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Linking Sustainable Development Assessment in Ireland and the European Union with Economic Theory

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  • Luke McGrath

    (National University of Ireland, Galway)

  • Stephen Hynes

    (National University of Ireland, Galway)

  • John McHale

    (National University of Ireland, Galway)

Abstract

Economists offer what is arguably the most internally consistent framework for sustainable development assessment, the so-called “capital approach”. To operationalise the capital approach, measures of the changes in comprehensive national wealth (Genuine Savings) are required. In this paper, we present estimates of Ireland’s Genuine Savings using the updated public spending code for direction and compare our results with existing estimates in the literature. For practical sustainability assessment, no single indicator is capable of providing an all-encompassing answer, but as we demonstrate, the current monitoring of sustainable development in Ireland and across the EU lacks coherence. We suggest potential paths forward for sustainability policy and assessment that preserve the link with economic theory. We show that regardless of the viewpoint taken on sustainability, the capital approach can provide guidance for a coherent assessment framework.

Suggested Citation

  • Luke McGrath & Stephen Hynes & John McHale, 2020. "Linking Sustainable Development Assessment in Ireland and the European Union with Economic Theory," The Economic and Social Review, Economic and Social Studies, vol. 51(2), pages 327-355.
    • Handle: RePEc:eso:journl:v:51:y:2020:i:2:p:327-355
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    References listed on IDEAS

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    Cited by:

    1. Andreea Ocolisanu & Simona Marcela Agarbiceanu, 2021. "Measuring Sustainable Economic Growth," Management Strategies Journal, Constantin Brancoveanu University, vol. 54(4), pages 53-60.
    2. Luke Mcgrath & Stephen Hynes & John Mchale, 2022. "Reassessing Ireland’s economic development through the lens of sustainable development [Sustainability and the measurement of wealth]," European Review of Economic History, European Historical Economics Society, vol. 26(3), pages 399-422.
    3. Luke McGrath & Stephen Hynes & John McHale, 2022. "The Air we Breathe: Estimates of Air Pollution Extended Genuine Savings for Europe," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 68(1), pages 161-188, March.
    4. McGrath, Luke & Hynes , Stephen, 2020. "Approaches to accounting for our natural capital: Applications across Ireland," Working Papers 309501, National University of Ireland, Galway, Socio-Economic Marine Research Unit.
    5. Batrancea Larissa & Rathnaswamy Malar Maran & Batrancea Ioan & Nichita Anca & Rus Mircea-Iosif & Tulai Horia & Fatacean Gheorghe & Masca Ema Speranta & Morar Ioan Dan, 2020. "Adjusted Net Savings of CEE and Baltic Nations in the Context of Sustainable Economic Growth: A Panel Data Analysis," JRFM, MDPI, vol. 13(10), pages 1-17, October.

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