A teacher giving rulers to children in Finland. The Nordic countrys education system is a prime reason it scores at the top of the Years of Good Life (YoGL) economic index

Figuring out the Years of Good Life a person can look forward to on a warming planet could be key to unlocking the economic resources needed by populations to adapt to climate change. 

The so-called YoGL index is the latest offering from researchers trying to balance sustainability and demands for economic growth. The assessment, which will be published next week by the U.S. 

Proceedings of the National Academy of Sciences, challenges climate models that focus on monetizing the utility of individuals. Its the newest study to suggest economists need to

overhaul their metrics to meet the challenge of climate change. 

Explore dynamic updates of the earths key data points

Soccer pitches of forest lost this hour, most recent data

Dec. 2020 increase in global temperature vs. 1900s average

Parts per million CO2 in the atmosphere

Today’s arctic ice area vs. historic average

Carbon-free net power in Brazil, most recent data

Renewable power investment worldwide in Q2 2020

Bishkek, KyrgyzstanMost polluted air today, in sensor range

Million metric tons of greenhouse emissions, most recent annual data

The YoGL index seeks to measure the ability of people to survive in an empowered condition in a changing environment, according to the researchers. They used data on education, longevity, health, income, and life satisfaction. Accounting for global warmings impact on individuals in dollars, euros or pounds doesnt make sense because it discounts peoples ability to adapt, said lead author Wolfgang Lutz.

We broadly wanted to define an applicable metric that shows not everything has to be measured in money terms, he said, adding that societies abilities to improve on education and healthcare systems arent adequately captured by existing models. 

The paper extends a decades-long debate started by the Stern Report, which suggested that the famines, rising seas and superstorms triggered by climate change could cost the world $9.6 trillion. A subsequent study by JP Morgan analysts said 

investments worth $50 trillion might be needed to keep within the 1.5°C temperature rise sought by the Paris climate agreement. The gap between expected damages wrought by warming and the action needed to mitigate change plays a key role in

international climate negotiations. 

Years of good living and life expectancy at age 50 for 14 European countries

Nordic countries such as Finland and Sweden outperformed in the YoGL index because of their commitments to universal education, which better prepares populations to adapt to changing climates. Females in conflict zones faced the fewest years of good living, with 20-year-old women in  Yemen and Rwanda looking forward to just 10 and 11 years respectively.

The index isnt the first attempt to quantify quality of life. The

Better Life Index published by the Organisation of Economic Cooperation and Development and the United Nations World Happiness Report have also tried to help economists and policy makers measure less tangible metrics of wellbeing.

The new index tries to smooth out emotional responses to polling and incorporates data that can be standardized worldwide, Lutz said. There’s nevertheless some overlap between the best-performing economies. Finland will be listed atop the UNs Happiness Report for a fourth consecutive year on Saturday.

Trends years of good living for women at age 20, India, Mexico, and South Africa. Reductions in poverty are the main drivers in expected years of good life. Data in South Africa indicate YoGL increases even as the HIV/AIDs epidemic causes life expectancy to fall.

The authors said their research opens the possibility that the social costs of carbon could potentially be evaluated in terms of Years of Good Life lost among future generations, rather than only in dollar terms. For example the index could be useful for underwriters insuring against low-probability, high-impact risks and policy makers developing rules to fight social ills like air pollution, said Lutz. 

Read More About the Social Cost of Carbon

The economic lockdowns and school closings triggered by the Covid-19 pandemic are unlikely to have a long-term impact on the years of good life for young people, said the demographer, who works at the International Institute of Applied Systems Analysis outside Vienna. 

Many students used the pandemic as a good time to invest in their readings and studies, he said. The more education people have, the better they will be able to adapt.

    Before it’s here, it’s on the Bloomberg Terminal.