Important as It Is, the concept of sustainable development is still being developed and the definition of the term is constantly being revised, extended, and refined. According to the classical definition, given by the United Nations World Commission on Environment and Development in 1987, development is sustainable If It “meets the needs of the present without compromising the ability of future generations to meet their own needs. ” Social justice defined as equality of opportunities for well-being, both within and among generations of people, an be seen as having at least three aspects: economic, social, and environmental.
Only development that manages to balance these three groups of objectives can be sustained for long Conversely, Ignoring one of the aspects can threaten economic growth as well as the entire development process World Bank study defined sustainable managing a portfolio of assets to preserve and enhance the opportunities people face. ” The assets that this definition refers to include not Just traditionally accounted physical capital, but also natural and human capital. To be sustainable, placement must provide for all these assets to grow over time-?or at least not to decrease.
The same logic applies to prudent management of a national economy as applies to prudent management of personal property. Standard measures of wealth accumulation ignore the depletion of, and damage to, natural resources such as forests and oil deposits, on the one hand, and investment in one of a nation’s most valuable assets-?its people-?on the Figure 16. 1 Composition of national wealth, 1994 Western European West Overproduced assets 23% Human resources 75% 60% Produced assets Natural capital a.
Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Turkey, the United Kingdom. B. Benign, Burning Fast, Cameroon, Central African Republic, Chad, Republic of Congo, Cötee divorce, Gambia, Ghana, Guiana-Bissau, Mali, Mauritania, Senegal, Sierra Leone, Togo. Natural capital 2% BEYOND ECONOMIC GROWTH How can countries make their development more sustainable? Other. The genuine saving (investment) rate is designed to correct for this shortcoming by adjusting the traditional saving
