of public

life (Ramakand and Misra 1996, 52-59). The government approach is to include women

in the mainstream of development rather than supporting specific traditional women’s

activities (Ibid.).

Ethnicity

Despite being a Buddhist Drukpa Monarchy, Bhutan is a multi-ethnic, multi-

lingual and multi-religious country, influenced by a series of immigrations through the

centuries. (Ramakant and Misra 1996, 45). Ethnicity has always represented a challenge

to Bhutan’s national identity. Present tensions are due to a strong Nepali community

and its claims towards a Gorkhas identity (Ramakand and Misra 1996, 94-95), and the

presence of ULFA and Bodo militants taking refuge from Assam (Rutland 2002).

Particularly, the numerous Nepalese community is opposing the imposition of the

Drupkas’ national dress, the code of conduct, and the Citizenship Act, to the extent of

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being described as anti-national (Basu 2003, 111). While there have been allegations

concerning the violation of human rights and the forced eviction of a number of

Nepalese (Gupta 1999, 113), such tensions may be due to the conscious efforts of a

politicised community to challenge the social, ethical, territorial and cultural integrity of

Bhutan, rather than to the repression of an ethnic community (Ibid., 197). Being the

national identity a very critical issue for Bhutan, it is not surprising that local authorities

are so concerned and active in protecting it from any possible challenge. Nevertheless, it

has to be noticed that the approach they are taking, though very firm, may reflect a

positive attitude towards peaceful solutions.

5.2 GNH: Participatory Development

As already mentioned, participation is a key aspect of Bhutan’s approach, and

the level and typology of participation may be distinguished according to periods and

phases, over which participation developed through a learning process. Those typologies

will be analysed against a set of definitions listed in Pretty et al (1995) as provided in

appendix.

Passive participation

The reforms introduced through Bhutan’s modernisation process were not

demanded by the people, characterised by political apathy, but accepted as enlightened

and progressive by the aristocracy (Priesner 1999, 34), in some cases even slightly

resisted as a form of reverence towards the King (Mancall 2004a, 8). Moreover, those

initial reforms were based more on a leadership’s view of Bhutan past, present and

possible ways forwards, rather than research, surveys and data collection.

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Participation for information giving and consultation

Bhutan was considered a “data free land” (Simoni 2003, 605) until 1960, while

very few data are available for the period 1960-1980 (RGoB 2000c, 18). A data

collection system was then established, involving ordinary people as information givers

and including also a consultation exercise, a system which is still developing even

though already quite effective. People moved from the role of passive receivers to that

of passive contributors.

Participation for material incentives

This aspect of participation may not apply to Bhutan, but not surprisingly it may

be adapted into “participation for spiritual incentives”. Traditionally, Bhutanese people

of any social strata or group contribute to the maintenance of public, especially religious,

structures in terms of finance, services and manpower, against personal inner

gratification and maybe social appreciation (RGoB 2001, 29). This practice is present all

across the past as well as the modernisation periods, and is still supported and

encouraged by the administration (Ibid.).

Functional participation

While community groups are part of Bhutanese tradition, specific development

committees have been established in the early phase of development following the

initiative of the central administration (Karma Ura 2004). Particularly, development

committees at village, block and district level were initially directed and their activities

facilitated from the centre, having therefore a functional role.

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Interactive participation

As already mentioned, on the one hand people were widely involved in the

discussion and formulation of a nationally shared vision statement (RGoB 2000a, 5),

thus including also a sort of “conscientisation” process. On the other hand, a bottom-

up policy making system was established by empowering the development committees

described above, with decision and management power gradually being shifted to the

periphery under the guidance of the same vision statement (Karma Ura 2004; RGoB

2001, 22-24; Gupta 1999, 48-49). In addition, people’s representatives at all levels are

not anymore civil servants, but elected by and responsible to their constituencies on the

basis of their record of service to the society and moral and ethic integrity (Ibid.). The

gradual but extensive devolution of power and responsibilities to the very grass roots of

village communities, including also considerable influence into national policy,

represents a first step of an impressive people-empowering process. After all, people are

central to GNH.

Self-mobilisation

This typology of participation, except for very traditional self-help subsistence

groups, has no record in recent development history. Nevertheless, it may not be

excluded that the emerging new educated middle class could develop such form of

action in the near future.

Discussion

In conclusion, the country is going through a process of participatory

development based on bottom-up policy-making with possibly no equal in both the

developed and developing world, particularly because ordinary people are directly

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involved into policy making on a nation-wide scale as government partners, not only

within localised examples that may not be generalised. Within such a process,

participation may be seen as a means because it provides a considerable contribution to

the policy-making system of the nation in terms of effectiveness and sustainability. It

can also be seen as an end because it facilitates empowerment of ordinary people.

Despite few contrasting opinions: because the country did not switch over to a

democratic form of government (Ramakant and Misra 1996, 50), because of usual elite

domination, as well as frequent popular endorsement of leaders’ decisions (Rizal 2002,

196 and 200), or because sovereignty resides with a polity defining policies not chosen

by the people (Mancall 2004a, 15); still there is wide and consistent appreciation. The

form of government is defined as a monarchical democracy moving from people

representation towards participation, where the latter stresses the substance of

democracy which is sharing of power (Gupta 1999, 50 and 154). Furthermore, Bhutan’s

leadership is considered one of the few who understood the complex concept that

powers of an institution can be expanded by sharing it (Leo Rose quoted in Gupta 1999,

57). According to an UNICEF official “it is not till we see it in Bhutan that we know

what community participation means” (UNICEF 2004).

Nevertheless, in this initial stage of the process, people participation is limited to

definition of priorities and policy-making, with the local administrations in the role of

enabling institutions. Implementation of policies and actions is performed by local

representatives under the supervision of the administration without active participation

of people. Accountability and reporting is still upwards from local representatives to

government institutions, and monitoring and evaluation is performed by the

government only. Of course the process need time and is ongoing, nevertheless, is

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seems that instead of gradually empowering people at all stages the government

approach is to proceed by stages, presently people have been empowered and

participate in planning, next step should therefore be implementation and so on. Also to

be noted that local administrators and representatives have in general undergone a short

intensive training on participation, thus they are now speaking the participatory

language, but they are not yet able to internalise the concept and master the

methodologies. However, because of their strong commitment, probably due to their

believing in what they are doing and their confidence in their leadership, they are already

capable of considerable achievements. Given the results accomplished, the potential

shown and the scale of the challenge, it could be worthwhile to think about further

specific research on the process, even confronting it with major critiques on

participation.

5.3 GNH: Professionalism, Processes and Organisations

This section analyses the GNH process against advocated paradigm shifts at

three different levels: (a) individual, “new” versus “normal” professionalism (based on

Chambers 1986, 1993 and 1997); (b) process, “learning” versus “blueprint” approaches

(based on Korten 1981, Chambers 1986 and Oakley 1991); and (c) organisation,

“learning” versus “bureaucratic” (based on Korten and Uphoff 1981 and Korten 1984).

On one side, the aim of the analysis is to provide a deeper understanding of

Bhutan’s development process, through the underlining of peculiar characteristics,

possibly including strengths and weakness in a learning perspective. On the other hand,

it would also be challenging to test and adapt bi-polar linear models within a holistic,

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whole, circular context such as Bhutan’s. In other words, the polar opposite models

have to be reinterpreted shifting from a Cartesian either-or dualism to a complementary

both-and logic (Galtung 2003).

The analysis has been performed by means of pre-drafted and adapted tables,

tested and finalised through semi-structured and informal interviews in the field. Within

a qualitative approach, a degree of “personal best judgement” is also part of the

methodology. By no means this study has to be considered exhaustive or final, but a

sort of tool for better understanding and fostering further discussion. Hereafter is a

summary of the findings, while more details in graphic form are provided in appendix.

Professionalism

In terms of contacts, the traditional respect for high status and education is quite

influential, but all contacts are equally important thus allowing them a very proactive

role in spite of a high degree of dependency and resistance to changes, particularly from

the low social strata. However, professionals still tend to hold more the role of teaching

rather than learning.

The approach is totally holistic, experiential and subjective, with prevalence of

qualitative and intangible aspects regardless of the methods that are seen as purely

means.

Definition of priorities tends to increasingly involve users within a noticeable

empowering process, evaluation of achievements is instead very much centralised.

Modern technology packages, promoted by very conventional extension agents

opposite to the newly advocated role of change agent, are seen as the tool for

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development of traditional sectors such as agriculture. Particularly surprising is the

limited concern for concepts like appropriateness and environment preservation shown

by some extension agents, even though such behaviour cannot be generalised.

Preferences in terms of values denote a degree of balance, but totally based on

people’s centrality. In addition, trends seem to be slightly from rural to urban, from

agricultural to industrial, but probably to a lesser degree compared with other

developing countries.

Comprehensively, the analysis denotes a well balanced and stable mid-way, thus

being in line with local customs based on Buddhism tradition. Nevertheless, the

progress in the participatory and people empowering process will probably enhance a

trend towards new professionalism.

Another aspect to be underlined is the guiding role of the King, never distant

from his people. He travels extensively within the whole country and participates in

both local processes as well as national debate, making sure that perspectives and

priorities he heard from the people, including poor and those living in remote areas, are

considered (Gupta 1999, 149).

Process

As discussed in previous sections, Bhutan’s modernisation and development

process originated from the very top-leadership, the third King, while the present

monarch still represents its inspiration, guide and control (Mancall 2004a, 8-9).

Nevertheless, the process is based on contrasting characteristics. Key aspects are

appropriate scale and timing, planning through experience, flexible evolution within a

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learning framework. Despite external pressure to speed up, the nation leadership tend to

slow down the developing process in order to keep it at people’s pace. Knowledge and

resources are mainly externally drawn. Decision-making is being decentralised following

people’s growing capacities, leadership is shifting from positional to personal (elected

representatives), all participants are partners. In spite of upwards accountability and

centralised evaluation, the general effect is a gradual and noticeable people’s

empowerment.

The process presents both blueprint and learning aspects, generally balancing

within a neutral position.

At policy level, the main example of learning process is represented by the

reversal of the top-down decision-making system, because the leadership understood it

was compromising and eroding the communities’ structure and people’s knowledge in

terms of resources management (Thinley 1999, 21). Furthermore, the leadership does

not wish to rush the process of development by allowing more foreign investment than

Bhutan could digest. (Gupta 1999, 47). At implementation level, through monitoring

and lesson learned practices it was understood that modern legislation may indeed

weaken the informal arrangements built up over centuries by local communities, which

often embody a profound understanding of local ecosystems (RGoB 2000b, 67). Some

of the measures taken to protect and preserve the environment and biodiversity may

instead have contributed to its erosion. For example it was recognised that the

introduction of protected areas separates people from their environment (RGoB 2000b,

62), in addition, a reforestation method based on few specific species, and the

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introduction of better yielding crop varieties, were acknowledged to reduce biodiversity

despite other positive aspects (RGoB 2000b, 63).

Organisation

The term organisation refers here to Bhutan’s administration system, which is

based on a very clear, although broad, and shared mission as defined by the vision

statement, which in turn originates from a wide consultation and participatory exercise

(RGoB 2000a and 2000b).

All aspects of such organisation, apart from a very hierarchical structure typical

of government departments, and a centralised monitoring and evaluation mechanism,

denote a balance between neutral and learning characteristics, the latter being

emphasised by the level of participation, strategic and long term view, and learning

culture.

