Parameters of economics development

Question 1

What are the two indicators of economics development?

Answer 1

Per Capita Index and Human development index

Question 2

Who devised HDI and what is its basic proposition?

Answer 2

The UNDP. Economic development is not only measured by national income but by other aspects of human development like life expectancy, literacy, political freedom, etc.

Question 3

What is human development?

Answer 3

HD is the widening of peoples choices while raising the level of well being achieved.

Question 4

Name the three dimensions of HD and how they’re measured.

Answer 4

1. A long and healthy life - life expectancy at birth
2. The ability to acquire knowledge - a combination of mean years of schooling and expected years of schooling
3. Decent standard of living - country’s GDP

Question 5

Name the three indicators/indices of HD

Answer 5

Life expectancy index LEI, Education attainment index EAI, Adjusted gross domestic product index AGDPI

Question 6

How is the progress in each indicator measured? Write the formula.

Answer 6

the relative distance from a desirable goal (maximum or minimum expected values for each indicator.)
Index = actual value - minimum value / maximum value - minimum value

Question 7

What are the value for very high, high, medium and low HD?

Answer 7

0.800 or more, more than 0.700, 0.500 to 0.699, less than 0.500

Question 8

What is India’s HDI and rank?

Answer 8

0.647, 129