Limitations of the HDI

Geography glossary

Topic: Human Development: Concept, Approaches and Measurement · NCERT: Class 12, Ch 3 "Human Development"

Meaning

The HDI measures a country's average attainment in health, education and income. But it says nothing about how that attainment is shared among people. So a high average can hide deep inequality, and the index is not fully reliable by itself. Other criticisms are that national averages hide regional gaps, the goalposts (the fixed minimum and maximum values used to scale each dimension) are arbitrary, and there is no dimension for human rights or security. To fill these gaps, the UNDP added the inequality-adjusted HDI (IHDI) and gender indices in 2010.

Example

India's national HDI hides a sharp regional gap. Kerala, Goa and Himachal Pradesh rank high, while Bihar, Uttar Pradesh and Jharkhand rank low. When inequality is taken into account, India loses about a third of its HDI score.

Don't confuse with

  • Inequality-adjusted HDI: the HDI shows average achievement only. The IHDI lowers each dimension according to how unequally it is shared.

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