Rand volatility:

Centre for Civil Society

South Africa

presentation to: Women in Business Forum,

Durban Chamber of Commerce and Industry

26 April 2016

Patrick Bond, Director, University of KwaZulu-Natal Centre for Civil Society and

Professor of Political Economy, University of the Witwatersrand School of Governance

time to de-globalise

& Durban?

“the patterns of modern trade and global growth are not behaving in 2016 as western and emerging market financiers might have expected, or as they did during earlier booms.”

South Durban’s dig-out port

old airport site today new dig-out port, 2020 (?!)

why a de-globalised

Centre for Civil Society

Durban? • rejigging GDP for women and nature

• global economic crisis • financial volatility

• shipping overcapacity • global mega-project corruption

• local deindustrialisation • global climate change

• unfulfilled local economic linkages • meet unmet demands: Freedom Charter,

Reconstruction and Development Programme and Constitution

• model: access to AIDS medicines

what’s missing from GDP as growth? unpaid women’s and community work ignored resource depletion (‘natural capital’) platinum, gold, coal, iron ore, etc air, water, and noise pollution loss of farmland and wetlands family breakdown other social values crime

Genuine Progress Indicator

world economic crisis

• GDP growth stagnating • overinvestment • commodities

• trade • ‘emerging’ (submerging) markets

• BRICS crumble • financial chaos

Source: Michael Roberts

global over-investment crisis (10%+): energy, materials, real

estate, utilities, telecoms

world commodity prices

Commodity price changes, 1900-2011 “global commodity prices, 1900-2011

Commodity price changes, 1900-2015 Aafter 2011 peak, 50%+ crash

commodity futures index

volatile exchange rates

financiers delinking from global ‘real’ economy

16

fin.assets

GDP

market value of financial assets and aggregate global GDP at

current prices (billion US dollars) Source : Leda Paulani, USP with

McKinsey Global Report data

dangerous context!

dangerous

Source: McKinsey Global Report – « Debt and (not much) deleveraging »

even more 2007-09 crash,

$57 trillion debt increase

notwithstanding

global finance is now

Trade growth flat emerging market

GDP growth rates

SOUTH AFRICA, 2010

why BRICs? answer from New York/London: building-block ‘bricks’ of 21st century world capitalism

Jim O’Neil, Goldman Sachs

SOUTH AFRICA (added in 2010)

Jim O’Neil, Goldman Sachs

update: with BRICS crumbling,

in 2013 O’Neil chose ‘MINT’ Mexico, Indonesia, Nigeria, Turkey

moments of the ‘Faustian Pact’ (as Ronnie Kasrils has described concessions)

that during 1990s, cemented inequality

10 decisions taken by Presidency, Finance Ministers and Reserve Bank Governors: · repay $25 billion of inherited apartheid-era foreign debt (October 1993) · give SA Reserve Bank ‘independence’ in interim constitution (November 1993) · borrow $850 million from the IMF with tough conditions (December 1993) · reappoint finance minister Derek Keys and SARB governor Chris Stals (May 1994) · join General Agreement on Tariffs and Trade (‘WTO’) on bad terms (August 1994) · lower primary corporate taxes from 48% to 29% and maintain countless white people’s and corporate privileges (1994-99) · privatise peripheral parts of the state, demutualise mega-insurers (1995-99) · relax exchange controls (the ‘finrand’) and raise interest rates (March 1995) · adopt neoliberal Growth, Employment and Redistribution (‘Gear’) (June 1996) · grant permission to South Africa’s biggest companies to move their financial headquarters and primary stock market listings to London (1999)

Source: SARB Quarterly Bulletin 1/2014

rand crash rand crash

SA interest rates have been too high since 1994,

compared to prior era

real (after-inflation)

SA Reserve Bank interest rate

the SA Reserve Bank raised rates four times in 2015 & 2016… even

though our economy slows

…even though the inflation rate has been well within

the 3-6% target range, just hitting 7% in February

…even though business confidence

is crashing to new post-1994 lows

The PMI index is based on five major indicators:

new orders, inventory levels, production, supplier

deliveries and the employment environment.

