It described, how do we measure development. Various development indicators. HDI, GDP, GNP etc. Where India stands in HDI. the comparison among developed nations and among SAARC nations.
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Indicators of Development Dr. Rajeev Kumar MSW (TISS, Mumbai), M.Phil, (CIP , Ranchi), UGC-JRF., Ph.D., IIT Kharagpur E-mail: [email protected]
There are hundreds of economic, political and social indicators of development, ranging from ‘Hard’ economic indicators such as Gross National Income (and all its variations), to various poverty and economic inequality indicators, to the Sustainable Development Goals, which focus much more on social indicators of development such as education and health, all the way down to much more subjective development indicators such as happiness. How do we measure development ?
T he most commonly used indicators collected by some of the major development institutions, both multilateral agencies such as the World Bank, as well as NGOS. The indicators you need to know for the ‘indicators of development topic – most obviously GNP, the HDI and the MDGs. Other indicators which are useful to know for different sub-topics within the global development course (health, education, gender, conflict, the environment etc…) What are common indicators?
Economic development indicators Educational development indicators Health related development indicators Composite development indicators Gender related development indicators Types of development indicators
Composite Versus ‘Single Variable’ Indicators Some of the indicators above are ‘composite’ indicators – which are formed when individual indicators are combined into a single index, giving countries a simplified score, such as the Human Development Index, the Gender Empowerment Index and the Global Peace Index; others are ‘single variable’ indicators – such as the Child Mortality Rate, which just measure one thing. Composite or single
Total nominal Gross Domestic Product Gross National Income per capita (PPP) The percentage of people living on less than $1.25 a day The percentage of people living below the poverty line within a country. The unemployment rate. Economic development indicators
Gross Domestic Product (GDP) GDP is s how much money a country makes from its products over the course of a year, usually converted to US Dollars: the sum of gross value added by all resident producers in the economy + product taxes - any subsidies not included in the value of the products. Gross National Product (GNP) GNP is the GDP of a nation together with any money that has been earned by investment abroad minus the income earned by non-nationals within the nation. Important economic development indicators
The World Bank uses the following eight core indicators to measure how developed a country is in terms of education : The net enrolment rate for pre-primary The net enrolment rate for primary* The net enrolment rate for secondary education The gross enrolment ratio for tertiary (further) education. Gender parity for primary education (using the gross enrolment ratio)** primary completion rate for both sexes The total number of primary aged children who are out of school. Government expenditure on education as a percentage of GDP. Educational development indicators
The infant mortality rate. Maternal mortality rate Population growth Healthy life expectancy Health related development indicators
Infant mortality rate Infant mortality rate is the number of infants dying before reaching one year of age per 1,000 live births in a given year. Birth and death rates Crude Birth and Death rates (per 1000) can be used as an overall measure of the state of healthcare and education in a country, though these numbers do not give a full picture of a nation’s situation. Continued
The Human Development Index score Composite development indicators The Human Development Index is compiled annually by the United Nations and gives countries a score based on GNI per capita, number of years of actual and expected schooling and life expectancy, or in the words of the UN itself – the HDI is ‘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.’
Selected Countries by Human Development Index rankings (2015) 1st – Norway 8th – United States 14th – United Kingdom 24th – Finland 32nd – Qatar 39th – Saudi Arabia 55th – The United States 56th – Saudi Arabia 90th – China India – 130th 137th- Bhutan Where we stand ???
Small activity Discuss about various component of HDI in various countries
The United Nations defines the Gender Inequality Index as ‘A composite measure reflecting inequality in achievement between women and men in three dimensions: reproductive health, empowerment and the labour market’. More specifically, it gives countries a score between 0-1 (similar to the HDI) based on: The Maternal mortality ratio: Number of deaths due to pregnancy-related causes per 100,000 live births. The Adolescent birth rate: Number of births to women ages 15–19 per 1,000 women ages 15–19. Proportion of seats held by women in the national parliament expressed as percentage of total seats. The proportion of the female population compared to the male population with at least some secondary education The comparative Labour force participation rate for men and women. Gender related index
2015 Gender inequality index rankings Selected countries according to their rankings for the Gender Inequality Index 1st – Slovenia 11th – Finland 39th – The United Kingdom 55th – The United States 56th – Saudi Arabia 97the – Bhutan 127 – Ghana 130th – India Where we stand???
