Net Economic Welfare (NEW) is an alternative measure of economic well-being that adjusts GDP by accounting for non-market problems like pollution and adding non-market benefits such as leisure time and household production.
Real income represents the income of an individual, group, or country adjusted for changes in purchasing power caused by inflation. It contrasts nominal income, which is not adjusted for such changes, providing a more accurate representation of economic well-being over time.
A welfare state is a form of governance in which the government plays a key role in the protection and promotion of the economic and social well-being of its citizens. This is achieved through a comprehensive array of services such as medical care, minimum income guarantees, and retirement pensions.