…even though manufacturing

output is falling

Purchasing Managers Index - Manufacturing

…even though vehicle sales are down 25% from the 2014 peak

…even though in spite of the falling rand since 2011,

there is a longer-term, persistent trade deficit,

…and even though with a trade surplus,

huge outflows of corporate profits flow to London, leaving the current account with a worsening deficit

…even though SA corporations are on an investment strike

even though SA consumers are hurting

(especially in late 2015)

The PMI index is based on five major indicators: new

orders, inventory levels, production, supplier

deliveries and the employment environment.

even though manufacturers are crashing

…even though households are still severely over-indebted and many won’t survive another rate hike

…even though economic growth is in a tailspin

KwaZulu-Natal Provincial Growth and Development Strategy: 2015 infrastructure update

Several key strategic infrastructure projects that are changing the spatial patterns of the Province have a high demand for co-ordinated implementation of infrastructure. These projects are: • Aerotropolis, which stretches from King Shaka International Airport the 30km radius

stretches from Stanger in the north to the City Centre in the south and the 15km radius from Ballito in the north to Umhlanga in the south;

• SEZ: Dube Trade Port will require land incrementally to be available over the next 10 to 15 years to meet the growing demand for housing, business parks and offices, logistics, education and training facilities among other support services;

• Strategic Infrastructure Projects (SIP 1 and 2) has the potential to integrate the marginalised rural production centres surrounding the respective corridors that are currently isolated from the main logistic 15 systems. They are central to the enhance connectivity provincially as well as nationally to improve road and rail connectivity from respective harbours and ports;

• Industrial Development Zones, feasibility studies are finalised and several of these are considered feasible. The Department of Economic development and Tourism has also initiated several projects that will see the development of these within the next few years;

KwaZulu-Natal Provincial Growth and Development Strategy: 2015 infrastructure update: Durban export/import projections

South Durban’s dig-out port

old airport site today new dig-out port, 2020 (?!)

Transnet’s South Durban Dig-Out Port: ubiquitous image of what we can expect

R250 billion shipping-petrochem makeover: 1) 1-3) deepening/widening of old port

2) 4) new roads & dug-out port (old airport) 3) 5-6) major expansion of old port

South Durban’s future, and what it

means for our economy, society and environment

overall critique of port-petrochem

and need for detox-led infrastructure

single buoy mooring:

80% of SA’s intake

Sapref: BP/Shell

Engen: 80% Petronas

(Malaysia)

hypertoxic South Durban,

‘Africa’s armpit’

Toyota car assembly

Mondi paper mill

hazardous petro-chemical plants

Africa’s biggest port

Island View tank farm

Africa’s largest oil refining complex

container terminals

freight traffic

(often illegal)

new capacity: $25 billion plan

the world’s filthiest transport energy

‘usual suspects’ won contracts: • Ibhola Lethu beneficiaries include Craig Simmer (official of crashed bus privatizer Remant Alton and Point development flop Dolphin Whispers) • Broederbonder firm Bruinette Kruger Stoffberg • Group 5/WBHO with Tokyo Sexwale’s and Bulelani Ngcuka’s Mvelaphanda group, • electricity deal: Vivian Reddy’s Edison Power

Durban citizens ask: a sensible investment? vast cost escalation: began as R2 billion in 2006,

then came corruption collusion

next door to Mabhida: perfectly functional 52,000-seater Absa Stadium hosting rugby

who wins from new

infrastructure spending? • Johan van Zyl, Toyota SA CEO: ‘Durban as a

brand is not strong enough to simply say “come and invest in Durban”. What it needs to attract investors are big projects. Durban needs to keep ahead of the competition. China is building ports they don’t even know when they will use. If return on investment is the line of thinking we may never see

the infrastructure.’ – 6 February 2012

December 2015 announcement: a ‘couple of years’ delay but

competitive-port rationale continues

what next for Durban Dig Out Port?

global rate of trade (% y-o-y)

overbuilding of ships

“the patterns of modern trade and global growth are not behaving in 2016 as western and emerging market financiers might have expected, or as they did during earlier booms.”

“the patterns of modern trade and global growth are not behaving in 2016 as western and emerging market financiers might have expected, or as they did during earlier booms.”

old ships: 5000 TEUs (20ft containers)

anything bigger: ‘post-Panamax’

can Durban harbour go post-Panamax? will overcapacity wreck North-South shipping?

new hub-spoke model for container ports

now there’s a Pandora’s Box opening up for mega-shipping: the route across the North Pole

and there’s deep-sea oil to be drilled down there, too

thanks in part (4%) to bunker fuels

can we use climate change arguments in

Environmental Impact

Assessments, to question the logic of hyper-

competitive port-petrochem

expansion?

our complaint: Transnet hires eco-

consultants who are climate denialists

community /environmental opposition

in meeting after meeting: unanimous opposition to port-petrochem expansion

October 10, 2011

October 11, 2011: war on Engen

Settlers Primary School: 52% asthma rate, highest in world

will state/capital’s incremental strategy plus community co-optation work?

