National income and comparison of economic growth is often described and compared with Gross Domestic Product (GDP) and Gross National Income (GNI). These measures show how much value an economy produces but not how effectively that income supports real progress. A country’s GDP can rise even while its citizens face unemployment, inequality and inflation. This paper introduces the Net Economic Income Progress Index (NEIPI), a new currency-based method to evaluate how much of a nation’s income truly contributes to sustainable and inclusive progress. NEIPI starts from the total income of a country and adjusts it for five essential realities: how much of the income stays within the nation, how efficiently it is generated, how equally it is shared, how much environmental damage it causes and how inflation reduces purchasing power. Using recent 2023 to 2024 data from India, the United States and Norway, this study demonstrates how NEIPI provides a realistic view of economic performance. Unlike the welfare-driven Scandinavian models, NEIPI relies only on real, measurable data which makes it practical and adaptable for any country, no matter what kind of policies it follows. The index serves as a bridge between economic growth and human wellbeing.
Aadisankar S Puthiyamadom (Fri,) studied this question.