Human Development Index | Geography Optional for UPSC (Notes) PDF Download

Human Development Approach

• The Human Development Approach (HDA) emerged in the late 1980s as a more comprehensive way to measure a country's welfare beyond just economic growth or per capita gross domestic product (GDP). Created by Dr. Amartya Sen and Dr. Mahbub ul Haq, this approach places people at the heart of the development process, considering economic growth and wealth as means to achieving development rather than the end goal.
• In essence, the HDA aims to improve human lives by not only increasing income but also expanding the various aspects of a person's life, such as health, nutrition, education, and community involvement. This perspective views development as a process of removing barriers that prevent individuals from achieving their full potential, such as poverty, illiteracy, poor health, limited access to resources, and lack of civil and political freedoms.
• The first Human Development Report defined human development as a process of enhancing people's choices. Leading a long, healthy life, receiving an education, and enjoying a decent standard of living were identified as the top three essential choices. Further choices include political freedom, guaranteed human rights, and self-respect.

Human Development Index

• A long and healthy life
• Knowledge and education
• A decent standard of living

To calculate the HDI, the geometric mean of normalized indices for each of these three dimensions is used. Life expectancy at birth is used to assess the health dimension, with a minimum value of 20 years and a maximum value of 85 years. The education component is measured by the average years of schooling for adults aged 25 and older and the expected years of schooling for children at school-entry age. The standard of living dimension is evaluated using the gross national income per capita.
Countries are then classified into four categories based on their HDI score:

• Very high human development (HDI 0.900 and above)
• High human development (HDI 0.800 – 0.899)
• Medium human development (HDI 0.500 – 0.799)
• Low human development (HDI below 0.500)

India, for example, falls into the medium human development category.

The Inequality-adjusted Human Development Index (IHDI) takes into account not only the average achievements of a country in health, education, and income but also how these achievements are distributed among its citizens. By considering the level of inequality in each dimension, the IHDI calculates the percentage loss in HDI due to inequality. In other words, the IHDI provides a more comprehensive understanding of a country's progress by accounting for the disparities among its population.

The Inequality-adjusted Human Development Index (IHDI) is a measurement that takes into account the average level of human development while also considering how these achievements are distributed amongst a population. This means that two countries with varying distributions of accomplishments can still have the same average HDI value. When there is perfect equality, the IHDI and HDI values are the same; however, the IHDI decreases as inequality increases. The gap between the IHDI and HDI represents the cost of inequality in terms of human development, or the overall loss to human development caused by inequality. By understanding the IHDI, we can better address inequalities in various aspects of life and work towards reducing them, thus improving overall human development.
The Gender Inequality Index (GII) is another measurement that specifically assesses gender-based inequalities in human development. It evaluates disparities in three crucial areas:

• Reproductive health, which is determined by the maternal mortality ratio and adolescent birth rates.
• Empowerment, which is gauged by the percentage of women holding parliamentary seats and the proportion of adult women and men (aged 25 years and older) who have received at least some secondary education.
• Economic status, which is reflected in the labor market participation and measured by the labor force participation rate of women and men aged 15 years and older.

In summary, both the IHDI and GII provide valuable insights into inequalities within societies, helping to inform policies and actions aimed at reducing these disparities and ultimately improving overall human development.

The GII sheds new light on the position of women in 162 countries; it yields insights in gender gaps in major areas of human development.
The component indicators highlight areas in need of critical policy intervention and it stimulates proactive thinking and public policy to overcome systematic disadvantages of women.
It measures the human development costs of gender inequality. Thus, the higher the GII value the more disparities between females and males.

Gender Development Index (GDI)

• The Gender Development Index (GDI) is a tool used to assess the differences in human development between men and women. It focuses on three key areas of human development: health, education, and living standards, using the same indicators as the Human Development Index (HDI).
• In terms of health, the GDI examines the life expectancy at birth for both males and females. For education, it considers the expected years of schooling for boys and girls, as well as the average years of schooling completed by men and women aged 25 and older. By comparing these indicators, the GDI highlights the gender disparities in human development achievements and helps to promote gender equality.
  

Multidimensional Poverty Index (MPI)

• The Multidimensional Poverty Index (MPI) is a comprehensive measure of poverty that was first introduced in 2010. It goes beyond traditional monetary measures of poverty by taking into account the overlapping deprivations that people in developing countries experience in their health, education, and standard of living.
• The MPI identifies deprivations across the same three dimensions as the Human Development Index (HDI) and calculates the number of people who are considered multidimensionally poor. This is determined by assessing the deprivations they face in 33% of weighted indicators. The Index also reveals the number of deprivations that each poor household typically deals with.