Poverty line

rebasing by StatsSA means a substantial increase in the estimates for overall poverty (from 45.5% to 53.8%) when a switch is made from the existing upper-bound poverty line of R620 per-person-per-month to the revised level of R779 per-person-per-month. 29 million South

Africans in poverty

dramatic rise in unemployment Source: IMF Article IV on SA, July 2013

trade liberalisation + rising capital intensity

+ racist employers shedding workers

inequality in 2011 SA is worst amongst large societies

by all measures, far worse than in 1994

SA has a far lower public domestic debt than peer economies

Malaysia, Brazil, Argentina, Thailand

could SA’s Treasury spend more?

very modest post-apartheid increase in social spending

grant spending burden to shrink

Source: IMF Article IV on SA, July 2013

SA corporate profits: world’s 3rd highest

artificially high?

De Beers

hurts the

SA Treasury

trade mispricing by just one firm, 2004-12

US$2.83 bn http://thestudyofvalue.org/2014/05/15/new-

lcsv-working-paper-explores/

debt due to “current account deficit” - mainly dividend/profit/interest outflows

trade deficit

SA’s capital outflow Source: SARB Quarterly Bulletin 1/2009

relisting of Anglo American, De Beers, SAB Miller, Investec, Old Mutual,

Didata, Mondi (after Liberty Life, BHP Billiton, etc)

BRICS countries having a very hard time retaining surpluses

Moeletsi Mbeki:

“Big companies taking their capital out of South Africa are a bigger

threat to economic freedom than… Julius Malema.”

threat is rising!

$32 billion

$135 billion

South Africa’s soaring foreign debt

SA borrows hard currency to pay profits, dividends and interest

PW Botha ‘Rubicon’

Speech

Source: SARB Quarterly Bulletin 1/2014

world’s highest property bubble 389% rise, 1997-2008

responsible for explosion of construction, finance

Source: SARB Quarterly Bulletin 1/2014 SA: stock market was the world’s most bubbly, 2008-14

Source: IMF Article IV on SA, July 2013

SA: for households,

amongst world’s worst

ratios of ‘wealth’

composed of speculative

financial assets

20th c. South African growth/decline

deglobalisation

globalisation and world stagnation

1930s-40s features of SA

economy • lower foreign direct

investment, loans, trade • globalisation disrupted by

Great Depression, WWII • birth of secondary

manufacturing industry (beyond mining equipment)

• rate of growth of the black wage share rose more than 50 percent (from 11 percent to 17 percent; black share only hit 21 percent in 1970)

• overall GDP growth rate (8%/year) from 1931-46 was fastest recorded in modern SA history

what economic policies are needed to reverse banker power over South Africa?

• reimpose exchange controls, lower interest rates, audit SA’s ‘Odious Debt’, control illicit capital flows & trade

• adopt industrial policy aimed at import substitution, sectoral re-balancing, social needs, eco-sustainability

• increase state social spending (e.g. for National Health Insurance, higher education, larger welfare grants and comprehensive social security), paid for by higher corporate taxes, cross-subsidisation and more domestic borrowing (and loose-money ‘Quantitative Easing’)

• reorient infrastructure to meet unmet basic needs, and expand/maintain/improve energy grid, sanitation, public transport, clinics, schools, recreational facilities, internet

• adopt ‘Million Climate Jobs’ strategies to generate employment for a genuinely green ‘Just Transition,’ with generous minimum wage

‘globalisation of people, deglobalisation of capital’

I sympathise with those who would minimise, rather than with those who would maximise, economic entanglement among nations. Ideas, knowledge, science, hospitality, travel – these are the things which should of their nature be international. But let goods be homespun whenever it is reasonably and

conveniently possible and, above all, let finance be primarily national. -John Maynard Keynes (1933), ‘National Self-Sufficiency,’ Yale Review.

deglobalisation of capital applied to AIDS medicines campaigning

case study of successful SA-internationalist social movement advocacy for

AIDS policy and solidarity: access to Anti-RetroVirals

Gugu Dlamini

• 1990s – US promotes Intellectual Property above all, so monopoly-patented ARVs cost $10-15,000/person/year – way too expensive!