Human Development Index of India India was ranked 129 out of 189 countries on the 2019 Human Development Index (HDI) improving from the 130 th position in 2018. HDI is part of the Human Development Report that is published by the United Nations Development Programme (UNDP ). The other indices that form the part of the 2019 Report are: Inequality-adjusted Human Development Index (IHDI), Gender Development Index (GDI), Gender Inequality Index (GII) and Multidimensional Poverty Index (MPI).
HDI emphasizes that people and their capabilities should be the ultimate criteria for assessing the development of a country, not economic growth alone. HDI measures average achievement of a country in three basic dimensions of human development: A long and healthy life, Access to knowledge, and A decent standard of living. Human Development Index
Comparative HDI ranks
Top Performers in 2019 Norway, Switzerland, Ireland occupied the top three positions in that order. Germany is placed fourth along with Hong Kong, and Australia secured the fifth rank on the global ranking . India’s neighbours Sri Lanka (71) and China (85) were higher up the rank scale . Bhutan (134), Bangladesh (135), Myanmar (145), Nepal (147), Pakistan (152) and Afghanistan (170) were ranked lower on the list. HDI and the world
Region Wise Performance South Asia was the fastest growing region in human development progress witnessing a 46% growth over 1990-2018, followed by East Asia and the Pacific at 43%. India in S outh Asia
India’s Performance India’s HDI value increased by 50% (from 0.431 to 0.647), which places it above the average for other South Asian countries (0.642). In India, between 1990 and 2018, life expectancy at birth increased by 11.6 years, mean years of schooling increased by 3.5 years and expected years of schooling increased by 4.7 years. Per capita incomes rose by over 250%. How much we progressed in HDI
The other indices that form the part of the 2019 Report are: Inequality-adjusted Human Development Index (IHDI), Gender Development Index (GDI), Gender Inequality Index (GII) and Multidimensional Poverty Index (MPI). As we discussed before
Inequality-adjusted Human Development Index The IHDI indicates percentage loss in HDI due to inequality. India’s position worsened by one position to 130 (as compared to the HDI Index 2019- 129) with a score of 0.477. Although, the IHDI score has improved from 0.468 in 2018. Gender Development Index GDI measures disparities on the HDI by gender. India is only marginally better than the South Asian average on the Gender Development Index (0.829 vs 0.828). IHDI and GDI
GII presents a composite measure of gender inequality using three dimensions : Reproductive health, Empowerment and The labour market. In GII, India is at 122 out of 162 countries. Neighbours China (39), Sri Lanka (86), Bhutan (99), Myanmar (106) were placed above India. The report noted that group-based inequalities persist, especially affecting women and girls and no place in the world has gender equality. Gender Inequality Index
The report notes that the world is not on track to achieve gender equality by 2030 as per the UN’s Sustainable Development Goals (SDG -5) . It forecasts that it may take 202 years to close the gender gap in economic opportunity. The report presents a new “social norms index” indicating how prejudices and social beliefs obstruct gender equality, which shows that only 14% of women and 10% of men worldwide have no gender bias. The report highlights that new forms of inequalities will manifest in future through climate change and technological transformation which have the potential to deepen existing social and economic fault lines. Gender equality and SDG
MPI captures the multiple deprivations that people in developing countries face in their health, education and standard of living. India accounts for 28% of the 1.3 billion multidimensional poor . Other indicators Corruption related Environment related indicators Happiness index Multidimensional Poverty Index