In addition to the mentioned process of defining the nation’s vision, the

National Assembly is formally transferring to the periphery greater administrative and

financial powers, through an extensive participatory and consultative process involving

all 20 districts and 201 blocks development committees (ADB 2003b, 1). Furthermore,

the national constitution draft, commanded by the King in 2001 (RGoB 2001, 6), is also

going to be discussed at all levels down to the blocks for its final revision (ADB 2003b,

1).

The general trend is also towards an increasing of the learning components. It is

being favoured by government’s initiative such as effective performance evaluation

system, rewards, improved organisational culture, training, better post retirement

schemes, etc. that are included within the actual five year national plan, and are expected

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to generate a renewed sense of responsibility, job enrichment and satisfaction (RGoB

2001, 22). On the contrary, the extensive decentralisation process will further decrease

bureaucratic aspects, even though it flows from the centre to the periphery and was not

forced on the centre by the periphery, as happened in other societies (Mancall 2004a,

34).

Discussion

Out of the three levels of analysis, emerges a country whose professionals,

processes and organisation denote very contrasting characteristic not underlined by the

general aggregate balance within the advocated shifts in development paradigm, from

normal-blueprint-bureaucracy towards new professionalism and learning processes. At

the same time, it is a country deriving values, vision and way forwards from tradition.

Thus, comparing such a situation with the continuous rise and fall of development

theories (Leys 1996) and paradigm shifts in western environments, one reflection may

arise. Is the continuous run from one theory, methodology, framework, format, etc. to

the next one, sometimes even re-inventing the wheel, really the way to overcome

unsatisfactory development achievements? Why does a process like Bhutan’s, based on

tradition, values and people which are all not new concepts, seem to be achieving so

much, thus attracting so much interest and generating so much debate? During a

training session, a facilitator explained the difference between methods and values with

the example of a machete (Southern context) or a gun (Northern context). One can be

used for harvesting staple food or killing people, the other may be used to commit a

crime or to arrest that same criminal, it depends upon the hands holding them. The

audience concluded that focus should be on the hands rather than the tools. According

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to the facilitator that was still concentrating on means, the values representing both

origins and ends, reside with the minds in control (or not in control) of those hands,

and that is were a development worker should start from.

As mentioned, the capacity building process for Bhutanese officers have just

started, such exercise is a long process and experience shows that continuous support is

basilar, the institution of facilitators within the local administration, may be at district

level, seems therefore to be a necessary step. In Bhutan’s case it could be a new role of

“GNH facilitator”, with the function of enabling administrators, representatives and

people to assimilate and internalise both GNH and participation concepts and master

participatory methodologies. After all, GNH and participation concepts have many

similar and complementing aspects, while differing features are never contrasting. An

additional but fundamental role of the GNH facilitator would be to insure that the

whole process goes slow enough to remain at people pace.

Another possible future step in Bhutan development process could be the

inclusion of a GNH component in each project, programme or action, particularly when

promoted by an external international organisation not having the socio-cultural

Bhutanese background, so that each development project would become a GNH

project. In such a context there could also be a formidable challenge for Bhutanese

researchers, a challenge that a conventional perspective would term as impossible, that

of defining a new methodology for assessing achievements, alternative to conventional

monitoring and evaluation methods, not based on any measurement mechanism or

indicator but purely qualitative.

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6 Conclusions

This dissertation has described, discussed and analysed Bhutan’s development

approach and the concept of Gross National Happiness. The whole process originates

from Bhutan’s history, culture and tradition, whose background is fundamental in order

to understand and internalise it. At the same time, it represents the way forwards.

The GNH concept is still being discussed and further defined, thus not being

fully operationalised yet. Nevertheless, it represent Bhutan’s socio-cultural challenge,

within an impressive participatory and empowering exercise based on the four pillars:

economic growth, cultural heritage, environmental sustainability and good governance.

As described, the process turns upside down many aspects of conventional

development theories. Not surprisingly and because of the uniqueness of Bhutan’s

environment, it also presents peculiar characteristics in term of social aspects and quality

and level of participation.

On such basis, some further considerations may be appropriate.

Opposite to an “unthinking” development sector (Kaplan 1999), Bhutan’s

approach is characterised by a thinking environment. It is through a thinking process

that Bhutanese create awareness leading to a sort of learning network, in turn resulting

in a clear and shared vision based on people and their values. GNH does not introduce

any new methodology or framework, it provides a clear direction where means are

means and the ultimate end is commonly understood.

According to the “chief” of an extended nomadic group moving across East

African countries, though without having a clue of what a passport is: “the amount of

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knowledge you, white men have is amazing, and that means incommensurable power,

but you do not have a clear direction, you keep turning around idly. Here, in our

environment, if we loose our direction we may survive one week” (personal comments).

Interestingly enough, by concentrating on main directions, values and concepts,

the Bhutanese may seem to be neglecting speed and quantitative aspects, but

surprisingly Bhutan is one of the fastest developing countries amongst the low income

ones (ADB 2003b). Furthermore, the Bhutanese do not base sustainability on future

generations’ rights alone, sustainable development is basic for the present generation as

well, for every being every day (Thinley 1999b, 19), and surprisingly again the country is

one of the few regions where humans live at or near a sustainable level (Dixon 2004,

113).

Elaborating Milarepa’s statement inserted at the beginning of this paper, wisdom

may be in limited supply, but people and values do not need a market to be found, they

are widely and freely available within every single community on the planet even though

they may differ, thus resulting in the GNH concept, based on values and people, being

possibly adaptable to all different environments. While Bhutan’s planners are rightly

developing the concept for their own country and society, GNH has a validity beyond

Bhutan because it raises questions that have not been central to political and social

discourse, the concept has therefore applicability in the broader worldwide reflection of

both developing and developed societies (Mancall 2004, 25 and 37). Nevertheless, it has

to be acknowledged that a rich resources endowment combined, unlike many other

developing countries, with a low population density, are a powerful cause of Bhutan’s

performance (Karma Ura 2004; Priesner 1999, 26).

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As a conclusion, GNH may be working, it may even be transferable. Or, on the

contrary, it may be an utopia that might be realized only when the whole humanity

reaches the necessary spiritual and material degree of development, a real utopia even in

Buddhist terms (Stehlik 1999, 58). Nevertheless, it is worthwhile to invest in it,

researching, debating and monitoring the process, and possibly contributing to it. In the

meantime, “we shall wait and be maybe a bit more happy, very individually and all

without measuring it” (Ibid.), still well aware of the opinion of a very poor person

struggling to survive: “values are wonderful, but cannot be eaten” (personal comment).

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56. Layard R. (2003b), Income and happiness: rethinking economic policy, Proceedings of the conference Happiness: has social science a clue? Held on 3rd – 5th March 2003 at the London School of Economics, London

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59. Levenson M.R. et al. (2004), Happiness in the Midst of Change: A Human Development Approach to Studying GNH in the Context of Economic Development, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

60. Leys C. (1996), The rise and fall of development theories, London: EAEP

61. Lokamitra D. (2004), The Centrality of Buddhism and Education in Developing Gross National Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

62. Mancall M. (2004a), Gross National Happiness and Development, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

63. Mancall M. (2004b), Bhutan’s Quadrilemma: To Join or Not To Join the WTO, That is the Question, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

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64. Marks N. (2004), Towards Evidence Based Public Policy: The Power and Potential of using Well-being Indicators in a Political Context, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

65. Mathou T. (2000), Bhutan: Socio-cultural Parameters and Changing Times, The 16th European Conference on Modern South Asian Studies, Edinburgh 6-9 September 2000

66. McDonald R. (2004), Finding Happiness in Wisdom and Compassion – The Real Challenge for an Alternative Development Strategy, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

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68. Norberg-Hodge E. and Gorelick S. (2004), Towards an Economics of Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

69. Oakley P. (1991), Projects with People: The practice of participation in rural development, International Labour Office

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71. Powdyel T.S. (1999), Gross National Happiness: a Tribute, proceedings of the workshop organised by the Planning Commission of Bhutan in March 1999, Thimphu: The Centre for Bhutan Studies

72. Powdyel T.S. (2004), Foundations and Scope of Gross National Happiness: Some Personal Reflections, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

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86. Rutland M. (2002), Bhutan from medieval to the millennium, Journal of The Royal Society for Asian Affairs

87. Sable T. (2004), Closing the Loop, Building the Fire: Community Capacity Building with the Innu Nation in Labrador, Canada, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

88. Samdup P.E. (2004), Cultural Promotion and Happiness: An Objective Analysis, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

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the Planning Commission of Bhutan in March 1999, Thimphu: The Centre for Bhutan Studies

91. Simoni A. (2003), “Gross National Happiness” and the courts: the changing face of justice in the Kingdom of Bhutan, unpublished until February 2004

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98. Thinley J.Y. (1999a), Gross National Happiness and Human Development – Searching for Common Ground, proceedings of the workshop organised by the Planning Commission of Bhutan in March 1999, Thimphu: The Centre for Bhutan Studies

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102. Ueda A. (2004), Operationalising Gross National Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

103. UNDP (2001) Human Development Report 2001, New York: Oxford University Press

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109. Upreti B.C. (2004), Bhutan’s Strategy for Development and Self-Reliance: The Objectives and Operationalisation of Gross National Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

110. van Willenswaard H. (2004), Will 'Middle Way Economics' Emerge from the Gross National Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

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114. Whitehouse C. and Winderl T. (2004), National Happiness: Universalism, Cultural Relativism, or both? An Assessment, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

115. Worcester T. (2004), Operationalising Gross National Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

116. Zangmo T. (2004), Literacy For All: One of the Means to Achieve Gross National Happiness (GNH)?, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National Happiness', February 18-20, 2004, Thimpu: the Centre for Bhutan Studies

117. Zucconi G. (2004) Il segreto della felicità, L’Espresso, accessed on 2/06/04 at [http://www.espressonline.it/eol/free/jsp/detail.jsp?idCategory=4821&idContent=393020&m2s=c]

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Appendices

A. Typology of participation (Pretty et al 1995)

B. Aggregate forms on professionalism, processes and organisations

C. Millennium Development Goals indicators (RGoB)

D. Royal Government of Bhutan statistics (RGoB)

E. Economic Social and Environment Statistics (ADB)

F. Poverty Monitoring Indicators and Targets (ADB)

G. Human Development Indicators (UNDP)

H. Apparent quality-of-life in 67 nations in the 1990s (World Database of Happiness WDH 2003)

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Appendix

A. Typology of participation

Source:

Adapted from Pretty el al (1995)

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60

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Appendix

B. Aggregate forms on professionalism, processes and organisations

Source:

Adapted from:

Table 1 – Chambers (1986)

Table 2 - Korten (1981), Chambers (1986) and Oakley (1991)

Table 3 - Korten and Uphoff (1981)

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62

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63

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64

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Appendix

C. Millennium Development Goals indicators

RGoB (2002b), Millennium Development Goals, Progress report 2002 – Bhutan,

l Government of B

Source:

Thimphu: The Roya hutan

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KEY DEVELOPMENT INDICATORS

Indicator Value Year Population 678,000 2000 Population growth rate (%) 2.5 2000 Life Expectancy at birth (yrs) 66.1 2000 GDP per capita PPP 1,534 1998 Human Development Index (value) 0.551 1998 Infant Mortality Rate (pe 0 live s) r 100 birth 60.5 2000 U5 Mortality Rate (per 1000 live births) 84 2000 Underweight U5 children (%) 19 2000 Stunted U5 children (%) 40 2000 Maternal Mortality Rate (per 1000 live births) 2.55 2000 Access to safe drinking water (%) 77.8 2000 Sanitation coverage (%) 88 2000 Adult Literacy Rate (%) 54 2000 Gross Primary Enrollment (%) 72 2000 Total land area under forest cover (%) 73 2000

Fig 1.0 S o s : Statistical Yearbook of Bhutan 2001, Bhutan National Human Develou r c e pment Report 2000 and National Health Su y 2 0 0 0 . rve

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M -TARGET 1 Halve n 1990 and 2015, the proportion of people whose income is less than

$1 a day

ors 0 W

pulation living rty line *

Insuff

D Goal 1 Eradicate extreme poverty and hunger , betwee

Indicat 199 2000 2015 ill Goal be met by 2015 ?