• 1997 – SA’s Medicines Act allows ‘compulsory licensing’ to break patent for generic producers – i.e., deglobalisation of medicines;

• 1998 – US State Dept counters Medicines Act with ‘full court press’, Treatment Action Campaign (TAC) formed, stoning death of AIDS activist Gugu Dlamini in her Durban township due to stigmatisation

• 1999 – Al Gore for president, ACTUP! opposition to Gore, Seattle WTO protest, Bill Clinton surrender, ‘AIDS dissidents’ emerge

• 2000 – AIDS conference in Durban, rise of Thabo Mbeki’s denialism • 2001 – ‘PMA-SA v Mandela’ lawsuit w Medicines sans Frontiers &

Oxfam, while TAC imports Thai, Brazilian, Indian generics

TAC’s Anti-RetroVirals campaign:

Zackie Ahmat,

Nelson Mandela

• 2001 – Constitutional Court supports nevirapine, major World Trade Organisation (TRIPS) concession, Doha

• 2002 – critiques of Mbeki, Manto Tshabalala-Msimang • 2003 – ANC compels change in state policy • 2004 – generics produced in SA, global AIDS funds increase • 2013 – 4 million public sector recipients of ARVs • 2014-16 threats – fiscal conservatism, Obama’s Pepfar cuts

strategic successes: • dramatic rise in life expectancy • from 52 in 2005 to 62 in 2015

• ‘commoning’ of intellectual property • decommodification and destratification

• deglobalisation of capital • globalisation of solidarity

Sl no. Domain Indicators Indexes Question Sufficiency cut off Insufficiency Headcount

(H) Total number of respondents (N) Avg. Insufficiency (HI)= H/N Average distance from cutoff

Average squared

distance from cutoff

GNH Index=

1-Average distance

from cutoff

1

Psychological wellbeing

General mental health Mental Health Index General Health Questionnaire Normal mental wellbeing 74 560 0.132 0.026 0.010 0.990

2

Frequency of prayer recitation Spirituality Index Do you say/recite prayers? Daily 323 560 0.577 0.346 0.230 0.770 3

Frequency of meditation Spirituality Index Do you practise meditation? Occasionally 505 560 0.902 0.902 0.902 0.098 4

Taking account of karma in daily life Spirituality Index Do you consider karma in the course of your daily life?

Daily 295 560 0.527 0.270 0.141 0.859

5

Frequency of feeling of selfishness Emotional Balance Index How often do you experience selfishness? Never 137 560 0.245 0.134 0.079 0.921 6

Frequency of feeling of jealousy Emotional Balance Index How often do you experience jealousy? Never 112 560 0.200 0.106 0.059 0.941 7

Frequency of feeling of calmness Emotional Balance Index How often do you experience calmness? Often 465 560 0.830 0.540 0.395 0.605 8

Frequency of feeling of compassion Emotional Balance Index How often do you experience compassion? Often 385 560 0.688 0.389 0.240 0.760 9

Frequency of feeling of generosity Emotional Balance Index How often do you experience of generosity? Often 384 560 0.686 0.387 0.237 0.763 10

Frequency of feeling of frustration Emotional Balance Index How often do you experience of frustration? Never 331 560 0.591 0.314 0.176 0.824 11

Occurrence of suicidal thought Emotional Balance Index Have you ever seriously thought of commiting suicide?

No 22 560 0.039 0.038 0.038 0.963

12

Ecology Perception of pollution of rivers Enivronmental Degradation Index

Is pollution of rivers/streams an environmental concern in your area?

No 333 560 0.595 0.595 0.595 0.405

13

Perception of soil erosion Environmental Degradation Index

Is soil erosion an environmental concern in your area?

No 305 560 0.545 0.545 0.545 0.455

14

Method of waste disposal Environmental Degradation Index

How do you dispose your household waste? Compositing and burning or municipal garbage pick up

29 560 0.052 0.045 0.041 0.959

15

Names and species of plants and animals

Ecological Knowledge Index

Do you know the name of species of plants and animals in your local surrounding?

Yes 36 560 0.064 0.064 0.064 0.936

16

Tree plantations around farm and house

Afforestation Index Do you plant trees around your farm or houses?

Yes 106 560 0.189 0.189 0.189 0.811

17

Health Self reported health status Health Index In general, would you say your health is: Excellent 411 560 0.734 0.409 0.246 0.754 18

Long term disability Health Index Do you have any long term disabilities, health/mental problems?

