THE LEGATUM PROSPERITY INDEX™ 2016

Bringing Prosperity to Life

What's new in this edition?

Welcome to the tenth anniversary edition of the Legatum Institute’s Prosperity Index.

This year’s report is built on a new and improved Index, refreshed for the 2016 release following a two-year methodological review.

The Index now covers 149 nations worldwide up from 142 last year and also features more variables totalling 104 up from 89. We have also added a new sub-index on the Natural Environment adding to the eight existing sub-indices of Health, Education, Governance, Safety and Security, Economic Quality (new name), Personal Freedom and Social Capital.

The result is a much more complete understanding of prosperity and how it is created. We’ve also simplified the weighting system to make the Index more transparent and easier to use. You can read more about these changes in the Methodology Report.

Another important change this year is the introduction of what we call the Prosperity Gap. The Prosperity Gap measures how well each country performs at converting its material wealth (essentially GDP per capita) into wellbeing and prosperity for its citizens. In other words we focus less on “what we have” and focus more on “what we produce with what we have”. Check it out, the results will surprise you.

With ten years of data, we have looked back to evaluate the biggest movers in prosperity (both increases and decreases) and pinpointed the drivers and barriers to progress. The most remarkable findings are captured and analysed in the new series of 10x10 stories drawn from the last decade.

Our completely new website is much more interactive and makes it easy to explore, compare and export data for your favourite countries. There are many more ways to access and analyse the vast array of data which sits behind the Index. Please use the website as a tool to educate yourself and others and to advocate for change in your country.

We’d would love your feedback to help us keep improving the website and the Prosperity Index.