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HUMAN DEVELOPMENT REPORT 2001

HUMAN DEVELOPMENT REPORT 2001. An Introduction By A.M.Farahat. CONTENTS. Human Development Human Development Index (HDI) Human Development Report (HDR) Human Development Report 2001 Review of Past Trends Ranking of ESCWA countries Purchasing Power Parity. 1. HUMAN DEVELOPMENT.

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HUMAN DEVELOPMENT REPORT 2001

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  1. HUMAN DEVELOPMENT REPORT2001 An Introduction By A.M.Farahat A.M.Farahat

  2. CONTENTS Human Development Human Development Index (HDI) Human Development Report (HDR) Human Development Report 2001 Review of Past Trends Ranking of ESCWA countries Purchasing Power Parity A.M.Farahat

  3. 1. HUMAN DEVELOPMENT There has always been a quest for a QUANTITATIVE measure of Human Development (HD) for the purposes of : RANKING and, COMPARISONS among countries. A.M.Farahat

  4. 1. HUMAN DEVELOPMENT UNIDIMENSIONAL measures such as per capita income/GDP has several shortcomings. Chief among these are: Exchange rate problems. Price level problems. These were largely solved through the Purchasing Power Parity (PPP) rate of exchange. A.M.Farahat

  5. HUMAN DEVELOPMENTPurchasing Power Parity (PPP) rate of exchange Purchasing Power Parity (PPP) rate of exchange A rate of exchange that accounts for price differences across countries. PPP US$1 has the same purchasing power in the domestic economy as 1 US$ has in the United States. A.M.Farahat

  6. 1. HUMAN DEVELOPMENT However there was still a need for a COMPOSITE MULTI-DIMENSIONAL measure which is more representative of HD. These requirements are largely satisfied in the HDR through computations of the HDI. A.M.Farahat

  7. HUMAN DEVELOPMENTHuman Development Report • Initiated in 1990 by the late Mahboub El Haq (1934-1998). • The purpose is to monitor HDI for the various countries of the UN and rank them accordingly • A report is published annually by UNDP A.M.Farahat

  8. 2. HUMAN DEVELOPMENT INDEX(HDI)Introduction A COMPOSITE measure of human development Measures overall achievement of a COUNTRY in three basic DIMENSIONS. A.M.Farahat

  9. 2. HUMAN DEVELOPMENT INDEX (HDI)Dimensions Longevity Knowledge. Decent standard of living. A.M.Farahat

  10. 2. HUMAN DEVELOPMENT INDEX (HDI)Measures of Dimensions Longevity : Life expectancy index Knowledge : Education attainment index Standard of living : Per capita income index in Purchase Power Parity,US$ HDI is the simple average of the 3 dimensional indices. Uses World Bank PPP exchange rate A.M.Farahat

  11. 2. HUMAN DEVELOPMENT INDEX (HDI)A Multidimensional Composite Index Dimension 1 Dimension 3 Dimension 2 Indicator2.1 Indicator2.2 Indicator1.1 Indicator 3.1 Index 2.1 (0-100) Index 2.2 (0-100) Index 1 (0-100) Index 2 (0-100) Index 3 (0-100)

  12. 2. HUMAN DEVELOPMENT INDEX(HDI) Dimension 1 Dimension 3 Dimension 2 A long and healthy life Knowledge A decent standard of living Indicator2.1 Indicator2.2 Indicator1.1 Indicator 3.1 Life expectation at birth Adult literacy rate Gross enrolment ratio GER GDP per capita (PPP US $) Index 2.1 (0-100) Index 2.2 (0-100) Adult literacy rate Index GER Index Index 1 (0-100) Index 2 (0-100) Index 3 (0-100) Life expectancy Index Education Index GDP Index HDI

  13. 2. HUMAN DEVELOPMENT INDEX (HDI)Supplementary Indices Human poverty index (HPI). HPI1 HPI2 Measures the backlog of deprivation that still in the 3 basic dimensions in developing countries (HPI1) and selected OECD countries (HDI2). Gender-related Development Index (GDI). Measures the inequality in the achievements in the three basic dimensions between men and women. Gender Empowerment Measure (GEM). It exposes inequality in opportunities in selected areas. A.M.Farahat

  14. 3. HUMAN DEVELOPMENT REPORTS (HDR)Structure Each report is roughly made up of: A main body focusing on a HD related theme. A set of tables showing for each country: HDI HPI1, HPI2 GDI GEM Associated indicators A.M.Farahat

  15. 3. HUMAN DEVELOPMENT REPORT (HDR)Themes of Previous Issues 1990: Concept and Measurement of Human Development 1991: Financing Human Development 1992: Global Dimensions of Human Development 1993: People’s Participation 1994: New Dimensions for Human Security 1995: Gender and Human Development 1996: Economic Growth and Human Development 1997: Human Development and Poverty Eradication 1998: Consumption for Human Development 1999: The Humanitarian Aspects of Globalization 2000: Human Rights and Human Development A.M.Farahat

  16. 4. HUMAN DEVELOPMENT REPORT (HDR) 2001Main Features In addition to HDI and related indicators, the report provides: A. Review of past trends B. Theme: Making New Technologies Work for Human Development A.M.Farahat

  17. 4. HUMAN DEVELOPMENT REPORT (HDR) 2001A. Review of Past Trends A.M.Farahat

  18. 4. HUMAN DEVELOPMENT REPORT (HDR) 2001A. Review of Past Trends A.M.Farahat

  19. 4. HUMAN DEVELOPMENT REPORT (HDR) 2001A. Review of Past Trends A.M.Farahat

  20. 4. HUMAN DEVELOPMENT REPORT (HDR) 2001A. Review of Past Trends Progress in the last 30 years has been impressive… A.M.Farahat

  21. 4. HUMAN DEVELOPMENT REPORT (HDR) 2001A. Review of Past Trends ...But the pace of the progress and the levels of achievement vary widely among regions and groups A.M.Farahat

  22. 5. RANKING OF ESCWA COUNTRIES IN HDR 2001 High HD: Bahrain 40 Kuwait 43 United Arab Emirates 45 Qatar 48 Medium HD: Lebanon 65 Saudi Arabia 68 Oman 71 Jordan 88 Syria 97 Low HD: Egypt 105 Yemen 133 Not mentioned: Palestine Iraq A.M.Farahat

  23. THANK YOU A.M.Farahat

  24. 6. PURCHASING POWER PARITY (PPP) A rate of exchange that accounts for price differences across countries. PPP US$1 has the same purchasing power in the domestic economy as 1 US$ has in the United States. A.M.Farahat

  25. 6. PURCHASING POWER PARITY (PPP) PPP data generated by UN International Comparison Programme (IPC). Published by the University of Pensilvania and the World Bank. In spite of its associated reservations, it’s far superior to the available alternative A.M.Farahat

  26. 6. PURCHASING POWER PARITY (PPP) PPP as a rate of conversion ensures that money exchanged for a dollar buys the same amounts of goods and services in every country. By equalizing prices every where, PPP rates deliver a measure of relative GDP which is based on what constitutes real income—the volume of goods and services embodied in GDP. The method is analogous to evaluating quantities of different years at fixed base year prices. A.M.Farahat

  27. 6. PURCHASING POWER PARITY (PPP) There are many methods of computing PPP rates, each yielding different estimates. PPP rates are estimated from survey data by computing price ratios of comparable items and aggregating them by their corresponding weights in GDP. A.M.Farahat

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