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The Human Development Index And The Inequality Human Development Index

674 words - 3 pages

The Human Development Index and the Inequality Human Development Index
Human development is defined as the process of enlarging people’s freedoms and opportunities and improving their well-being. 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 1970s, and later as minister of finance in his own country, Pakistan, Dr. Haq argued that existing measures of human progress failed to account for the true purpose of development—to improve people’s lives. In particular, he believed that the commonly used measure of Gross Domestic ...view middle of the document...

The IHDI will be equal to the HDI when there is no inequality in the distribution of achievement across people in society, but falls below the HDI as
inequality rises. The loss in potential human development due to inequality is the difference
between the HDI and IHDI, expressed as a percentage. In the 2013 United Nations Development Report the United States ranked number three on the HDI but number sixteen on the IHDI. Why was the effect of inequality was so striking in the United States?
In high income countries, there are many countries in which the years of schooling that adults already have wouldn't vary that dramatically among, region, among gender, or ethnic minorities. In the United States, the opposite is true. All those variables have a huge effect. The average years of schooling that adults over 25 have in greater Boston as opposed to that in the Mississippi delta is going to be really different. The level of disparity is very unusual among high-income countries. The...

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