No 57 560 0.102 0.102 0.102 0.898

19

# of healthy days in the past 30 days Health Index Number of healthy days 26 34 560 0.061 0.088 0.073 0.927 20

Body Mass Index Health Index What is your height and weight? 18.5-24.99 166 560 0.296 0.139 0.081 0.919 21

Knowledge of transmission of HIV/AIDS virus

Health Knowledge Index Do you know how HIDS/AIDS virus is transmitted?

Yes 63 560 0.113 0.113 0.113 0.888

22

Duration for a child to be breast fed only

Health Knowledge Index How long should a child be breast fed exclusively?

6 months 300 560 0.536 0.370 0.325 0.676

23

Walking distance to health care centre Health Barrier Index How long does it usually take you to walk to the nearest health care centre?

60 minutes 226 560 0.404 0.133 0.076 0.924

24

Education Level of education Education Index What is your highest level of education? Class XII 487 560 0.870 0.583 0.478 0.522 25

Literacy rate Education Index Literacy rate Literate in either English or Dzongkha

209 560 0.373 0.373 0.373 0.627

26

Ability to understand lozey Dzongkha Language Index If you are an audience to traditional lozey exchange, would you be able to understand the contents?

Would understand very well

481 560 0.859 0.577 0.450 0.550

27

Historical literacy (Knowledge on local legend and folk stories)

Historical literacy Index How would you rate your knowledge and understanding of the local legends and folk stories?

Good 489 560 0.873 0.629 0.506 0.494

28

Culture Speaking first language Dialect Index How well can you speak your first language now?

Very well 46 560 0.082 0.029 0.011 0.989

29

Frequency of playing traditional games

Traditional Recreational Index

During the past 12 months, how often have you played traditional sports?

Once or twice a month

478 560 0.854 0.723 0.658 0.342

30

Zorig chusum skills Artisan Skill Index Zorig chusum skills 1 skill or more 132 560 0.236 0.236 0.236 0.764 31

Teaching children importance of discipline

Value Transmission Index How important is it for children to learn discipline?

Very important 9 560 0.016 0.009 0.005 0.995

32

Teaching children importance of impartiality

Value Transmission Index How important is it for children to learn to be impartial towards rich, poor, different status, etc.

Very important 95 560 0.170 0.112 0.083 0.917

33

Knowledge of mask and other dances performed in tshechus

Community Festival Index How would you rate your knowledge and understanding of the mask and other dances performed during national/local tshechu?

Good 446 560 0.796 0.552 0.429 0.571

34

Importance of reciprocity as a life principle

Reciprocity Index Please indicate the importance that you assign to reciprocity in life

Very important 133 560 0.238 0.126 0.070 0.930

35

Attitude towards killing Basic Precept Index Is killing justifiable? Can never be justified

35 560 0.063 0.032 0.017 0.983

36

Attitude towards stealing Basic Precept Index Is stealing justifiable? Can never be justified

28 560 0.050 0.026 0.014 0.986

37

Attitude towards lying Basic Precept Index Is lying justifiable? Can never be justified

98 560 0.175 0.088 0.044 0.956

38

Attitude towards sexual misconduct Basic Precept Index Is sexual misconduct justifiable? Can never be justified

29 560 0.052 0.026 0.013 0.987

39

No. of days spent in a year attending community festivals

Community Festival Index On an average, how many days do you spend in a year attending social and cultural activities, such community festivals or chokus of neighbours?

6-12 days 352 560 0.629 0.339 0.195 0.805

40

Living standards Household income Living Standard Index What was the approximate total cash income for your household during the past 12 months?

70,597 438 560 0.782 0.533 0.405 0.595

41

Income sufficiency to meet everyday needs

Living Standard Index How well does your total household income meet your family's everyday needs for food, shelter and clothing?

Just enough 69 560 0.123 0.123 0.123 0.877

42

Food insecurity Living Standard Index In the past 12 months, did you cut the size of your meal or skip meals because there wasn't enough food and money for food?

No 12 560 0.021 0.021 0.021 0.979

43

House ownership Living Standard Index Is the dwelling in which you live, rented or owned?

Owned 73 560 0.130 0.130 0.130 0.870

44

Room ratio Living Standard Index Number of persons per room 2 persons/room 187 560 0.334 0.119 0.054 0.946 45

Purchase of second hand clothes Hardship Index In the past 12 months, did you buy second hand clothes instead of new ones to keep costs down?

