The Human Development Index (HDI)

Paper Summary:

This paper explains that the Human Development Index (HDI) presumes that in a hypothetical ideal situation everyone would have the opportunity to make choices about the essential issues in their lives. The author points out that HDI is a helpful calculation method because it uses specific indicators of a nation's various developmental factors to create a more generalized index, thus simplifying a very complex reality. The paper relates finding of the application of the HDI such as investment in human capabilities is a never-ending process and it is not obvious that the payoff, in monetary terms at least, is greater when levels of development are low. Chart.

From the Paper:

"This ideal state is assigned a value of one and the various countries' levels are calculated accordingly on a zero to one scale. This emphasis on empowerment is important to this thesis since it addresses the question of independence versus dependence. For example, in an ideal case everyone in the world would have the opportunity to use the Internet, because they would have the adequate educational background, pleasant environment without major factors threatening their lives and living conditions, and the economic resources to take advantage of network services. HDI indicates the distance countries have to travel to reach such equal and independent possibilities in reality."

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