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Federico Bonaglia
Deputy Director, OECD Development Centre
October 2019
Using multi-dimensional well-being
indicators to align national development
strategies and international cooperation
The need of adapting the well-being framework
to developing countries
 A key challenge is to “universalise” the
well-being framework and to define
appropriate indicators that capture
developing countries’ realities.
 Important dimensions for developing
countries are:
 Informality and vulnerable jobs
 Savings and assets
 Skills
 Social connections
Testing the well-being framework in developing
countries: the case of the MDCRs
GNI per
capita
Feeling
about
household
income
Poverty
rate
Employment to
population ratio
Unemployment
Vulnerable
employment
Improved
sanitation
facilities
Satisfaction
with housing
Satisfaction
with the roads
Change in
forest area
PM2.5 emissions
Satisfaction
with
water
quality
Mean
years
of schooling
Adult literacy
rate
Satisfaction
with education
system
Life
expectancy
Child mortality
rate
Satisfaction with
health care
Intentional
homicides
Feeling of
safety
Social protection
coverage
Has someone
to count on
to help
Corruption index
Corruption is
widespread
throughout the
government
Voicing opinion
to official
Life
satisfaction
Positive
experience
index
Negative
experience
index
Consumption
possibilities
Work
Housing and
infrastructure
Environment
Education and
skills
Health
Vulnerability
Social
connections
Empowerment
Life satisfaction
 The Multi-dimensional Country
Reviews are an example of taking the
well-being framework into action.
 The well-being wheel shows the
observed values for each indicator
(bars) and the expected values (grey
circle) based on the country’s level of
GDP per capita.
Figure 1. Current and expected well-being outcomes for Paraguay: Worldwide comparison
Going beyond GDP: development is not just
about income
-2
0
2
4
6
8
10
Income level
Correlation coefficient (standard deviation)
0
0.2
0.4
0.6
0.8
1
1.2
1.4
Income level
Coefficient Confidenceinterval
The relationship between GDP and well-being
weakens as countries grow
The relationship between education and
well-being strengthens as countries grow
Source: Latin American Economic Outlook 2019 (OECD et al., 2019)
5
There are important cross-country disparities in
well-being outcomes at a given level of income
Source: Latin American Economic Outlook 2019 (OECD et al., 2019)
World average MAX LAC MIN LAC LAC average
0
10
20
30
40
50
60
70
80
High-income Upper middle-
income
Lower middle-
income
% of total
employment
Vulnerable employment, 2017
0
10
20
30
40
50
60
70
80
High-income Upper middle-
income
Lower middle-
income
Gini index, 2016
Well-being in Latin America & the Caribbean:
towards better metrics to achieve the SDGs
Source: Latin American Economic Outlook 2019.
Bridging statisticians and policy planners: the case of
Latin America
Intensity of specific topics in development plans in Latin America and the Caribbean
The relevance of the well-being framework for
international cooperation: Development in Transition
International cooperation as a facilitator
Working
inclusively
Engaging countries at all development levels on
equal footing as peers, to build and participate in
multilateral and multi-stakeholders partnerships.
Building
domestic
capacities
Strengthening countries’ capacities to design,
implement and evaluate their own development
plans and encouraging the alignment between
domestic and international priorities.
Operating
with more
tools and
actors
Expanding instruments for greater international co-
operation (knowledge sharing, policy dialogue,
capacity building, technology transfers).
Thank you!

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Putting well being metrics into policy action, Federico Bonaglia

  • 1. Federico Bonaglia Deputy Director, OECD Development Centre October 2019 Using multi-dimensional well-being indicators to align national development strategies and international cooperation
  • 2. The need of adapting the well-being framework to developing countries  A key challenge is to “universalise” the well-being framework and to define appropriate indicators that capture developing countries’ realities.  Important dimensions for developing countries are:  Informality and vulnerable jobs  Savings and assets  Skills  Social connections
  • 3. Testing the well-being framework in developing countries: the case of the MDCRs GNI per capita Feeling about household income Poverty rate Employment to population ratio Unemployment Vulnerable employment Improved sanitation facilities Satisfaction with housing Satisfaction with the roads Change in forest area PM2.5 emissions Satisfaction with water quality Mean years of schooling Adult literacy rate Satisfaction with education system Life expectancy Child mortality rate Satisfaction with health care Intentional homicides Feeling of safety Social protection coverage Has someone to count on to help Corruption index Corruption is widespread throughout the government Voicing opinion to official Life satisfaction Positive experience index Negative experience index Consumption possibilities Work Housing and infrastructure Environment Education and skills Health Vulnerability Social connections Empowerment Life satisfaction  The Multi-dimensional Country Reviews are an example of taking the well-being framework into action.  The well-being wheel shows the observed values for each indicator (bars) and the expected values (grey circle) based on the country’s level of GDP per capita. Figure 1. Current and expected well-being outcomes for Paraguay: Worldwide comparison
  • 4. Going beyond GDP: development is not just about income -2 0 2 4 6 8 10 Income level Correlation coefficient (standard deviation) 0 0.2 0.4 0.6 0.8 1 1.2 1.4 Income level Coefficient Confidenceinterval The relationship between GDP and well-being weakens as countries grow The relationship between education and well-being strengthens as countries grow Source: Latin American Economic Outlook 2019 (OECD et al., 2019)
  • 5. 5 There are important cross-country disparities in well-being outcomes at a given level of income Source: Latin American Economic Outlook 2019 (OECD et al., 2019) World average MAX LAC MIN LAC LAC average 0 10 20 30 40 50 60 70 80 High-income Upper middle- income Lower middle- income % of total employment Vulnerable employment, 2017 0 10 20 30 40 50 60 70 80 High-income Upper middle- income Lower middle- income Gini index, 2016
  • 6. Well-being in Latin America & the Caribbean: towards better metrics to achieve the SDGs
  • 7. Source: Latin American Economic Outlook 2019. Bridging statisticians and policy planners: the case of Latin America Intensity of specific topics in development plans in Latin America and the Caribbean
  • 8. The relevance of the well-being framework for international cooperation: Development in Transition International cooperation as a facilitator Working inclusively Engaging countries at all development levels on equal footing as peers, to build and participate in multilateral and multi-stakeholders partnerships. Building domestic capacities Strengthening countries’ capacities to design, implement and evaluate their own development plans and encouraging the alignment between domestic and international priorities. Operating with more tools and actors Expanding instruments for greater international co- operation (knowledge sharing, policy dialogue, capacity building, technology transfers).