# How do we measure prosperity?

Measuring prosperity in a broad sense is difficult.

How do we measure happiness? How do we measure the appreciation of the environment?

Prosperity in a narrow sense is easy to measure.

We can measure the:

Gross domestic product (GDP)

The gross domestic product is the volume of total production of all companies and government authorities in a country.

The GDP indicates how much is produced in a country and therefore is a

benchmark of prosperity (in a narrow sense).

We say there is economic growth when the GDP increases.

That means that the economy grows when thet country’s total production increases.