Human Development Index

Chapter 9 section 1

Terms/Concepts

• Development• More Developed Country (MDC)• Less Developed Country (LDC)• Human Development Index (HDI)• The Inequality-adjusted HDI (HDI)• Gross National Income (GNI)• Gender Inequality Index (GII)

Human Development Index

• Countries are classified as Developed or Developing– The Human Development Index (HDI) is

used to measure a country’s level of development- the process of improving the material conditions of people through diffusion of knowledge and technology

• Developed Country- a country that has progressed far along a continuum of development

• Developing country- a country that is in a relatively early stage of economic development

• Human Development Index (HDI)- Indicator of level of development for each country, constructed by the United Nations. Includes:– Income– Literacy– Education– Life Expectancy

Inequality-Adjusted HDI

• Inequality-adjusted HDI (IHDI)- modifies the HDI to account for inequality–When there is perfect equality the HDI

should equal the IHDI– The greater the differences between the

wealthy and the poor the greater the IHDI

Characteristics of Developed Countries

• More years of schooling• Lower pupil/teacher ratios and higher

literacy• People live longer and are healthier• Spend more on healthcare• Higher Gross Nation Income (GNI)- the

value of the output of goods and services produced in a country in a year, including money that leaves and enters the country

The Role of Gender

• The status of women is lower than men in every country

• Gender Inequality Index (GII)- the measure of inequality between men and women– Lowering the inequality index typically

means more economic development

Terms/Concepts

• Development• More Developed Country (MDC)• Less Developed Country (LDC)• Human Development Index (HDI)• The Inequality-adjusted HDI (HDI)• Gross National Income (GNI)• Gender Inequality Index (GII)