About Composite indices — HDI and beyond Pushing the frontiers of measurement has always been a cornerstone of the human development approach. But it has never been measurement for the sake of measurement. The HDI has enabled innovative thinking about progress by capturing the simple yet powerful idea that development is about much more than income.
Human development is about the real freedom ordinary people have to decide who to be, what to do, and how to live. The human development concept was developed by economist Mahbub ul Haq. At the World Bank in the s, and later as minister of finance in his own country, Pakistan, Dr. In particular, he believed that the commonly used measure of Gross Domestic Product failed to adequately measure well-being.
Central to the human development approach is the concept of capabilities. Capabilities—what people can do and what they can become-are the equipment one has to Human development index basic dimensions of a life of value.
Basic capabilities valued by virtually everyone include: Our capabilities are expanded or constrained by our own efforts and by the institutions and conditions of our society. Those poor in capabilities are less able to chart their own course and to seize opportunities.
Without basic capabilities, human potential remains unfulfilled. The capability approach is a normative framework used for analyzing well-being, often employed to understand development problems. Although certain aspects of the approach can be linked to Aristotle and Adam Smith, it is philosopher-economist Amartya Sen and more recently, University of Chicago professor of law and ethics Martha Nussbaum, who are responsible for its development and proliferation.
One illustration of the difference between capabilities to function and formal freedoms is found in the area of educational opportunity. All US citizens have the formal freedom to earn a college degree. Formal freedoms, in this and many cases, are necessary but not sufficient to provide true capabilities to function.
The Human Development Index The state of the nation is often expressed through GDP Gross Domestic Productdaily stock market results, consumer spending levels, and national debt figures.
But these numbers provide only a partial view of how people are faring. The Human Development Index was developed as an alternative to simple money metrics. It is an easy-to-understand numerical measure made up of what most people believe are the very basic ingredients of human well-being: The first Human Development Index was presented in It has been an annual feature of every Human Development Report since, ranking virtually every country in the world from number one currently Iceland to number currently Sierra Leone.
This composite index has become one of the most widely used indices of well-being around the world and has succeeded in broadening the measurement and discussion of well-being beyond the important, but nevertheless narrow, confines of income. In a number of countries, the Human Development Index is now an official government statistic; its annual publication inaugurates serious political discussion and renewed efforts, nationally and regionally, to improve lives.
While data are plentiful on the extremes of affluence and deprivation in the United States, the American Human Development Index provides a single measure of well-being for all Americans, disaggregated by state and congressional district, as well as by gender, race, and ethnicity.
All data used in the index come from official U. The data included in the American Human Development Index will help us understand variations among regions and groups.
It is a snapshot of America today. Moreover, the index will serve as a baseline for monitoring future progress. Most people would agree that a long and healthy life, access to knowledge, and a decent material standard of living are the basic building blocks of well-being and opportunity.
Human Development Index upon which it is modeled.
These three core capabilities are universally valued around the world, and measurable, intuitively sensible, and reliable indicators exist to represent them—two critical considerations in the construction of a composite index.
Advancing human development requires, first and foremost, expanding the real opportunities people have to avoid premature death by disease or injury, to enjoy protection from arbitrary denial of life, to live in a healthy environment, to maintain a healthy lifestyle, to receive quality medical care, and to attain the highest possible standard of physical and mental health.
In the American HD Index, life expectancy at birth stands as a proxy for the capability to live a long and healthy life. Life expectancy at birth is the average number of years a baby born today is expected to live if current mortality patterns continue throughout his or her lifetime.
The most commonly used gauge of population health the world over, life expectancy at birth represents one-third of the overall American HD Index. Access To Knowledge Access to knowledge is a critical determinant of long-term well-being and is essential to individual freedom, self-determination, and self-sufficiency.
Education builds confidence, confers status and dignity, and broadens the horizons of the possible—as well as allowing for the acquisition of skills and credentials.
Globalization and technological change have made it extraordinarily difficult for poorly educated Americans to achieve the economic self-sufficiency, peace of mind, and self-respect enabled by a secure livelihood.
Access to knowledge is measured using two indicators:The Human Development Index (HDI) is a tool developed by the United Nations to measure and rank countries' levels of social and economic development.
The Human Development Index (HDI) provides a single index measure which aims to capture three key dimensions of human development: a long and healthy life, access to knowledge and a decent standard of living. In the United States, for example, Measure of America has been publishing human development reports since with a modified index, the human development index American Human Development Index, which measures the same three basic dimensions but uses slightly different indicators to better reflect the U.S.
context and to maximize use of. In the United States, for example, Measure of America has been publishing human development reports since with a modified index, the human development index American Human Development Index, which measures the same three basic dimensions but uses slightly different indicators to better reflect the U.S.
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The Human Development Index (HDI) is a summary measure of average achievement in key dimensions of human development: a long and healthy life, being knowledgeable and have a decent standard of living. The HDI is the geometric mean of normalized indices for each of the three dimensions.
Human development index (score) A composite index measuring average achievement in three basic dimensions of human development—a long and healthy life, knowledge and a decent standard of living.
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