Previous Year Question
The Human Development Index (HDI) was first developed by which of the following?
UNDP
IMF
UNICEF
UNCTAD
Correct Answer: A
Detailed Solution
The Human Development Index (HDI) was introduced for the first time in the Human Development Report 1990. Its purpose was to assess development through broader dimensions of human well-being, rather than measuring it merely through an increase in national income or GDP.
The basic idea behind the HDI was that the real objective of development should be the expansion of people's choices and capabilities. Therefore, the development of a country cannot be determined only by the size of its economy.
Mahbub ul Haq played the central role in the conceptual development of the HDI. Amartya Sen's capability approach also provided an important intellectual foundation for its framework.
The present HDI measures three basic dimensions—
1. Health — Long and Healthy Life
It is measured through Life Expectancy at Birth.
2. Education — Knowledge
It is measured through Mean Years of Schooling and Expected Years of Schooling.
3. Standard of Living — Decent Standard of Living
It is measured through GNI per capita (PPP).
The HDI is calculated by taking the geometric mean of these three dimension indices, and its value generally ranges from 0 to 1.
An important distinction should be remembered—
Institution that introduced the HDI through the first Human Development Report → UNDP
Principal conceptual architect of the HDI → Mahbub ul Haq