Introduction to Economics 2 Deneme Sınavı Sorusu #754722
Which of the following criticisms against the use of HDI is arbitrary?
The HDI index does not distinguish between different rates of development within a country such as between urban and traditional rural communities. |
Giving equal weight to the three main components. |
Development is largely about freedom, but the index does not directly measure this. |
It uses GDP per capita, but there is no indication of the distribution of income in the country. |
The HDI excludes many aspects of economic and social life that could be regarded as contributing to or constraining development, such as crime, corruption, poverty, deprivation, and negative externalities. |
There are a number of criticisms against the use of HDI to represent the economic development, including:
- The HDI index does not distinguish between different rates of development within a country such as between urban and traditional rural communities.
- Giving equal weight to the three main components is rather arbitrary.
- Development is largely about freedom, but the index does not directly measure this.
- It uses GDP per capita, but there is no indication of the distribution of income in the country.
- The HDI excludes many aspects of economic and social life that could be regarded as contributing to or constraining development, such as crime, corruption, poverty, deprivation, and negative externalities.
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