Yet, two more revisions to the Human Development Index

The Inequality-adjusted Human Development Index (IHDI) was adopted in the 20th anniversary edition of the Human Development Reports, in 2010. In using a penalty set-up for the calculations of the IHDI, however, the results overestimated the adjustments. This article suggests a revision to the proced...

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Bibliographic Details
Main Author: Beja, Edsel L, Jr
Format: text
Published: Archīum Ateneo 2013
Subjects:
Online Access:https://archium.ateneo.edu/economics-faculty-pubs/123
https://www.tandfonline.com/doi/abs/10.1080/07360932.2013.833129
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Institution: Ateneo De Manila University
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Summary:The Inequality-adjusted Human Development Index (IHDI) was adopted in the 20th anniversary edition of the Human Development Reports, in 2010. In using a penalty set-up for the calculations of the IHDI, however, the results overestimated the adjustments. This article suggests a revision to the procedure in order to harmonize the calculations with the underlying attainment set-up of the Human Development Index and minimize the bias in the adjustments. This article also suggests an extension to the IHDI, specifically the inclusion of a subjective measure of inequality in the calculation of the IHDI.