• The MPI is a valuable tool for policymakers as it can be broken down by region, ethnicity, and other groups, as well as by dimensions. This allows for the effective allocation of resources by targeting those with the highest intensity of poverty. The MPI helps address the Millennium Development Goals (MDGs) strategically and enables the monitoring of the impacts of policy interventions.
• The MPI can be adapted to national levels using region or country-specific indicators and weights. This makes it suitable for adoption in national poverty eradication programs and allows for the analysis of changes over time.
• Developed by the Oxford Poverty & Human Development Initiative (OPHI) and the United Nations Development Programme, the Global Multidimensional Poverty Index (MPI) uses various factors to determine poverty beyond income-based metrics. The global MPI replaced the previous Human Poverty Index and is released annually by OPHI, with results published on its website.

Human Development Report 2020

• The 2020 Human Development Report revealed that India ranked 131 out of 189 countries on the Human Development Index (HDI) for 2019, dropping two spots from the previous year. The report, released by the United Nations Development Program (UNDP), introduced a new planetary pressures-adjusted Human Development Index, which considers each country's carbon dioxide emissions and material footprint per capita. If this adjusted index were applied, India would rise eight places in the rankings.
• Norway topped the index, followed by Ireland, Switzerland, Hong Kong, and Iceland. Among India's neighbors, Bhutan ranked 129, Bangladesh 133, Nepal 142, and Pakistan 154. In Asia, Singapore (11), Saudi Arabia (40), and Malaysia (62) were in the top tier of countries with "very high human development." Sri Lanka (72), Thailand (79), China (85), Indonesia (107), the Philippines (107), and Vietnam (117) were classified as "high human development" countries.
• The report also highlighted that no country could achieve high levels of development without over-consuming natural resources. Other indices in the report included the Inequality-adjusted Human Development Index (IHDI), which showed a 16.8% overall loss for India in 2019, and the Gender Development Index (GDI), where India scored 0.820 compared to the global average of 0.943. The Gender Inequality Index (GII) ranked India 123rd, down from 122nd in the previous year, and the Multidimensional Poverty Index (MPI) revealed that 27.9% of India's population was multidimensionally poor, with an additional 19.3% classified as vulnerable to multidimensional poverty.

Human Development Report 2019

• The 2019 Human Development Index (HDI) ranked India 129 out of 189 countries, showing an improvement from its 130th position in 2018. The report focused on 'Inequality in Human Development'. The top three positions were held by Norway, Switzerland, and Ireland, respectively. Germany and Hong Kong shared the fourth position, while Australia was ranked fifth.
• Among India's neighbors, Sri Lanka (71) and China (85) ranked higher, while Bhutan (134), Bangladesh (135), Myanmar (145), Nepal (147), Pakistan (152), and Afghanistan (170) ranked lower. In terms of regional performance, South Asia experienced the fastest growth in human development progress with a 46% increase between 1990 and 2018. It was followed by East Asia and the Pacific, which saw a 43% growth.
• India's HDI value rose by 50% (from 0.431 to 0.647), positioning it above the average for other South Asian countries (0.642). Between 1990 and 2018, life expectancy at birth in India increased by 11.6 years, mean years of schooling increased by 3.5 years, and expected years of schooling increased by 4.7 years. Additionally, per capita incomes increased by over 250%.

Conclusion

Frequently Asked Questions (FAQs) of Human Development Index

What is the Human Development Approach (HDA)?

The HDA is a comprehensive way to measure a country's welfare beyond just economic growth or per capita GDP. It places people at the heart of the development process, focusing on improving human lives through aspects such as health, nutrition, education, and community involvement.

What is the Human Development Index (HDI)?

The HDI is a measurement published by the United Nations Development Programme (UNDP) that evaluates the average achievements in three primary areas of human development: a long and healthy life, knowledge and education, and a decent standard of living.

What is the Inequality-adjusted Human Development Index (IHDI)?

The IHDI is a measurement that takes into account both the average level of human development and how these achievements are distributed amongst a population. It calculates the percentage loss in HDI due to inequality, providing a more comprehensive understanding of a country's progress.

What is the difference between the Gender Development Index (GDI) and the Gender Inequality Index (GII)?

The GDI assesses the differences in human development between men and women, focusing on health, education, and living standards. The GII, on the other hand, specifically evaluates gender-based inequalities in three crucial areas: reproductive health, empowerment, and economic status.

How has India performed in the Human Development Report 2020?

India ranked 131 among 189 countries on the HDI for 2019, slipping two places from the previous year. However, if the Index were adjusted to assess the planetary pressures caused by each nation's development, India would move up eight places in the ranking.