Percentage of Pobelow lower pove - 25% icient Data

Average GDP per capita income 620 1534

in US$ PPP (1991) 8) (199

0.427 0.550 HDI**

(1991) 8) (199Fig 1.1

*Estimate used from pilot HIES 2000,C**Bhutan National HDR 2000

SO

TARGET 2 Halve, between 1990 and 2015, the proportion of people

who suffer from hunger / malnut

rition

dPerminimum level of dietarconsumption5

n.a

In icators 1990 2000 2015 Will Goal be met by 2015 ? centage of population below

y energy n.a n.a

Percentage of under-weight 38% 19% 19% Achieved children (1989)

Prevalance of height/age % 28% Pot56 40% entially for under-5 children (1989)

F i g 1 . 3

MD Goal 2 - Achieve Univers rima ducation al P ry E

TARGET 3 Ensure that, by 2015, children everywhere, boys and girls alike, will be able to complete a full course of primary schooling

Indic 5 Will Goal be met by 2015 ?

Gross Pr

ators 1990 2000 201

imary Enrolment rate 55% 72% 100% Probably

Proportion of pupils starting reach grade 5

73% 1)

86% 100% Probably grade 1 who (199 (1998)

Proportion of pupils starting 6grade 1 who reach grade 7

6 100% Po35% 9.3% tentially

Fig 1 .6

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MD Goal 3 - Promote gender equality and empower women TARGET 4 Eliminate gender disparity in primary and secondary education

preferably by 2005 and to all levels of education no later than 2015.

1 2

6 10

Indicators 990 2000 015 Will Goal be met by 2015 ?

9 82 0 Probably Girls in primary schools (for every 100 boys) (1991)

Girls in secondary schools 43

(for every 100 boys) (1991) 78 100 Potentially

Girls in tertiary schools 12

(for every 10 (1991 41 100 Unlikely 0 boys) )

F i g 1 . 1 0

duc ild m lity

MD Goal 4 - Re e ch orta

TARGET 5 Reduce by two-thirds, between 1990 and 2015, the under-five mortality rate

Indicat ?

Under-five mortality rate (per 1000 live births) 3 84

ors 1990 2000 2015 Will Goal be met by 2015

12 7 41 Potentially

Infant mortality rate 90 60.5 30 Potentially (per 1000 live births)

Proportion of one-year-old children 84% 85% 95% Potentially covered under immunization

programme Fig 1 .13

D Goal 5 - Improve materna ealth M

l hTARGET 6 Reduce by three-quarters, between 1990 and 2015, the maternal

mortality ratio

Indicator 1990 2000 2015 Will Goal be met by 2015 ?

Maternal mortality ratio per 100,000 live births 560 255 ably 140 Prob

Fig 1 .17

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MD Goal 6 - Combat HIV/AIDS, malaria and other diseases

TARGET 7 Have halted by 2015, and begun to reverse, the spread of

HIV/AIDS Indicator 1990 2002 2015 Will Goal be met by 2015 ?

HIV cases detected

0

38

- Insufficient Data

Fig 1.20

TARGET 8 Have halted by 2015 and begun to reverse the incidence of malaria

and other major diseases

Indicators 1990 2000 2015 Will Goal be met by

Number of reported malaria cases 9,497 5,935 -

2015 ?

Probably

Number of reported tuberculosis cases

4,232 1,140 - Probably

F i g 1 . 2 2

MD Goal 7 - Ensure environmental sustainability

TARG untry ET 9 Integrate the principles of sustainable development into co

policies and programmes and reverse the loss of environmental resources

Indicators et by 2015 ?

Proportion of land area covered by forest 73% 73% - Probably

1990 2002 2015 Will Goal be m

Proportion of land protected through soil, moisture, wforest conservation tbiological diversity

ater and o protect

23% 26%* - Probably

F i g 1 . 2 6 o

TARGET 10 Halve, by 2015, the proportion of people without sustainable

access to safe drinking water

Indicator 1990 2000 2015 Will Goal be met by 2015 ? Percentage of population without access to safe drinking water 55% 22% 27% Achieved source9

Fig 1 .28

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Appendix

D. Royal Government of Bhutan Statistics

Sources:

oals, Objectives, Strategies ilestones,

ommission, The Royal Gove f Bhuta

And

ational Human Developmen rt 2000

RGoB (2000b), Bhutan 2020: A Vision for Peace, Prosperity and Happiness

Part II The Path Forward: G and M

Thimphu: Planning C rnment o n

RGoB (2000c), Bhutan N t Repo ,

Thimphu: Planning Commission, The Royal Government of Bhutan

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Table 1: Selected Development Indicators, 1977 and Most recent estimates(MRE)

1977 MRE(1999) Crude birth rate( per thousand) 43.6 39.9

Crude death rate (per thousand) 20.5 9.0

Life expectancy (years) 46.1 66.1

Immuniza er n.a. 9tion cov age (%) 0

Infant mo te ( e .7 rtality ra per 1,000 liv births) n.a. 70

Maternal m ty ra 00 s) 8 ortali te (per 100,0 live birth n.a. 3.

Under five mor y ra 00 live births) 162 96.9 talit te (per 1,0

Number of als 10 28 hospit

Number of d saries ispen 38

Number of Basic Health Units 31 145

Number of doctors 52 101

Number of primary schools 92 250

Number of junior high schools 14 44

Number of high schools 6 18

Number of tertiary and training institutions n.a. 10

Primary school en ment rate (%) n.a. 72 roll

Number e n sch ,553 1 ,198 of stud nts i ool 14 ,00

Students ia ca 866 04 in tert ry edu tion 20

Number he 922 85of teac rs 27

Adult lite t lot) (% 17. 6 racy ra e (pi ) 5 4

Population served with ele ity n.a. ctric 31,639

Population l) ccess table water 3 8 (rura with a to po (%) 1 5

Population l) w ccess to safe sa n n 0 (rura ith a nitatio (%) .a. 8

Number o ho chang 1 6 f telep ne ex es 5 2

Number o ho es 4 f telep ne lin 931

GDP per capita (US$) 100 551

Human Development Index n.a. 0.510

Source: Royal Government of Bhutan

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Table 1: Bhutan's Human Development Index 1998

Adult Combined 1st, 2nd & 3rd

level gross enrolment ratio( % )

Real GDP per capita

(PPP$)

Life expectancy

index

Education ind

GDP index

Human Develop-

ment x

(HDI)

Life expectancy literacy

at birth (years)

rate (%)

ex inde

1 9 9 8 1 9 9 8 1 9 9 8 1 9 9 8 66 54 44 1534 0.683 0.600 0.460 0 0.55

Table 2: Trends in Bhutan’s Human Deve ent Index 1984 – 19

Com

bine

d 1

2nd

3rd R

eal G

DP

per

capi

ta

Life

exp

ecta

ncy

inde

x

Edu

catio

n in

dex

GD

P in

dex

Sum

of t

he in

dice

s

Hum

an

Dev

elop

men

t In

dex

(HD

I)

lopm 98

Life

exp

ecta

ncy

at

birt

h (y

ears

)

Adu

lt lit

erac

y ra

te

(%)

st

leve

l gro

ss

enro

lmen

t rat

io

1984 47.4 23.0 24.5 901 0.235 0.367 0.975 3250.373 0.1991 56.0 35.2 33.2 1,235 0.345 0.420 1.282 4270.517 0.1994 66.0 47.5 39.0 1,338 0.447 0.433 1.563 5210.683 0.1998 66.0 54.0 44.0 1,534 0.600 0.460 0.5500.683 1.743

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Tabel 3: Composition of GDP

(% of real GDP)

1980 1990 1998

Agriculture, livestock, forestry & fishing 55.7 42.7 36.7

Mining and quarrying 0.6 0.9 2.4

Manufacturing 3.2 8.1 11.1

Electricity, water and gas 0.2 7.8 11.0

Construction 7.9 8.1 10.6

Wholesale & retail trade, Restaurant & hotels 10.9 6.6 7.0

Transport, storage & communications 4.3 7.1 7.5

Financing, insurance & real estate

6.3 7.7 5.1

Communpersonal services (Govt ity, social & 10.8 11.0 8.6)

Values of the HDI indicators for 1997:

rnment Report of Bhutan

Global 1999 Human Royal GoveDevelopment

Life expectancy at birth (years) 60.7 66.1Adult literacy (%) 44.2 54.0Combined enrolment ratio 12.0 72.0Real GDP per capita (PPP$) 1,467 1,534 Human Development Index 0.459 0.550

The difference in life expectancy is due to the different sources being used for estimation. The RGoB estimate is based on the most recent demographic survey carried out in Bhutan, whereas the UN’s estimate is based on demographic projections. A big difference also occurred in the combined enrolment rate. The UN figure of 12% is unrealistically low; this is due to the population total of 1.9 million used for the calculation.

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Appendix

E. Economic, Social and Environment Statistics

Sources:

nd Prog e Up 004-2 , (Aug , Man

an Development Bank (Tables A.1.2, A.1.3, A.1.4)

And

onomic iew: Bhut (Sept ber), M :

elopmen ank (T A.8)

ADB (2003b), Country Strategy a ramm date 2 006 ust) ila:

Asi

ADB (2003a), Country Ec Rev an, em anila

Asian Dev t B able

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Table A1.2: Country Economic Indicators

iscal YeaF r 1998 2000 a 2002bItem 1999 2001 . A Income and Growthc

1. GDP per Capita ($, current) 629.0 6 708. 0 83.0 0 777. 855.0 nt prices) 7.0 5.9 7.2 3. lture 4.0 3.8 2.8 10.0 7.8 12.6 5. 6.2 7.7 8.0 7.3 0

. nd Investment (current and market prices) (% of P

41.8 48 46.5 48.0 Domestic Saving 13.1 5.4 19.2 19.5

(annu ange)

9.0 9.2 3 3.6 2.7 41.7 21

D. nt Finance ( G

40.0 38 34.1 32.5 ng 41.7 3.4 39.6 al Surplus (Deficit) (1.8) (5.4) (4.8)

.

2. GDP Growth (%, in consta 6.4 7.7Agricu 5.0

6.62.5

14. Industry es

12.Servic 8.

