Humam Development Index

Humam Development Index

• The Human Development Index (HDI) is published annually by the UNDP
• The Human Development Index (HDI) is a composite statistic used to rank countries by level of “human development” and separate developed (high development), developing (middle development), and underdeveloped (low development) countries.
• HDI is a composite index combining indicators representing three dimensions –

1. Longevity (life expectancy at birth)
2. Knowledge (expected years of schooling (Earlier Adult literacy rate) and mean years of schooling, i.e. Gross enrolment ratio)
3. Income  GNI per capita (Earlier it was real GDP per capita in purchasing power parity in US dollars)

 Goalpost 

 Calculation of each dimension index: 

• Actual value – Minimum value/Maximum value – Minimum value
• HDI is Geometric mean of 3 dimension indices =  Ilife1/3 * I education 1/3* Iincome1/3

 According to HDI countries are divided –

• The UNDP classifies each country into one of three development groups:
• Ranges from 0-1

1. Low human development for HDI scores between 0.0 and 0.5,
2. Medium human development for HDI scores between 0.5 and 0.8
3. High human development for HDI scores between 0.8 and 1.0.

•  As for the year 2016, HDI for India stood at 0.624.
• Ranked 131