Why in the news?
United Nations Development Programme (UNDP)released the Human Development Report (HDR) 2023-2024 titled "Breaking the Gridlock: Reimagining cooperation in a polarised world".
About HDR
- Released by: United Nations Development Programme (UNDP) annually since 1990.
- Objective: Examines major global challenges that affect human development and suggest recommendations.
- Human Development Index (HDI): HDI published since 1990, is the core of the HDR.
Human Development Index (HDI)
- About: It's statistical measure used to quantify a country's achievement in 3 basic dimensions of human development - Long and healthy life, Knowledge, and a decent standard of living.
- How HDI value is calculated?
- HDI value is determined by aggregating the country's scores in 4 indicators and these indicators are compiled into a single number between 0 and 1.0 based on dimension indices. (Refer Infographic)
- Developed by: Pakistani economist Mahbub ul-Haq.
- Significance: It can be used to examine the various policy choices of nations.
- For example, if two countries have approximately the same GNI per capita, then the HDI can help to evaluate why they produce widely disparate human development outcomes.
- Limitations: The HDI captures only part of what human development entails. It does not reflect on inequalities, poverty, human security, empowerment, etc.
- Thus, HDR provides additional composite indices to evaluate other life aspects, including inequality issues such as gender disparity or racial inequality.
Key Findings about India
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Global Findings
- Human Development Index (HDI): A total of 193 countries were ranked in 2022 of which Switzerland ranked first, followed by Norway and Iceland.
- Uneven Recovery: Rich countries are experiencing record levels of human development, while half of the world's poorest countries remain below their pre-crisis level.
- Economic Concentration: Almost 40 % of global trade in goods is concentrated in three or fewer countries.
- Widening Human Development Gap: The two-decade trend of steadily reducing inequalities between wealthy and poor nations is now in reverse.
- Rise in Trend of Democracy Paradox: This paradox, coupled with a sense of powerlessness and a lack of control over government decisions, has fuelled political polarization and inward-looking policy approaches.
- Democracy Paradox means where the population thinks positively about democracy but supports leaders who undermine democracy.
Other major indices measuring human development
Index | Measures | India's Performance |
Gender Inequality Index (GII)
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Multidimensional Poverty Index (MPI) |
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Gender Development Index (GDI) |
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Inequality-adjusted Human Development Index (IHDI) |
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Planetary pressures-adjusted Human Development Index |
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