B Saving a GD ) 1. Gross Domestic Investment 46.2

1.9

2. Gross 20.0

C. Money and Inflation c

al % ch1. Consumer Price Index .6

2. Total Liquidity (M2) 21.4 .4 5.5 17.6

Governme % of DP) 1. Revenue and Grants 39.6

4.5

2. Expenditure and Net Lendi 49.6 (11.1)

37.43. Overall Fisc (3.9)

E Balance of Payments 1. Merchandise Trade Balance (6.8) (15.3) (16.7) (21.2) (18.3)

2. Current Account Balance (% of GDP)

(% of GDP) (12.8) (25.9) 6 0.2 .1 (0.1)

3. Merchandise Export ($) Growth 12.0 9 (12.9) ) ge)

4. Merchandise Import

(5.9) .2 (1.0(annual % chan

($) Growth 3.7 19.3 14.0 6.1 ) change)

. dicators serves (including 217.0 259.0 293.

nt year’s imports of 84 78 7 73 80

vice (% of exports of 6.8 0.2 4 4.6 5.0

.9 52.1 58.4

(Nu/$, average) 38.4 42.6 43.6 48.4 48.2 656.0 675.0 690.0

(4.1(annual %

F External Payments In1. Gross Official Re 0 294.0 317.0

gold, $ million) (weeks of curre 8goods)

2. External Debt Ser 1 .8goods and services)

3. Total External Debt (% of GDP) 36.9 42.8 40 G. Memorandum Items

1. GDP (current prices, Nu billion)d 17,311 19,853 22,549 25,733 29,282 2. Exchange Rate3. Population ('000)e 618.0 637.0

GDP = gross domestic product. a Provisional. b E s t i m a t e o r b u d g e t e d . c Annual perc e ntage change (period average). d On a fiscal year (July-June) basis e Based on a 1996 estimate of 600,000, and a growth rate of 3.1%. The figures for the later years were

obtained from Bhutan's 2000 National Health Survey. Sources: Central Statistical Organization. 2001. National Accounts Statistics Repor t , and update received on 22 May 2003; Department of Budget and Accounts, Ministr y of Finance; Royal Monetar y Authority of Bhutan. 2002. Annual Repor t 2001/2002, Bhutan, and staff estimates.

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Table A1.3: Country Poverty and Social Indicators

Item 1985 1990 Latest

Year Population Indicators A.

. Total Po1 pulation (‘000) 547.0 (1993) 600.0 (1996) 690.0 (2002) 2. Annual Population Growth Rate (% change)a 2.0 (1985) 3.1 (1994) 2.5 (2000)

Social Indicators B. 1. Total Fertility Rate (births/woman) 5.9 (1984) 5.6 (1994) 4.7 (2000)

Maternal Mortality Rate (per 100,000 live births) 770.0 (1984) 380.0 (1994) 255.0 (2000) Infant Mortality Rate (below 1 y ) 60.5 (2000) 4. Life Expectancy at Birth (years

ear/1,000 live births) 142.0 (1984) 70.7 (1994) 47.5 (1984) — 66.1 (2000)

Female 49.1 (1985) — 66.2 (2000) 45.8 (1985) (2000) 5 23.0

Male — 66.0 . Adult Literacy (%) — 54.0 (2000)

Female — — — 6. P — — 72.0 (1998) F

rimary School Enrollment (%) emale — — 62.0 (1998)

7. Secondary School Gross Enrollment (%) — — — Fema — — 8.

le — Child Malnutrition (% below age 5) — 37.9 (1988) 18.7 (2000)

9. Population below Poverty Line (International, %) — — — 10. P — — 78.0 (2000) 11. P

opulation with Access to Safe Water (%)b

opulation with Access to Sanitation (%)c — — 8 00) 12. P 3.6 (1986) 3.1 (1990 00) 13. H

8.0 (20ublic Education Expenditure (% of GDP)d ) 6.4 (20uman Development Index 0.2 (1987) 0.2 (1990) 0.5 (2000)

119 (1987) 159 (1990) 140 (2000) 1

Rank 4. Gender-Related Development Index — — —

R — — PoveC. 1. Pove

ank — rty Indicatorsa

rty Incidence (Nu612.1 per m

Lowe onth)f — 25.3 (2000) U — 36.3 (2000) 2.

r Poverty Line — pper Poverty Line (Nu748.1 per month)g —

Percent of Poor to Total Population Lo

— — 29.0 (2000)

wer Poverty Line Urban 2.4 (2000) Rural

Upper Poverty Line Urban —

6.4 (2000)

Rural — — 4 00).

— — 0. 00) — — 0. 00)

.

1.3 (20 3 Poverty Gap

07 (20 Lower Poverty Line Upper Poverty Line 11 (20 4 Poverty Severity Index

— — 0. 00) — — 0. 00)

Lower Poverty Line 03 (20

5.

Upper Poverty Line Ine

05 (20quality (Theil L Index) — — —

6. Human Poverty Index — — —— — Rank —

"—" = not available, GDP = gross domestic product. a The figure for the latest year was obtained from Bhutan's 2000 National Health Survey. b with access to safe drinking water. c ines. d GDP based on data from the Central Statistical Organization; expenditure data are for the fiscal year P dfor the cae The information is a result of a pilot studyf The g those households whose total expenditure is just enough to reach the food pove useholds spend on nonfood goods is considered a minimum wance for basic non ding such amount to the food poverty line. Nu612.1 per month is eqg T lin can merely af e is obS 1999; Eight Five Year Plan, 1997–2002; United Nations Development Programme. 2000. Human Development Report; Economic and Social Commission for Asia and the Pacific. 1996. Statistical Yearbook for Asia and the Pacific; United Nations Educational, Scientific and Cultural Organization. 1998. World Education Report; World Resources. A Guide to the Global Environment 1998–99 and Past Issues; Central Statistical Organization (CSO). 2001. Official Communication; 1998. Key Indicators of Developing Asian and Pacific Countries; Central Statistical Organization, Planning Commission, Royal Government of Bhutan. 2001. Household Income and Expenditure Survey 2000 (Pilot). Thimphu; and staff estimates.

Refers to populationRefers to population with latr

and GD ata are lendar year.

and should be treated as preliminarylower poverty line is defined by considerin

.

rty line. Anything that these ho allofood goods. The lower poverty line is obtained by ad

uivalent to about $0.45 per day. he upper poverty line is defined by considering those households whose food expenditure is equal to the food povertye. The level of nonfood spending found among those who reach the food poverty line (rather than those who ford to do so if they cut all nonfood spending) provides the allowance for basic food needs. The upper poverty lintained by adding this allowance to the food poverty line. Nu748.1 per month is equivalent to about $0.56 per day.

ources: Statistical Yearbook of Bhutan.

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Table A1.4: Country Environment Indicators

Indicator 1980 Latest YearA. Energy Efficiency of Emissions

1. GDP/Unit of Energy Use (PPP$/kgoe) — —se 2. Traditional Fuel U (% of total energy use) — —

— 0.2 (1998)

B. Water Pollution: Water and Sanitation Urban Po

3. Carbon Dioxide Emissions apitaTons per c

1. % pulation with Access to Safe Water —

78 (2002)2. % Rural Population with Access to Safe Water — 58 (1998)3. % Urban Population with Access to Sanita — 82 998)

tation

tion (1

C. Land Use and Defores1. Forest Area (million hectares) 27.6

29.8 (2002)

2. Average Annual Deforestation Square kilometers (km2) —

han

% c ge 0.6 (1980–90) — l Po3. Rura pulation Density (people/km2 of cultivated land) — 150

4. Cultivated Land (% of total land) — 7.8 (2002)5. Permanent Cropland (% of total land) — 2.0 002)

D. Biodiversity and Protected Areas 1. Nationally Protected Areas

(2

Hectares (Million) — 1.2 001)

(2% of total land — 26.0 (2001)

2. Biological Corridors

Hectares (Million) — 0.4 (2000) nd % of total la — 9.0 (2000) 3. Mammals (number of threatened species) — 22.0 (2002) 4. Birds (number of threatened species) — 12.0 (2002) 5. Higher Plants (number of threatened species) — 7.0 (2002) 6. Reptiles (number of threatened species) — 0.0 (1996) 7. Amphibians (number of threatened species) — —

E. Urban Areas

1. Urban Population Thousands 50.0 138.0 (20

00) % of total population 4.0 21.0 (2000)

2. Per Capita Water Use (liters/day) — — 3. Wastewater Treated (%) — —

4. Solid Waste Generated Per Capita (kg/day) — 2.0 42000)“—“ = not available, GDP = gross domestic product, kg

Sources: Ministry of Finance. 2003. Official Communication; Government of Bhutan. Statistical Yearbook of Bhutan; World Bank. World Development Report, 1999–2000; World Resources: A Guide to the Environment, 1998–99.

= kilogram, kgoe = kilograms of oil equivalent, km2 = square kilometer, PPP = purchasing power parity.

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Table A.8: Public External Debt and Debt Service

Item FY1997 FY1998 FY1999 FY2000 FY2001 FY2002

(in $ million)

Total Public External Debt 118.8 135.1 161.2 173.8 236.9 291.8

Convertible Currency Debt 84.1 90.4 98.2 98.7 107.0 129.9Concessional Debt 80.7 89.3 98.2 98.7 107.0 129.9

Asian Development Bank 36.3 40.4 43.2 43.2 47.4 55.4World Bank, IDA 21.3 22.1 24.0 24.0 27.6 33.2IFAD 11.4 12.2 12.7Kuwait Fund 10.9 9.6 7.9 5.1Other 0.8 5.0 10.4 10.9 13.0 22.5Commercial Debt

Nonconvertible Currency Debta.9

ebt Service Pa

12.7 12.5 13.77.9 6.5

3.4 1.1 0.0 0.0 0.0 0

34.7 44.7 63.0 75.1 129.9 161

D yments 10.4 10.0 14.2 6.6 6.3 6.4Convertible Currency Debt 6.1 5.9 4.9 3.7 3.7 4.0

Principal 4.4 4.7 3.8 2.6 2.6 2.7Interest 1.2 1.1 1.0 1.0 1.3

Nonconvertible Currency Debtb 4.1 9.3 2.9 2.6 2.4Principal 0.4 2.5 7.9 2.0 1.9 1.8Interest 3.8 1.7 1.3 0.9 0.7 0.6

Total Publ

1.74.2

(in percent of GDP)

ic External Debt 33.5 34.5 39.7 38.2 48.7 54.7

Convertible Currency Debt .2 21.7 22.0 24.3Concessional 22.7 22.8 24.2 21.7 22.0 24.3Commercial 1.0 0.3 0.0 0.0 0.0 0.0

onconvertible Currency Debt 9.8 11.4 15.5 16.5 26.7 30.3

Memorandum Items: Debt Service Ratio

23.7 23.1 24

N

(% of merchandise 8.2 8.2 11.9 4.9 4.6 5.0Exchange Rate (Nu per $, end of period) 35.8 38.4 42.6 43.6 46.4 48.2

GDP = gross domestic product, IDA = International Development Association, IFAD = International Fund for Agricultural Development. a Converted to dollars using the end of period exchange rate. b Converted to dollars using the fiscal year average exchange rate. Note: Fiscal year variables are divided by the second year GDP in the period to calculate shares used by other IFIs such as International Monetary Fund. Thus, external debt-to-GDP ratios may vary from these using GPD data on calendar year basis. Source: Derived from Royal Monetary Authority. 2002. ry Authority. 2002. Annual Report . December; and staff estimates.

