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Review of HDI Critiques and Potential Improvements

Author

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  • Milorad Kovacevic

    (Human Development Report Office, UNDP)

Abstract

This paper reviews critiques of the Human Development Report over the last twenty years. The critiques are mostly related to the choice of indicators, to high correlation of HDI components, functional form of the HDI including normalization of component indicators, aggregation vs. multiplication, and issues related to weighting. A thorough analysis of the critiques leads us to a proposal for modification of the HDI.

Suggested Citation

  • Milorad Kovacevic, 2010. "Review of HDI Critiques and Potential Improvements," Human Development Research Papers (2009 to present) HDRP-2010-33, Human Development Report Office (HDRO), United Nations Development Programme (UNDP).
    • Handle: RePEc:hdr:papers:hdrp-2010-33
    as

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    File URL: http://hdr.undp.org/en/reports/global/hdr2010/papers/HDRP_2010_33.pdf
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    References listed on IDEAS

    as
    1. Barro, Robert J. & Lee, Jong Wha, 2013. "A new data set of educational attainment in the world, 1950–2010," Journal of Development Economics, Elsevier, vol. 104(C), pages 184-198.
    2. Lant Pritchett & Lawrence H. Summers, 1996. "Wealthier is Healthier," Journal of Human Resources, University of Wisconsin Press, vol. 31(4), pages 841-868.
    3. Sardar Islam & Matthew Clarke, 2002. "The Relationship between Economic Development and Social Welfare: A New Adjusted GDP Measure of Welfare," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 57(2), pages 201-229, February.
    4. Zhou, P. & Ang, B.W. & Poh, K.L., 2007. "A mathematical programming approach to constructing composite indicators," Ecological Economics, Elsevier, vol. 62(2), pages 291-297, April.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Composite index; well-being; marginal substitutability; equal weighting; aggregation;
    All these keywords.

    JEL classification:

    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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