Development Indicators

TITTLE: An essay on development indicators describing the following indicators that may be

used to explain levels of development within countries:
(a). (b). (c). Gross National Product (GNP) Child (Under- five) Mortality Rate Human Development Index (HDI)

TABLE OF CONTENTS 1. Introduction 2. Defining Development Indicators 3. Gross National Product 3.1 Advantages of GNP 3.2 Disadvantages of GNP 4. Child (under - Five) Mortality 4.1 Advantages of child (under-five) Mortality 4.2 Disadvantages of child (under-five) Mortality 5. Human Development Index 5.1 Advantages of HDI 5.2 Disadvantages of HDI 6. Most suitable Development Indicator 7. Conclusion 8. List of References 1 1 1 1 1 1 2 2 2 2 2 2 3 3

1. Introduction Progress or levels of development within countries can be measured using development indicators. I will explain what development indicators are and describe Gross National Product (GNP), Child (under – five) Mortality Rate, and Human Development Index (HDI). I consider HDI as the most suitable indicator for measuring development within developing countries. 2. Defining Development Indicators. Development Indicators are the various scientific methods used to measure the progress or levels of development within countries. Gross National Product (GNP) for example, is an indicator used for measuring the economic progress of a country. A high GNP indicates a high standard of living. Development indicators show or suggest areas where more development efforts are required. They are also used to compare the levels of development of different countries in order to distinguish between the less developed and the more developed countries. Cornwell and De Beer (2010:34) points out that they are called indicators because they all indicate or show what the situation is like. 3. Gross National Product 3.1 Advantages of Gross National Product (GNP) is straight forward and easy to measure and understand as an indicator. It is useful for making economics of

References: 1 1 1 1 1 1 2 2 2 2 2 2 3 3 1. Introduction Progress or levels of development within countries can be measured using development indicators. I will explain what development indicators are and describe Gross National Product (GNP), Child (under – five) Mortality Rate, and Human Development Index (HDI). I consider HDI as the most suitable indicator for measuring development within developing countries. 2. Defining Development Indicators. Development Indicators are the various scientific methods used to measure the progress or levels of development within countries. Gross National Product (GNP) for example, is an indicator used for measuring the economic progress of a country. A high GNP indicates a high standard of living. Development indicators show or suggest areas where more development efforts are required. They are also used to compare the levels of development of different countries in order to distinguish between the less developed and the more developed countries. Cornwell and De Beer (2010:34) points out that they are called indicators because they all indicate or show what the situation is like. 3. Gross National Product 3.1 Advantages of Gross National Product (GNP) is straight forward and easy to measure and understand as an indicator. It is useful for making economics of different countries. GNP is used by the World Bank to classify countries as low, lower, middle, upper middle, upper income countries which gives more clarity than to just refer to countries as developed / developing or North/South. 3.2 Disadvantages of GNP One major weakness of GNP as an indicator is that it says nothing much about the socio – cultural and political aspects of development. Development is about people and their needs first. GNP however does not show the inequalities within countries. Moreover, GNP does not include those forms of production that are not accounted for like subsistence agriculture. 4. Child (under-five) Mortality Rate. This is the number of children who die before their fifth birthday. It is expressed as a rater per 1,000 live births. Child (under-five) mortality measures survival which shows the mother and child health care. Reduction of child (under-five) mortality rate is the fourth in the UNDP millennium development goals. 1. 4.1 Advantages of Child (under-five) Mortality. It indicates the well-being of mother and child. As an indicator, it focuses on the basic needs approach to development and can be used to measure societal progress and well-being. 4.2 Disadvantages of Child (under-five) Mortality A major limitation of child (under-five) mortality rate is that some countries still have difficulties in recording and processing data accurately. Again, data recording is also subject to human error. 5. Human Development Index (HDI). HDI is a set of indicators developed to measure levels of development not only by economic progress but also the quality of life. It is a comparative measure of human progress and quality of life based on life expectancy (the average age of which people die), education (literacy) and income (standard) of living measured by GDP per capita. 5.1 Advantages of HDI HDI provides a broad based measure of human progress by measuring three dimensions of human development, life expectancy, education and having a basic standard of living. HDI is linked with the views of development because it focuses on people and their needs. HDI is used by UNDP to categories the world into high, medium and low development which is friendlier than categorizing the world into Third World / First World, ‘North/South’ Divide. 5.2 Disadvantages of HDI One limitation of HDI is that it does not show the internal inequalities in welfare within countries. Another limitation is that there is no automatic link between income and human development. 6. Most Suitable Development Indicator HDI is the most suitable indicator for explaining the levels of development within developing countries because it gives a better picture of levels of development in that it includes both social and economic aspects. It focuses on peoples quality of life.. It is a broad based view of development than measures of wealth. Life expectancy is a reflection of the well- being and health care within countries while education (literacy) gives more opportunity to people which are a key factor in poverty reduction. 2. 7. Conclusion. Gross National Product (GNP), child (under-five) Mortality Rate, and Human Development Index (HDI) are indicators that may be used to explain levels of development within countries especially developing countries. HDI however, embraces a broad based measure of development and as suxch I consider it the most suitable indicator to measure levels of development. LIST OF REFERENCES 1. Cornwell, L & De Beer, F 2010 Only Study Guide for DVA1501. Pretoria. University of South Africa. 2. Mojapelo-Batka, 2010.Only Study Guide for PYC1502. Pretoria: University of South Africa. 3. Regan, C (ed). 80:20 Developments in an unequal world. Birmingham. Educating now and acting for a better world, 2006. 4. UNDP 1990. Human Development Report. Available at: http:\hdr-undp.org (