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Appendix

F. Poverty Monitoring Indicators and Targets

e:

ADB (2001), Poverty Reduction Partnership Agreement

yal Gover and the Asian De B

a lopment Bank

Sourc

between the Ro nment of Bhutan velopment ank,

M nila: Asian Deve

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Poverty Reduction Partnership Agreement

INDICATORS/ TARGETS—MONITORING AND EVALUATION FRAMEWORK Priority Area Indicators/ Targets Timeframe Monitoring

Source Income

• Personal income tax

• Average monthly rural incomes

• Undertake necessary actions and measures to introduce personal income tax in January 2002

• Nu3,000 per head from around Nu1,000 per head

Immediate

1999-2012

MOF, DRC

PCS, CSO

Private Sector Development • Financial Sector

• Legislative and regulatory envir

• Share of manufacturing in GDP • Share of tourism in GDP

• Maintain effective regulation of the financial system

• 25% from about 2%

Imme

1999-2012

I

CSO, MOTI

diate RMA, MOF

onment • Maintain an effective legislative and regulatory framework

• 30% from about 10%

Immediate

1999-2012

RMA, MOF, MOT

CSO, MOTI

Social Development • Population growth rate

• Primary school enrollment rate • Maternal Mortality Rate

• Rural coverage of safe sanitation • Provision of potable water • Adult literacy rate • Average life expectancy

• 2.1% from 2.5% 1.6% 1.3%

• 100% from 72% • Less than 2 per 1,000 live births from 2.5 per 1,000 live births

• 90% from 88% • 90% from 78%

2000-2002 2007 2012

2000-2007 2000-2007

1999-2007 1999-2007 1999-2012

MOHE, DOH

MOHE, DOE MOHE, DOH

MOHE, DOH MOHE, DOH MOHE, DOE

OH • 100% from 54% • 77 years from 66 years 1999-2012 MOHE, D

Physical Infrastructure • Post office for all villages and settlements

• Percentage of rural popula half-day’s walk from the nea t

• Rural population with electricity

02

1999-2012

1999-2012 2020

MOC, Bhutan Post

MOC, DOR, MOA

MOTI, DOP

• 100% from 65% 1999-20

tion within a • 75% from 50% res road

• 50% from 22% 75%

Governance • Decentralization and local ti

local levels through community consultations from currently 50%

2000-2007 MOHA, PCS par cipation • Preparation of five-year plans at all

Environment • Forest cover • Environment Assessment Act, 2000 and its regulations

• Vehicle emission standards

• Water and air quality standards

• No less than 60% • Enforce/ implement environment legislation and regulations

• Introduce and establish vehicle emission standards

• Introduce baseline water and air quality standards

Immediate Immediate

2002

2007

NEC NEC

NEC

NEC

Monitoring and Evaluation Arrangements • Indicators/ targets for priority areas • Household Living Standard Survey

• Assess progress and achievement • Undertake a comprehensive survey or another rapid assessment.

Annual 2004

ADB, DADM, PCS ADB, DADM, PCS

ADB-Asian Development Bank; CSO-Central Statistical Organization; DADM-Department of Aid and Debt Management; DBA-Department of Budget and Accounts; DOE-Department of Education; DOH-Department of Health; DOP-Department of Power; DRCDepartment of Revenue and Customs; DUDH-Department of Urban Development and Housing; MOA-Ministry of Agriculture; MOCMinistry of Communication; MOF-Ministry of Finance; MOHA-Ministry of Home Affairs; MOHE-Ministry of Health and Education; MOTI-Ministry of Trade and Industry; NEC-National Environment Commission; PCS-Planning Commission Secretariat; and RMARoyal Monetary Authority

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Ap

Human Development Indicators (UNDP 2003)

Source:

DP (2003) uman Developm eport 2003, New York: Oxford University Press

- Classification of countries in the human development aggregate

- Classification of countries in the income aggregate

- 1 Human Development Index

- 2 Human D pment Index T

- 8 Survival: ess and setback

- 16 Flows of aid, private capital and debt

pendix

G.

UN H ent R

evelo rends

progr s

82

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THE UNIVERSITY OF BIRMINGHAM

Classification of countries Countries in the human development aggregates

High human development (above)

S

HDI 0.800 and

ingapore

Medium human development (HDI 0.500–0.799)

Albania Macedonia, TFYR

Low human development (HDI below 0.500)

Angola

Australia Slovakia Algeria Malaysia Benin Austria Slovenia Antigua and Barbuda Ma so ldives Burkina FaBahamas Spain Armenia Mauritius Burundi Bahrain Sweden Azerbaijan Mo ldova, Rep. of CameroonBarbados S Bangladesh Mowitzerland ngolia Central African Republic Belarus T nd Tobago Bel Morinidad a ize rocco Chad Belgium U b Emirates nited Ara Bhutan My ep. of the anmar Congo, Dem. RBrunei Darussalam U Bol Nanited Kingdom ivia mibia C6te d’Ivoire Canada U Bos zegovina Nicnited States nia and Her aragua Djibouti Chile U Bot Oc erritories ruguay swana cupied Palestinian T Eritrea Costa Rica ( Brazil Oman 5 5 c o u n t rie s o r a r e a s ) Ethiopia Croatia Bul Panama garia Gambia Cuba Cam Papua New Guinea bodia Guinea Cyprus Cape Verde Parag issau uay Guinea-BCzech Republic China Peru Haiti Denmark Col Phiombia lippines Kenya Estonia Comoros Romania Madagascar Finland Congo Ru ration ssian Fede Malawi France Do Sainminica t Lucia Mali Germany Dominican Sain nd Republic t Vincent a MauritaniaGreece Ec the uador Grenadines MozambiqueHong Kong, China (SAR) Egypt Samoa ern) (West Nepal Hungary El Salvador Sao d Principe ger Tomé an NiIceland Eq Sauuatorial Guinea di Arabia Nigeria Ireland Fiji Sol lands tan omon Is PakisIsrael Gabon South a Afric Rwanda Italy Georgia Sri Lanka Senegal Japan Ghana Sudan Leone Sierra Korea, Rep. of Grenada Suriname Tanzania, U. Rep. of Kuwait Guatemala Swaziland Uganda Latvia Gu Syriyana an Arab Republic Yemen Lithuania Honduras Tajikistan Zambia Luxembourg Ind Thailand ia Zimbabwe Malta Indonesia Togo 3 4 c o u n t rie s o r a r e a s ) (

Mexico Iran, Islamic Rep. of Tunisia Netherlands Jamaica Turkey New Zealand Jord Tuan rkmenistan Norway Kazakhstan Ukraine Poland Kyrgyzstan Uzbekistan Portugal Lao m. Rep. People’s De Vanuatu Qatar Leb Venezuela anonSaint Kitts and Nevis Lesotho Viet Nam Seychelles Libyan Arab Jamahiriya (86 countries or areas)

a. Excludes the following UN member countries for which the HDI cannot be computed: Afghanistan, Andorra, Iraq, Kiribati, the Democratic Republic of Korea, Liberia, Liechtenstein, the Marshall Islands, the Federated States of Micronesia, Monaco, Nauru, Palau, San Marino, Serbia and Montenegro, Somalia, Timor-Leste, Tonga and Tuvalu.

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Coun the

High income (GNI per capita

of $9,206 in 2001)

le inI per capi $746–9,205

e (GNI per capita of $745 or les 2001)

tries in income aggregate

or more

Midd come (GN ta of in 2001)

Low incoms in

And Albania Macedonia, TFYR Afghanistan Niger orra Australia Algeria Mal aysia Angola Nigeria

Austria Antigua a rbuda Mand Ba ldives Armenia Pakistan

Bahamas Argentin Mala ta Azerbaijan Papu Guia New nea

Bahr rbados Mar Islands ladesh Rwaain Ba shall Bang nda Belg Belarus Mau s Sio T nd P e ium ritiu Benin omé a rincip

Bru Belize Mexnei Darussalam ico Bhutan Senegal

Can Bolivia Micr sia, Fed. na Fas Sierr e ada one Sts. Burki o a Leon

Cypr Bosnia a zegov Mor ndi Solo lands us nd Her ina occo Buru mon Is

Den Botswana Nam bodia Somalia mark ibia CamFinl Brazil Occ Palesti roon Sudaand upied nian Came n

Fran Bulgaria Oma al Afric publi Tajikce n Centr an Re c istan Ger Cape Ver Pala Tanz . Remany de u Chad ania, U p. of

Greece Chile Pan ros Timor-Leste ama Como

Hon China Para o Togo g Kong, China (SAR) guay Cong

Icel Colombia Peru o, De p. of th Ugaand Cong m. Re e nda Irela Costa Ri Phil es voir Ukrand ca ippin C6te d’I e ine

Isra Croatia Pola orial Guinea Uzb el nd Equat ekistan

Italy Cuba Ro a mania Eritre Viet Nam Japa Czech Re Ru ederati pia n public ssian F on Ethio Yemen

Kor Djibouti Sain s and N bia Zamea, Rep. of t Kitt evis Gam bia Kuw Dominic Sain a ia Zim ait a t Luci Georg babwe

Liec Dominic public Sain cent anhtenstein an Re t Vin d Ghana (66 c es or areas) ountriLux Ecuador the enadines ea embourg Gr GuinMonaco Egypt Samoa estern) a-Bis (W Guine sau

Net El Salvad Sau bia herlands or di Ara Haiti New Estonia Serb Zealand ia and Montenegro India

Norway Fiji Seyc s esia helle Indon

Port bon Slova a ugal Ga kia KenyQat Grenada Sout rica , Dem of ar h Af Korea . Rep.

San Guatema Sri L zstan Marino la anka Kyrgy

Sing Guyana Suri eople’s Dem. Rep. apore name Lao P

Slov a Swa d ho enia Hondur s zilan LesotSpai ry Syria rab Repu a n Hunga n A blic LiberiSwe Iran, Isla of Tha gasca den mic Rep. iland Mada r

Swit raq Ton i zerland I ga MalawUnited Arab Emirates Jamaica Trin and Tob idad ago Mali

United Kingdom Jordan Tun ania isia Maurit

Unit Kazakhst Turk ova, Rep. ed States an ey Mold of

(39 countr Kiribati Turk an ia ies or areas) menist Mongol

Latvia Uruguay Mozambique Lebanon Va mar nuatu Myan

Libyan A mahiri Venezuela l Neparab Ja ya Lithuania (86 countries or areas) Nicaragua

a. World Bank classification (effective as of 1 July 2002) based on gross national income (GNI) per capita. Excludes Nauru and Tuvalu because of lack of data.

