Notes on Human Development Index and Nepal | Grade 10 > Social Studies > We Our Community And Nation | KULLABS.COM

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Below is a conversation between a teacher and student on the lesson on Human Development Index (HDI).

Student: What is HDI, miss?

Teacher: Before understanding HDI, we need to know more on Human Development. The development of human health, education, food, housing, skill, etc is overall human development. The index showing the levels of economic, social, educational development of any country is the HDI. This helps to strengthen the alternatives that help a human, society and country in itself. Three factors responsible for human development are per capita income, education, and average age. HDI for any geographical area, people, society, etc can be calculated by taking these three factors into account. HDI is calculated in the range of 0 to 1.

Student: Why is HDI important?

Teacher: HDI is important because:

1. To know the level of Human Development in any area.
2. To know the areas that needs improvement in human development.
3. Improve the human development situation.
4. To make the plans for improvement of human development in any country.

Student: How do we calculate HDI?

Teacher: We need Average Age Index, Education Index, and Per Capita Income Index. The following formulas are updated after 2010 A.D.

1. Average Age Index

Average Age = (Average Age for the subjected country - Minimum Average Age for the World) / (Maximum Average Age for the World - Minimum Average Age for the World)

1. Education Index

Education Index = ((Average Educational Involvement Time for the subjected country) / 15) + (Expected Educational Involvement Time for the subjected country) / 18)) / 2

1. Income Index

Income Index = ((Average Per Capita Income for the subjected country) - (Minimum Per Capita Income for the World)) / ((Maximum Per Capita Income for the World) - (Minimum Per Capita Income for the World))

1. HDI

HDI = √(Average Age Index x Education Index x Per Capita Income Index)

Student: What is Nepal’s HDI?

Teacher: Nepal’s HDI is developing in comparison to the developed countries. Nepal was ranked 157th (HDI 0.463) in 2012 AD, 146th (HDI 0.543) in 2013 AD and 145th (HDI 0.548) in 2015 AD.

HDI for SAARC countries, 2015

 Order Country HDI Order Country HDI 76 Sri Lanka 0.757 142 Bangladesh 0.570 104 Maldives 0.706 145 Nepal 0.548 130 India 0.609 147 Pakistan 0.538 132 Bhutan 0.605 171 Afghanistan 0.465

HDI for the world, 2015

 Highest HDI Countries Lowest HDI Countries Order Country HDI Order Country HDI 1 Norway 0.944 188 Niger 0.348 2 Australia 0.935 187 Central African Republic 0.350 3 Switzerland 0.930 186 Eritrea 0.391 4 Denmark 0.923 185 Chad 0.392 5 Netherlands 0.922 184 Burundi 0.400

1. Which are the countries with highest HDI? What could be the reason for them to have highest HDI?
2. Evaluate the HDI situation for SAARC countries.
3. What could be the challenges for countries with low HDI?
4. What should be done to improve HDI?

• The development of human health, education, food, housing, skill, etc is overall human development.
• The index showing the levels of economic, social, educational development of any country is the HDI.
• HDI is important to know the level of Human Development in any area, to know the areas that needs improvement in human development, and to make the plans for improvement of human development in any country.
• Nepal’s HDI is developing in comparison to the developed countries. Nepal was ranked 157th (HDI 0.463) in 2012 AD, 146th (HDI 0.543) in 2013 AD and 145th (HDI 0.548) in 2015 AD.
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##### Krishna Dhungana

How to calculate Educational indicator?