Bhutan's happiness formula

The remote Himalayan kingdom of Bhutan is the only country in the world which puts happiness at the heart of government policy.

The government must consider every policy for its impact not only on Gross Domestic Product, but also on GNH: "Gross National Happiness".

The politics of happiness has led Bhutan to make very different decisions from countries simply searching for wealth.

The capital, Thimpu, is remarkable for its lack of advertising. In an attempt to hold back consumerism the city council recently banned hoardings promoting Coke and Pepsi.

Bhutan was the last nation in the world to introduce television in 1999. Recently they banned a number of channels including international wrestling and MTV, which they felt did little to promote happiness.

Bhutan has even banned plastic bags and tobacco on the grounds that they make the country less happy.

The one set of traffic lights Bhutan ever had was on this junction. But people found them frustrating, so they went back to a human being.

Buddhist prayer flags flutter in the wind. In Bhutan the government puts inner spiritual development on a par with material improvement.

One of the pillars of Bhutan's happiness philosophy is care for the environment. Strict conservation laws are aimed at achieving sustainable development.

Development has been moderated and people are less well off financially than they could have been.

Bhutan has been able to adopt radical policies partly because it is a remote kingdom and partly because it is an absolute monarchy.