84

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1

index

Human development

HDI rank a

Life expectancy

at bi(years)

2001

Adult literacy rate (% age 15 and above)

2001

Combined primary,

secondary andry gross

enrolment ratio ( % )

2000-01 b

GDP ita

(PPP US$)

Life expec

index index index

Human development

in(HDI) va2

GDP per

capita (PPP US$)

rank minus HDI rankc

rth tertia per cap

2001

tancyEducation GDP dex

lue 001

101 Uzbekistan 99.2 d 76 h 0 0.91 3 0 21 69.3 2,46 0.74 0.5 .729

102 Kyrgyzstan 68.1 97.0 p, q 79 2,750 0.91 0.55 0.727 16 0.72 103 Cape Verde 69.7 74.9 80 e l 0.77 7 0.727 -18 5,570 0.75 0.6104 China 70.6 85.8 64 e, g 0 0.79 2 0.721 -2 4,02 0.76 0.6105 E l Salvador 70.4 79.2 64 0 0.74 0.66 0.719 -17 5,26 0.76

106 Iran, Islamic Rep. of 69.8 77.1 64 0 0.75 0.73 0.68 0.719 -29 6,00

107 Algeria 69.2 67.8 71 e l 0 0.69 0.704 -31 6,090 .74 0.69108 Moldova, Rep. of 99.0 61 0 0. 0.86 1 0.700 21 68.5 2,15 72 0.5109 Viet Nam 68.6 92.7 64 0.83 0.688 21 2,070 0.73 0.51 110 Syrian Arab Republic 71.5 75.3 59 g 0 0 0.70 0.685 -1 3,28 .77 0.58

111 SouthAfrica 50.9 85.6 78 0 l 0 0.83 9 0.684 -64 11,29 .43 0.7

112 Indonesia 66.2 87.3 64 e 0.80 6 0 2 2,940 0.69 0.5 .682 113 Tajikistan 68.3 99.3 d 71 1,170 0.72 0.90 0.41 0.677 41 114 Bolivia 63.3 86.0 84 e 0 0.85 2 0 12 2,30 0.64 0.5 .672 115 Honduras 68.8 75.6 62 e 30 0. 0.71 56 0 1 2,8 73 0. .667

116 Equatorial Guinea 84.2 58 g g, y 0 0.76 4 0.664 -78 49.0 15,073 .40 0.8

117 Mongolia 98.5 64 0 0. 0.87 8 0.661 25 63.3 1,74 64 0.4118 Gabon 56.6 71.0 p, q 83 e 90 0.5 0.75 0.68 0.653 -40 5,9 3 119 Guatemala 65.3 69.2 57 e 400 0. 0.65 63 0 -22 4, 67 0. .652 120 Egypt 68.3 56.1 76 e, h 520 0.7 0.63 59 0 -12 3, 2 0. .648

121 Nicaragua 69.1 66.8 65 e, g 50 g, l 0. 0.66 3 0.643 2 2,4 73 0.5

122 Sao Tomé and Principe 69.4 83.1 m 58 m g, r 0 0.75 3 0.639 28 1,317 .74 0.4123 Solomon Islands 68.7 76.6 m 50 m l 0.68 0.632 13 1,910 0.73 0.49124 Namibia 82.7 74 g l 0 0.80 0.627 -59 47.4 7,120 .37 0.71125 Botswana 44.7 78.1 80 20 0.33 0.79 0.73 0.614 -65 7,8

126 Morocco 49.8 51 g 0 0.50 0 -19 68.1 3,60 0.72 0.60 .606

127 India 63.3 58.0 56 e, g 840 0 0.57 0 -12 2, .64 0.56 .590 128 Vanuatu 68.3 34.0 m 54 g 90 l 0.7 0.41 58 0.568 -17 3,1 2 0.129 Ghana 57.7 72.7 46 l 0 0.64 2 0.567 -1 2,250 .54 0.5130 Cambodia 57.4 68.7 55 0 0. 0.64 0.556 9 1,86 54 0.49

131 Myanmar 57.0 85.0 47 g, u 0.72 9 0.549 28 1,027 0.53 0.3

132 Papua New Guinea 57.0 64.6 41 g l 0.57 4 0.548 -12 2,570 0.53 0.5133 Swaziland 38.2 80.3 77 g 30 0. 0.79 0.63 0.547 -34 4,3 22 134 Comoros 56.0 40 g l 0 0.51 9 0.528 4 60.2 1,870 .59 0.4135 Lao People’s Dem. Rep. 65.6 57 l 0.63 6 0.525 10 53.9 1,620 0.48 0.4

136 Bhutan 62.5 47.0 p, q 33 h 1,833 o 0.62 0.42 0.49 0.511 5 137 Lesotho 38.6 83.9 63 l 0.77 3 0.510 -13 2,420 0.23 0.5138 Sudan 55.4 58.8 34 g 0.51 0 0.503 -4 1,970 0.51 0.5139 Bangladesh 60.5 40.6 54 1,610 0.59 0.45 0.46 0.502 7 140 Congo 48.5 81.8 57 e 0.73 0.502 22 970 0.39 0.38

141 Togo 50.3 58.4 67 g 0 0.61 7 0 3 1,650 .42 0.4 .501

Low m n development hu a142 Cameroon 72.4 48 e, g 0 0 0.64 7 0 1 48.0 1,68 .38 0.4 .499 143 Nepal 59.1 42.9 64 0. 0.50 0.499 8 1,310 57 0.43 144 Pakistan 60.4 44.0 36 0 0.41 0.49 0.499 -7 1,89 0.59 145 Zimbabwe 35.4 89.3 59 e 0 0.79 2 0 -18 2,28 0.17 0.5 .496 146 Kenya 46.4 83.3 52 0.36 0.73 0.489 14 980 0.38

147 Uganda 44.7 68.0 71 l 0.69 5 0.489 1 1,490 0.33 0.4148 Yemen 59.4 47.7 52 g 0.49 4 0.470 21 790 0.57 0.3

149 Madagascar 67.3 41 g 0.58 5 0.468 17 53.0 830 0.47 0.3150 Haiti 49.1 50.8 52 h 1,860 l 0.40 0.51 0.49 0.467 -11 151 Gambia 53.7 37.8 47 e 2,050 l 0.48 0.41 0.50 0.463 -20

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2 Hu ma n d e v e l o p me n t index trends

HDI rank 1975 1980 1985 1990 1995 2001

101 tan 9 Uzbekis .. .. .. 0.728 0.712 0.72

102 .. 7 Kyrgyzstan .. .. .. .. 0.72

103 Cape Verde .. .. 0.593 0.632 0.683 0.727 104 China 0.521 0.554 0. . .6 1 591 0624 0 79 0.72105 0 . 6 9 El Salvador 0.595 0.595 .614 0653 0. 92 0.71

106 Iran, Islamic Rep. of 0.562 0.566 0.6 . .6 9 07 0646 0 90 0.71

107 Algeria 0.510 0.559 0.609 0.648 0.668 0.704 108 Moldova, Rep. of .. 0.718 0.739 0.756 0.704 0.700 109 Viet .. 0.5 . 6 8 Nam .. 82 0603 0. 46 0.68110 0.6 . .6 5 Syrian Arab Republic 0.536 0.578 12 0632 0 64 0.68

111 South Africa 0.660 0.676 0.7 . 7 4 02 0734 0. 41 0.68112 0.464 0.526 0.578 0.619 Indonesia 0.659 0.682

113 Tajikistan .. .. 0.736 0.736 0.665 0.677 114 Bolivia 0.511 0. 0.5 . .6 2 546 73 0598 0 31 0.67115 H 0.522 0.571 0.603 0.626 onduras 0.648 0.667

116 Equatorial Guinea .. .. .. .. 4 .. 0.66

117 Mongolia .. .. 0.647 0.655 0.634 0.661 118 Gabon .. .. .. .. .. 0.653 119 Guatemala 0.514 0.551 0.5 . 6 2 63 0587 0. 17 0.65120 0.433 0.480 0.5 . .6 8 Egypt 30 0572 0 05 0.64

121 .. .. .. .. 3 Nicaragua .. 0.64

122 ncipe .. .. .. .. .. 5ao Tomé and Pri 0.639 123 Solomon .. .. .. .. Islands .. 0.632 124 .. .. .. Namibia .. 0.677 0.627

125 Botswana 0.509 0.573 0.626 0.674 0.666 0.614

126 Morocco 0.427 0.472 0 5 6 .506 0.538 0. 67 0.60127 India 0.416 0.443 0.481 0.519 0.553 0.590 128 Vanuatu .. .. .. .. .. 0.568 129 0.4 .5 7 Ghana 0.444 0.474 87 0.515 0 37 0.56130 .. .. . 6 Cambodia .. 0512 0.543 0.55

131 .. . . 9 Myanmar .. . .. . 0.54

132 a 0.4 . 5 8 0.428 0.450 70 0487 0. 27 0.54Papua New Guine133 Swaz 0.510 0.541 0.567 0.611 0.606 iland 0.547 134 0.485 0.503 0.507 Comoros .. 0.515 0.528 135 m. Rep. .. 0.4 . 5 Lao People’s De .. 22 0449 0.485 0.52

136 Bhutan .. .. .. .. .. 0.511

137 Lesotho 0.477 0.517 0.5 . 5 0 42 0565 0. 58 0.51138 0.351 0.378 0.399 0.431 Sudan 0.465 0.503 139 0.336 0.352 0.384 0.414 0.443 Bangladesh 0.502 140 C 0.462 0.506 0.553 0.538 ongo 0.517 0.502

141 Togo 0.402 0 0. . 4 1 .450 449 0 480 0. 91 0.50

Low elopment human dev142 Cameroon 0.402 0.445 0.495 0.510 0.498 0.499 143 0.287 0.3 0.3 . 4 9 Nepal 26 68 0 413 0. 51 0.49

144 0 0. . 4 9 0.344 .370 403 0440 0. 72 0.49Pakistan 145 0.544 0 0. . 5 6 .570 626 0 614 0. 67 0.49Zimbabwe

146 0.5 . 5 9 0.440 0.487 10 0535 0. 19 0.48Kenya

147 Uganda .. .. 0.4 . 4 9 02 0403 0. 12 0.48

148 Yemen .. .. .. . 4 0 0392 0. 29 0.47149 0.397 0.4 0.4 . 4 8 Madagascar 31 24 0 431 0. 38 0.46

150 0.44 0.4 . 4 7 .. 6 61 0457 0. 56 0.46Haiti 151 0.291 .. 4 3 .. .. 0. 26 0.46Gambia

86

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THE UNIVERSITY OF BIRMINGHAM

Urban population

Pu

15 and above

otaopulation Population Tnder age aged 65

l fertility rate 5 Demographic

trends s)

(as % of total)a (per

Total population

(million

Annual populationgrowth rate

(as % of total)

(astotal)

% of woman)

HDI rank 01 971975 2001b 2 5b 1 5-2001

2001-15b 200 5b 2 20 1971975 1b 201 001b 2015b 01b 2015b 0-

75c2000-05b

101 Uzbekistan 14. 25 30.7 2.3 1.4 1 36.7 35.4 4.8 6.3 0 .3 39. 38.4 26.2 5.0 2.4

102 Kyrgyzstan 3. 5. 5. 1.6 1.2 34.4 33.3 6.1 4.7 63 0 9 37.9 36.0 26.4 5.9 2.

103 Cape Verde 0.3 0.4 0.6 1.8 1.9 63.3 40.9 4.5 7.0 21.4 73.5 32.6 3.5 3.3

104 China 927. 285. 402. 1.3 0.6 d 36.7 24.3 7.0 4.9 88 d 1, 2 d 1, 3 d d 17.4 49.5 19.4 9.4 1.

105 El Salvador 4.1 6.3 7.6 1.6 1.3 61.3 35.4 5.2 6.1 41.5 73.2 29.4 6.5 2.9

106 Iran, Islamic Rep. of 33.4 67.2 81.4 2.7 1.4 64.7 33.9 4.5 6.4 45.8 73.2 26.8 4.9 2.3

107 Algeria 16. 30.7 38.1 2.5 1.5 57.7 34.3 4.2 7.4 0 40.3 65.2 27.4 4.9 2.8108 Moldova, Rep. of 3. 4 0.4 -0.1 41.7 22.1 9.6 1 2.6 8 .3 4.2 35.8 45.2 16.5 0.9 1.4109 Viet Nam 48. 79 9 1.9 1.3 24.5 32.6 5.4 6.7 0 .2 4.7 18.8 31.6 25.3 5.5 2.3

