Human Development Index

- Dr. Karishma Chaudhary

• https://ourworldindata.org/human-development-index
GROWTH AND DEVELOPMENT
• Both growth and development refer to changes over a period of time.
Growth :-
• Quantitative and value neutral change . Positive or a negative sign.

 Development :-
• Qualitative change which is always value positive.

• Development occurs when positive growth takes place.

• For example, if the population of a city grows from one lakh to two lakhs over a
• period of time, we say the city has grown.

• However, if facilities like housing, provision of basic services and other characteristics remain the same, then
this growth has not been accompanied by development.
•The quality of life people enjoy in a country, the opportunities they
have and freedoms they enjoy, are important aspects of development.

•The concept of human development was introduced

by Dr. Mahbub-ul-haq.

•Dr. Haq has described human

development as development that enlarges
people’s choices and improves their lives
Origin of HDI
•Devised and launched by Pakistani economist Mahbub-ul- haq in
1990.
•Amartya Sen and Mahbub –ul- haq worked upon the capabilities
•and functioning which provided conceptual framework.
•Published by United Nations Development Programme (UNDP).
Access to resources, health and education
are the key areas in human development.
FOUR PILLARS OF HUMAN DEVELOPEMNT
•Just as any building is supported by pillars, the idea of human
development has four essential pillars: equality, sustainability,
productivity and empowerment. It regards economic growth as
essential but emphasizes the need to pay attention to its quality and
distribution, analyses at length its link with human lives and questions
its long-term sustainability.
What is HDI
It is a tool used to measure a country's overall
achievement in its social and economic dimensions.

The human development index is a measure of economic

development and economic welfare.
How is the Human Development Index
calculated?

• The Human Development Index (HDI) provides a single index measure

to capture three key dimensions of human development: a long and
healthy life, access to knowledge and a decent standard of living.
The HDI utilizes four key metrics

• expected years of schooling – to • Gross national income (GNI) per

life expectancy at birth – to assess access to knowledge of the capita – to assess the standard of
assess a long and healthy young generation living
• average years of schooling – to
life assess access to knowledge of the
older generation
FACTORS CONSIDERED FOR HDI
There are two steps to calculating the HDI:
• 1. Forming indices for each of the four metrics
• Values of each of the four metrics are first normalized to an index
value of 0 to 1. To do this, “goalposts” of the maximum and minimum
limits on each metrics are set by the UNDP, as shown in the table.
• With the actual value for a given country, and the global maximum
and minimum, the dimension (indices) value for each metric is
calculated as:
• The dimension index is therefore 1 in a country that achieves the
maximum value and it is 0 for a country that is at the minimum value.
• With the actual value for a given country, and the global maximum
and minimum, the dimension (indices) value for each metric is
calculated as:
• The dimension index is therefore 1 in a country that achieves the
maximum value and it is 0 for a country that is at the minimum value.
Calculation
Life Expectancy Index (LEI) = LE-20/85-20
LEI is 1 when Life expectancy at birth is 85 and 0 when Life
expectancy at birth is 20.

LE: Life Expectancy at Birth

 Education Index(EI)= MYSI+EYSI/2

1. Mean Years of Schooling Index (MYSI)= MYS/15

•(Fifteen is the projected maximum of this indicator for 2025.)
2.Expected Years of Schooling Index (EYSI)= EYS/ 18 (Eighteen is
equivalent to achieving a master’s degree in most countries.)

•MYS: Mean years of schooling (Years that a person 25 years-of-age or older has spent in schools)
•EYS: Expected years of schooling (Years that a 5-year-old child will spend in
•schools throughout his life)
Income Index (II)=
In(GNIpc)-In(100)/In(75,000)-In(100)

II is 1 when GNI per capita is $75,000 and 0 when GNI per capita
is $100.

GNIpc : Gross national income at purchasing power parity per

capita.
India statistics