No 161 560 0.288 0.288 0.288 0.713

46

Difficulty in contributing to community festivals

Hardship Index In the past 12 months, did you have difficulty in contributing to community festivals?

No 82 560 0.146 0.146 0.146 0.854

47

Postponement of urgent repairs and maintenance of house

Hardship Index In the past 12 months, did you postpone urgent repairs and maintenance of your household

No 180 560 0.321 0.321 0.321 0.679

48

Time use Total working hours Time Index Total working hours 7 hours 338 560 0.604 0.162 0.054 0.946 49

Sleep hours Time Index Sleeping hours 8 hours 125 560 0.223 0.030 0.007 0.993 50

Community vitality

Sense of trust in neighbours Community Trust Index How much do you trust your neighbours? Trust most of them

329 560 0.588 0.251 0.122 0.878

51

Neighbours helping each other in the community

Social Support Index Would you say this is a neighbourhood where neighbours help one another?

Always 280 560 0.500 0.181 0.072 0.928

52

Labour exchange with community members

Reciprocity Index Did you exchange labour with any community members during the past 12 months?

Yes 147 560 0.263 0.263 0.263 0.738

53

Socializing with friends Socialization Index In the last month, how often did you socialize with your friends?

Few times a week 279 560 0.498 0.245 0.152 0.848

54

Members of your family really care about each other

Family Index Do the members of your family really care about each other?

Agree 22 560 0.039 0.029 0.023 0.977

55

You wish you were not part of your family

Family Index Do you wish you were not part of your family Disagree 35 560 0.063 0.042 0.032 0.968

56

Members of your family argue too much

Family Index Do the members of your family argue too much Disagree 157 560 0.280 0.167 0.110 0.890

57

There is a lot of understanding in your family

Family Index Is there lot of understanding in your family? Agree 63 560 0.113 0.076 0.058 0.942

58

Your family is a real source of comfort to you

Family Index Is your family is a real source of comfort to you?

Agree 33 560 0.059 0.040 0.031 0.969

59

No. of relatives living in the same community

Kinship index Number of relatives living in the same community

Most 326 560 0.582 0.345 0.235 0.765

60

Victim of crime Safety Index Have you been a victim of crime in the last twelve months?

No 7 560 0.013 0.013 0.013 0.988

61

Feelings of safety from human harm Safety Index How safe do you feel when walking alone in your neighbourhood or village after dark from human harm?

Always safe 203 560 0.363 0.245 0.186 0.814

62

Sense of enmity in the community Safety Index Did enmity rise in the community during the last twelve months?

No 71 560 0.127 0.127 0.127 0.873

63

No. of days volunteered Reciprocity Index On an average how many days did you spend during the past 12 months doing voluntary activity on your own?

11 days 387 560 0.691 0.541 0.501 0.499

64

Amount of donation in cash value Reciprocity Index Total amount donate in the past 12 months 10% of your income

392 560 0.700 0.506 0.413 0.587

65

Availability of social support Social Support Index How often is someone there to help you when you have problems?

Most of the time 390 560 0.696 0.404 0.257 0.743

66

Good governance Performance of central government in reducing income gap

Government Performance Index

Rate the performance of central government in reducing gap between rich and poor

Excellent 331 560 0.591 0.359 0.243 0.757

67

Performance of central governmentt in fighting corruption

Government Performance Index

Rate the performance of central government in fighting corruption

Excellent 292 560 0.521 0.312 0.207 0.793

68

Right to freedom of speech and opinion

Freedom Index Do you feel that you have right to freedom of speech and opinion

Yes 43 560 0.077 0.077 0.077 0.923

69

Freedom from discrimination Freedom Index Do you feel that you are free from discrimination based on race, sex, religion, language, politics or other status

Yes 68 560 0.121 0.116 0.113 0.887

70

Trust in central ministries Institutional Trust Index To what extent do you trust central ministries? Trust 117 560 0.209 0.116 0.070 0.930 71

Trust in dzongkhag administration Institutional Trust Index To what extent do you trust dzongkhag administration?

Trust 118 560 0.211 0.115 0.067 0.933

72

Trust in media Institutional Trust Index To what extend do you trust media? Trust 118 560 0.211 0.114 0.066 0.934

0.360 0.240 0.188 0.812

GNH Index 0.640 0.760 0.812

3 measures: • life expectancy • life satisfaction • ecological footprint

New Economics Foundation

‘Happy Planet Index’