110 Syrian Arab Republic 7.5 17.0 23.0 3.1 2.2 51.8 39.1 3.0 7.5 45.1 57.9 32.2 3.6 3.3

111 South Africa 25.8 44.4 44.3 2.1 (.) 57.6 33.6 3.8 5.4 48.0 67.2 29.2 6.0 2.6

112 Indonesia 134.4 214.4 250.4 1.8 1.1 42.0 30.4 5.0 5.2 19.4 55.0 25.3 6.4 2.4113 Tajikistan 3. 6 2.2 1.2 27.6 38.4 .1 7.3 35.5 29.6 5 28.5 4.7 6.8 4.6 3.1

114 Bolivia 4. 8 1 2.2 1.7 62 39.3 4.4 6.5 88 .5 0.8 41.3 .9 69.9 32.8 5.3 3.

115 Honduras 3.0 6.6 8.8 3.0 2.0 53.6 41.2 3.6 7.1 32.1 64.3 33.5 4.5 3.7

116 Equatorial Guinea 0.2 0.5 0.7 2.8 2.5 49.2 43.5 3.8 5.7 27.1 61.4 43.0 3.6 5.9

117 Mongolia 1.4 2.5 3.1 2.1 1.3 56.7 34.2 3.8 7.3 48.7 59.5 26.6 4.1 2.4118 Gabon 0. 1 1 2.9 1.8 0 82.1 41.3 4.5 5.3 6 .3 .6 40. 88.9 35.0 4.3 4.0

119 Guatemala 6. 11 16 2.6 2.3 7 40.0 43.3 3.6 6.5 0 .7 .2 36. 46.2 37.4 3.9 4.4

120 Egypt 39. 69 9 2.2 1.9 42.7 35.7 4.5 5.7 3 .1 0.0 43.5 45.8 31.7 5.4 3.3

121 Nicaragua 2.5 5.2 7.0 2.8 2.1 56.5 42.2 3.1 6.8 48.9 62.6 34.9 3.8 3.7

122 Sao Tomé and Principe 0.1 0.2 0.2 2.4 2.3 47.6 41.2 4.6 5.4 27.0 56.4 36.4 3.8 4.0123 0. 0 0 3.3 2.6 20.2 43.3 2.7 7.2 Solomon Islands 2 .5 .6 9.1 28.6 36.5 3.4 4.4

124 Namibia 0.9 1.9 2.2 2.8 0.9 31.4 43.2 3.7 6.6 20.6 39.4 37.5 4.6 4.6

125 Botswana 0.8 1.7 1.7 2.9 -0.2 49.4 6.0 40.0 2.6 6.7 12.8 5 37.4 4.5 3.7

126 Morocco 17.3 29.6 36.5 2.1 1.5 56.1 32.3 4.3 6.9 37.8 64.4 27.9 5.1 2.7

127 India 620.7 1,246.4 2.0 1.3 27.9 33.7 5.0 5.4 1,033.4 21.3 32.2 27.7 6.3 3.0128 Vanuatu 0. 0 2.7 2.2 22.1 41.6 3.5 6.1 1 .2 0.3 15.7 28.6 34.9 4.0 4.1129 Ghana 9. 20 2 2.7 2.0 36.4 40.6 3.3 6.9 9 .0 6.4 30.1 42.4 34.9 4.1 4.1

130 Cambodia 7. 13 1 2.5 2.2 17. .1 42.5 2.9 5.5 81 .5 8.4 10.3 4 26 37.4 3.6 4.

131 Myanmar 30.2 48.2 55.8 1.8 1.0 28.2 32.23.9 36.7 7 26.8 4.6 5.9 5.8 2.9

132 Papua New Guinea 2. 5 2.5 1.9 17. .3 41.4 2.4 6.1 9 .5 7.2 11.9 6 22 34.0 2.8 4.1133 Swaziland 0.5 1.1 1.1 2.8 0.1 26.7 44.0 3.2 6.9 514.0 32.7 39.7 4.6 4.

134 Comoros 0. 0 3.2 2.6 33. .6 42.7 2.3 7.1 3 .7 1.0 21.2 8 42 38.5 3.0 4.9

135 Lao People’s Dem. Rep. 3. 5. 7 2.2 2.1 19.7 7.1 42.4 3.5 6.2 8 0 4 .3 11.1 2 36.8 3.7 4.

136 Bhutan 1.2 2.1 3.0 2.3 2.6 3.5 7.4 11.6 42.3 37.8 4.3 4.5 5.9 5.0

137 Lesotho 1. 1 1.8 -0.3 28.7 40.2 4.6 5.7 1 .8 1.7 10.8 38.9 38.2 5.4 3.8

138 Sudan 16. 32 4 2.5 1.8 37. .7 39.9 3.5 4 6.7 7 .2 1.4 18.9 0 48 34.8 .4 4.4139 Bangladesh 75. 140. 181.4 2.4 1.8 25. .4 38.8 3.2 6.2 2 9 9.9 5 34 31.9 3.8 3.5

140 Congo 1.5 3.5 5.2 3.2 2.8 66.0 46.35.0 72.6 6 46.2 3.0 6.3 2.8 6.3

141 Togo 2.3 4.7 6.4 2.8 2.2 33. .7 44.1 3.2 7.1 3 16.3 9 42 40.3 3.5 5.

Low human development

142 Cameroon 7.6 15.4 18.9 2.7 1.4 49.6 42.26.9 58.9 7 37.8 3.6 4.1 6.3 4.6143 Nepal 13.4 24.1 32.0 2.3 2.0 12.2 7.9 40.5 3.7 5.8 5.0 1 35.6 4.2 4.3144 Pakistan 70.3 146.3 204.5 2.8 2.4 33.4 41.26.4 39.5 8 38.1 3.7 4.0 6.3 5.1

145 Zimbabwe 6. 12 13.0 2.8 0.2 36. .9 43.5 3.4 7.6 1 .8 19.6 0 45 39.6 4.2 3.9

146 Kenya 13. 31.1 3 3.2 1.2 34. .2 42.6 6.9 12.9 3 47 7 36.5 2.9 3.4 8.1 4.0

147 Uganda 10. 24 3 3.1 3.5 14. .7 50.0 2.6 7.1 8 .2 9.3 8.3 5 20 49.7 2.3 7.1

148 Yemen 6. 18 3 3.8 3.6 25. .2 48.9 2.3 8.4 9 .7 0.7 16.6 0 31 47.2 2.2 7.0

149 Madagascar 7. 16 2 2.8 2.7 30. .4 44.9 .4 4.0 16.3 1 39 7 41.7 3.0 6.6 3.1 5.7

150 Haiti 4.9 8 1.9 1.3 36. .6 39..1 9.7 21.7 3 45 8 35.1 3.9 5.8 4.5 4.0

151 Gambia 0. 1 1. 3.4 2.3 31. .5 41.1 3.5 6.5 6 .4 9 17.0 2 40 36.6 4.4 4.7

87

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THE UNIVERSITY OF BIRMINGHAM

8 Survival: progress and

setbacks

Probability at birth of surviving to age 65 a

Life expectancy at birth

(years)

Infant mortality rate

(per 1,000 live births)

Under-five mortality rate

(per 1,000 live births)Female

(% of cohort) Male

(% of cohort)

Maternal mortality

ratio reported

(per 100,000 live births)

HDI rank 1970-75 b 2000-05b 1970 2001 1970 2001 2000-05 b 2000-05 b 1985-2001c

101 Uzbekistan 64.2 69.7 .. 52 .. 68 76.9 65.7 21

1 63.1 68.6 111 5 146 61.5 65 02 K yzstan yrg 2 61 77.2

103 Cape Verde 57.5 70.2 .. 29 .. 38 79.5 68.1 35

104 C 31 120 39 81.3hina 63.2 71.0 85 72.7 55

105 El Salvador 70.7 111 33 162 39 77.6 67.3 120 58.2

106 Iran, Islamic Rep. of 55.3 70.3 122 35 191 42 79.5 71.8 37

107 Algeria 54.5 6 143 39 234 49 76.9 72.8 140 9.7

10 . of 64.8 6 60.2 8 Moldova, Rep 8.9 46 27 61 32 76.4 28

10 50.3 6 68.8 9 Viet Nam 9.2 112 30 157 38 77.2 95

11 Arab Republic 57.0 71 80.0 74.7 0 f0 Syrian .9 90 23 129 28 11

11 rica 53.7 47 37.4 24.9 1 South Af .7 80 56 115 71 ..

112 Indonesia 49.2 66 1 64.2 .8 04 33 172 45 72.5 380

11 istan 63.4 68.8 7 75.4 663 Tajik 78 53 e 111 2 e .2 65

11 46.7 6 60.0 4 Bolivia 3.9 144 60 243 77 68.0 390

11 ras 53.8 68 65.4 5 Hondu .9 116 31 170 38 73.4 110

11 l Guinea 40.5 49 4.2 39.2 6 Equatoria .1 165 101 281 153 4 ..

11 53.8 63 67.4 57.6 7 Mongolia .9 .. 61 .. 76 150

11 48 5 48.6 520 8 Gabon .7 6.6 .. 60 .. 90 52.0

11 a 53.7 65 115 43 168 58 59.0 9 Guatemal .8 70.5 190

12 52.1 6 35 67.9 0 Egypt 8.8 157 235 41 78.0 80

12 55.1 6 66.5 1 Nicaragua 9.5 113 36 165 43 75.2 150

122 Sao Tomé and Principe 56 6 68.9 .5 9.9 .. 57 .. 74 79.1 ..

12 n Islands 55.6 6 70.2 3 Solomo 9.2 71 20 99 24 76.0 553 f

12 ia 49.9 44 104 55 155 67 24.7 4 Namib .3 30.8 270

12 56.1 39.7 1.7 17.3 5 Botswana 99 80 142 110 2 330

12 co 52.9 68 119 39 184 44 69.4 6 Moroc .7 77.1 230

12 50.3 6 127 67 202 93 61.9 7 India 3.9 67.5 540

128 Vanuatu 54.0 68.8 107 34 160 42 73.1 66.3 ..

129 Ghana 49.9 57.9 112 57 190 100 55.8 50.1 210 f

13 40.3 57 470 Cambodia .4 .. 97 .. 138 56.9 .6 440

13 r 49.3 5 122 77 179 47.7 1 Myanma 7.3 109 58.9 230

13 w Guinea 44.7 57.6 1 45.0 2 Papua Ne 06 70 147 94 51.5 370 f

13 and 47.3 34.4 132 106 196 149 15.2 11.0 3 Swazil 230

134 C os 48.9 60.8 159 59 215 79 61.8 55.3 omor ..

13 ople’s Dem. Rep. 40.4 54.5 100 52.9 47.8 5 Lao Pe 145 87 218 650

136 Bhutan 43.2 63.2 156 74 267 95 66.1 61.1 380

13 otho 49.5 3 125 91 190 8 .. 7 Les 5.1 132 19.2 .5

13 43.6 5 48.3 8 Sudan 5.6 104 65 172 107 54.6 550

139 Bangladesh 45.2 61.4 61.1 57.9 145 51 239 77 400

14 55.0 48 100 81 160 31.1 0 Congo .2 108 37.5 ..

