what is the importance of human development index
Dear Student,
Answer to your question is as follows :
Following are the points that indicate the significance of the HDI.
1. It is multidimensional as it includes indicators such as literacy rate, enrolment ratio, life expectancy rate, infant mortality rate, etc.
2. It acts as a true yardstick to measure development in real sense. Unlike per capita income, which only indicates that a rise in the per capita income implies economic development, HDI considers many other vital social indicators and helps in measuring a nation's well-being.
3. It helps as a differentiating factor to distinguish and classify different nations on the basis of their HDI ranks.
Regards