The very first Human Development Report, published in 1990, pioneered a new approach to improving human well-being. Human development – or the human development approach – is concerned with increasing the richness of human life instead of simply the richness of the economy in which humans live. It is a people-centred approach that focuses on the opportunities that are available.
Human evolution focuses on improving people’s lives instead of presuming that income activity will automatically lead to greater happiness for all. Income growth is regarded as a means to an end instead of a finish in itself.
There are four human development approaches. These are-
Income Approach
The income approach to human development is one of the oldest approaches. The income approach is built around the belief that development is linked to income. Therefore, the level of income a person has influences their level of freedom.
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Welfare Approach
The welfare approach to human development considers human beings as the beneficiaries and not development participants. The welfare approach to development argues for higher government expenditure in the following sectors- health, education, and amenities. Under the welfare approach, the government is solely responsible for increasing the standard of living and promoting development by increasing expenditure on welfare.
Basic Needs Approach
The basic needs approach to human development was proposed by the International Labour Organisation. The six necessities identified under this approach are- housing, water supply, sanitation, health, food, and education. The basic needs approach emphasises the six sectors as mentioned earlier and ignores the question of human choices.
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Capability Approach
The capability approach to human development is associated with acclaimed Indian economist Amartya Sen. Under the capability approach, the key to human development is building human capabilities in education, health, and accessibility of resources.
Measuring Human Development
- The Human Development Index was created by economist Mahbub ul Haqq. The index ranks countries into four tiers of human development based on the life expectancy index, education index, and income index
- The United Nations Development Programme, in 2010, started using a new method to calculate Human Development Index. The three indices used to calculate HDI are- Life expectancy index, the Education Index (means the years of schooling and expected years of schooling), and the income index
- Human Development Report in 2011 propounded that environmental degradation and climate change will exacerbate societal inequalities
- Each of the dimensions, as mentioned above, is given a 1/3rd weightage
- The countries are ranked based on a score which is given between 0 to 1. For example, country A scores 0.98, and country B scores 0.75. Therefore, country A will be ranked higher because the score is closer to 1
Human Poverty Index
- The Human Poverty Index was introduced in 1997
- The Human Poverty index measures three components of deprivation in a country. These are- life expectancy (longevity), adult literacy rate, and standard of living
- There are two separate indices under the Human Poverty Index. These are HPI-1, which measures poverty in developing countries, and HPI-2, which measures poverty in OECD (Organisation for Economic Co-operation and Development) countries
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International Comparisons
- It can be observed that the size and per capita income of a country don’t relate to human development
- Often smaller countries are ranked higher than richer countries in the case of human development
- International comparisons are a human development indicator that assesses a country’s growth and development in relation to other countries
Levels of Human Development Approaches
There are three levels of human development. Countries are divided into high-level development groups, medium-level development groups, and lower-level development groups.
High-level Development Groups
- Countries that rank high in the Human Development Index belong to this development group
- These countries are ranked higher because they have invested in priority sectors like education and healthcare. And developing social sector infrastructure is an important priority for the governments of these countries
- There is a notably higher investment in providing good governance to people
- Examples of such countries are- Norway, Ireland, Iceland, Switzerland, Germany, and Sweden
Medium Development Groups
- There are at least 40 countries at the medium level of human development
- Most of these countries were formed after the Second World War. Many of these countries were either colonised or were formed after the Soviet Union dissolved
- These countries rank higher in the HDI when it comes to social diversity
- Many of the countries in this development group have struggled with socio-political and economic instability
- Examples of medium-level development groups are- Brazil, Mexico, India, Tunisia, Vietnam, and Morocco
Lower Development Groups
- Forty countries are part of the lower-level development group
- These are smaller countries that are going through socio-political instability. Many of these countries are either in the middle of a civil war, famine, or drought
- Examples of lower-level development groups are- Sudan, Liberia, Afghanistan, Syria, and Pakistan
Human development refers to development that is focused on people and expanding their opportunities. There are four distinct human development approaches the income approach, welfare approach, capability approach, and basic needs approach. And when it comes to measuring human development, the Human Poverty Index and the human development index are the most commonly used indices.
Conclusion:
The term “development” refers to a societally planned and desired process. Planning is a necessary part of development. Development is based on values. It has several dimensions such as social, economic, and cultural. It denotes the manner in which a planned change is implemented. Human development has been discussed in policy circles and in public debate. The annual Human Development Report produced by the United Nations Development Programme has been one means of communication. The first report was issued in 1990, and subsequent issues have attempted to apply the human development perspective to a variety of issues.