141 T 45.5 49.7 42.6 36.9 ogo 128 79 216 141 480

Low velopment human de

14 45.7 46.2 127 96 215 36.8 31. 02 Cameroon 155 7 43

143 N 43.3 59.9 165 66 250 91 57.6 56.4 40epal 5

14 n 49.0 6 60.0 4 Pakista 1.0 117 84 181 109 61.9 ..

14 56 3 8.3 9.2 5 Zimbabwe .0 3.1 86 76 138 123 700

14 50 4 30.6 2 90 6 Kenya .9 4.6 96 78 156 122 6.1 5

147 U 46.3 46 110 79 185 30.6 510 ganda .2 124 33.5

148 Yemen 39.8 60.0 194 79 303 107 60.0 54.5 350

149 Madagascar 44.9 53.6 109 84 180 136 51.5 46.7 490

150 Haiti 48.5 49.5 148 79 221 123 36.1 34.5 520

151 Gambia 38.0 54.1 183 91 319 126 51.3 45.8 ..

88

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THE UNIVERSITY OF BIRMINGHAM

16 Flows of aid, private capital

and debt

Official development a s s i s t a n c e (ODA)

received (net disbursements)a

Total debt service

Total (US$

millions)

Per capita (US$)

A s % o f GD P

Net foreign directinvestment

inflows (as % of GDP)b

Other private flows

(as % of GDP)b , c

A s % o f GD P As % of exports ofgoods and services

HDI rank 2001 2001 1990 2001 1990 2001 1990 2001 1990 2001 1990 2001

121 Nicaragua 928.3 178.4 32.9 .. 0.0 .. 2.0 .. 1.6 .. 2.3 i 22.2 i

122 Sao Tomé and P i i

37.9 248.2 95.0 80.8 0.0 11.7 -0.2 0.0 4.9 8.5 28.7 21.3

123 Solomon Islands 58.8 130.7 21.7 22.2 4.9 -1.9 -1.5 -1.3 5.5 .. 11.3 2.7 e

124 Namibia 109.1 56.5 4.4 3.5 .. .. .. .. .. .. .. ..

125 Botswana 29.1 16.6 3.9 0.6 2.5 1.1 -0.5 (.) 2.8 1.0 4.4 1.7

126 Morocco 516.5 17.5 4.1 1.5 0.6 7.8 0.7 -0.1 6.9 7.7 27.9 21.9

127 India 1,705.4 1.7 0.4 0.4 0.1 0.7 0.5 (.) 2.6 1.9 29.2 12.6 128 Vanuatu 31.6 156.5 32.6 14.8 8.6 8.5 -0.1 0.0 1.6 0.8 1.6 1.1 129 Ghana 651.8 32.5 9.6 12.3 0.3 1.7 -0.3 2.9 6.3 6.0 34.9 i i

8 9130 Cambodia 408.7 30.3 3.7 12.0 0.0 3.3 0.0 0.0 2.7 0.6 3.8 f 1.1

131 Myanmar 126.8 2.6 .. .. .. .. .. .. .. .. 8.8 2.8

132 Papua New Guinea 203.1 37.2 12.8 6.9 4.8 2.1 1.5 -2.1 17.2 9.1 18.4 7.1

133 Swaziland 29.3 27.6 6.1 2.3 3.4 1.7 -0.2 1.1 5.3 2.2 5.6 2.5

134 Comoros 27.7 38.1 17.3 12.5 0.2 0.7 0.0 0.0 0.4 1.0 2.4 5.6

135 Lao People’s Dem. Rep

243.3 45.0 17.3 13.8 0.7 1.4 0.0 0.0 1.1 2.5 8.5 9.0 136 Bhutan 59.2 27.9 16.5 11.1 0.6 0.0 -0.9 0.0 1.8 1.2 5.3 3.3

137 Lesotho 54.0 30.1 22.8 6.8 2.7 14.7 (.) -0.5 3.7 8.6 4.2 12.4 138 Sudan 171.8 5.3 6.2 1.4 0.0 4.6 0.0 0.0 0.4 0.4 4.8 3.2

139 Bangladesh 1,023.9 7.3 7.0 2.2 (.) 0.2 0.2 0.5 2.5 1.4 37.5 9.0

140 Congo 74.8 21.1 7.8 2.7 0.2 2.1 -3.6 0.0 19.0 3.4 32.2 3.3 141 Togo 46.6 9.9 16.0 3.7 1.1 5.3 (.) 0.0 5.3 2.6 11.5 5.9

Low human development

142 Cameroon 397.7 25.8 4.0 4.7 -1.0 0.9 -0.1 -1.1 4.7 4.0 14.7 i i 9 9

143 Nepal 388.1 16.1 11.7 7.0 0.2 0.3 -0.4 (.) 1.9 1.6 14.7 6.2

144 Pakistan 1,938.2 13.2 2.8 3.3 0.6 0.7 -0.2 -1.2 4.8 5.0 25.1 21.3 145 Zimbab 19.4 3.4 we 159.0 12.5 3.9 1.8 -0.1 0.1 1.1 -0.4 5.4 1.5 146 Kenya 452.6 28.6 11.4 14.6 13.9 4.0 0.7 (.) 0.8 -0.4 9.3 4.1

147 Uganda 782.6 32.3 15.5 13.8 0.0 2.5 0.4 (.) 3.4 0.9 56.9 i 9.7 i

148 Yemen 425.9 22.8 8.4 4.6 -2.7 -2.2 3.3 -0.1 3.5 3.1 7.1 6.3 149 Madagascar 353.9 21.5 12.9 7.7 0.7 0.2 -0.5 (.) 7.2 1.5 44.4 i 3.4 i

150 Haiti 165.8 20.4 5.9 4.4 0.0 0.1 0.0 0.0 1.2 0.7 7.1 h 4.5

151 Gambia 50.9 37.7 31.3 13.0 0.0 9.1 -2.4 0.0 11.9 2.7 21.8 i i

13.8

152 Nigeria 184.8 1.6 0.9 0.4 2.1 2.7 -0.4 -0.4 11.7 6.2 22.3 11.5

153 Djibouti 55.1 80.9 46.4 9.6 (.) 0.6 -0.1 0.0 3.6 1.8 4.4 f 5.4 e

154 Mauritania 261.8 96.1 23.3 26.0 0.7 3.0 -0.1 -0.3 14.3 8.9 28.8 i, j 16.5 i, j

155 Eritrea 280.1 72.8 .. 40.7 .. 5.0 .. 0.0 .. 1.0 0.0 f 4.5

156 Senegal 418.9 43.5 14.4 9.0 1.0 2.7 -0.3 0.9 5.7 4.6 18.3 i i 9.3

157 Guinea 272.3 33.0 10.4 9.1 0.6 0.1 -0.7 (.) 6.0 3.5 19.6 i 9.2 i

158 Rwanda 290.5 36.0 11.3 17.1 0.3 0.3 -0.1 0.0 0.8 1.1 10.6 i 7.6 i

159 Benin 273.2 42.8 14.5 11.5 3.4 5.5 (.) 0.0 2.1 2.1 9.2 i i 10 0

160 Tanzania, U. Rep. of 1,233.4 34.7 27.5 13.2 0.0 2.4 0.1 -0.3 4.2 k 1.6 k 31.3 i, k 7.3 i, k

161 C6te d’Ivoire 187.0 11.6 6.4 1.8 0.4 2.4 0.1 -1.0 11.7 5.9 19.1 8.1

89

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THE UNIVERSITY OF BIRMINGHAM

ndix

Apparent quality-of-life in 67 nations in the 1990s (World Database of Happiness WDH 2003)

:

Veenhoven R. (2004), Happy Life Years: A Measure of Gross National Happiness, proceedings of the International Seminar on 'Operationalizing the Concept of Gross National

', February 1 p

Appe

H.

Source

Happiness 8-20, 2004, Thim u: the Centre for Bhutan Studies

90

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THE UNIVERSITY OF BIRMINGHAM

Apparent quality-of-life in 67 nations in the 1990s

Nation Life Years

Enjoyment of life

(scale 0 - 1)

Length of life

(in years)

Happy

Argentina 6.8 72.6 49.1 Armenia 3.7 70.9 26.2 Australia 7.3 78.2 56.9 Austria 6.1 76.7 47.0 Azerbaijan 4.9 71.1 34.7 Bangladesh 6.0 56.9 34.2 Belarus 4.4 69.3 30.3 Belgium 7.3 76.9 56.4 Bolivia 6.2 60.5 37.5 Brazil 7.0 66.6 46.3 Britain 7.2 76.8 55.4 Bulgaria 4.3 71.2 30.5 Canada 7.7 79.1 60.6 Chile 6.9 75.1 52.0 China 6.7 69.2 46.7 Colombia 8.1 70.3 57.1 Costa Rica 7.9 76.6 60.8 Croatia 5.5 71.6 39.6 Czecho-Slovakia 42.3 5.9 71.7 Denmark 8.0 75.3 59.9 Dominican Rep. 6.8 70.3 47.9 Ecuador 6.4 69.5 44.5 El Salvador 7.4 69.4 51.7 Estonia 5.0 69.2 34.6 Finland 7.5 76.4 57.1 France 78.7 6.4 50.5 Georgia 4.1 73.2 29.7 Germany 6.7 76.4 51.4 Ghana 7.7 57.0 43.9 Greece 5.3 77.9 41.4 Guatemala 7.2 66.1 47.3 Honduras 7.0 68.8 48.0 Hungary 5.6 68.9 38.6 Iceland 7.8 79.2 61.8 India 6.2 61.6 38.5

91

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THE UNIVERSITY OF BIRMINGHAM

92

Ireland 7.6 76.4 58.4 Italy 7.0 78.0 54.6 Japan 6.3 79.9 50.0 Latvia 4.8 68.0 32.5 Lithuania 5.0 70.2 35.1 Luxembourg 7.8 76.1 59.2 Macedonia 5.2 71.9 37.6 Mexico 7.3 72.1 52.5 Moldavia 3.0 67.8 20.5 Netherlands 7.5 77.5 58.3 Nicaragua 7.6 67.5 51.2 Nigeria 6.3 51.4 32.6 Norway 7.4 77.6 57.5 Panama 7.1 73.4 52.3 Paraguay 6.8 69.1 46.7 Peru 6.0 67.7 40.4 Philippines 6.5 67.4 43.7 Poland 6.2 71.1 43.8 Portugal 6.7 74.8 50.5 Romania 5.4 69.6 37.7 Russia 4.2 65.5 27.8 South-Africa 5.7 64.1 36.7 South-Korea 6.3 71.7 45.3 Slovenia 6.0 73.2 43.8 Spain 6.5 77.7 50.8 Sweden 7.6 78.4 59.9 Switzerland 8.1 78.2 63.0 Turkey 5.9 68.5 40.4 Ukraine 3.3 68.5 22.5 Uruguay 6.7 72.7 49.0 USA 7.4 76.4 56.9 Venezuela 6.4 72.3 46.0