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Towards a sustainable Human Development Index (HDI) - Wikiprogress.org

Towards a sustainable Human Development Index (HDI)


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This is an article by Geurt van de Kerk from the Sustainable Society Foundation and these are his personal views. The Human Development Report Office (HDRO) is working on a sustainable Human Development Index (S-HDI). In that respect a number of consultations with experts from all over the world are being held. On 28-29 January 2013, a HDRO workshop was held in Paris, to discuss whether and how to include the issue of sustainability into the HDI. Various possibilities have been suggested. I would like very briefly to share with you some considerations on this subject.

1. Human Development Index and sustainability


The world-wide mostly used definition of sustainability is the one proposed by the Brundtland Commission. This definition can be extended with a third sentence to avoid any possible misunderstanding whether all three wellbeing dimensions are included or not: A sustainable society is a society that meets the needs of the present generation, that does not compromise the ability of future generations to meet their own needs, in which each human being has the opportunity to develop itself in freedom, within a well-balanced society and in harmony with its surroundings. HDI measures the level of development towards HW[1] of today. In view of the Brundtland definition, there can be no discussion about the necessity of both intra- and intergenerational solidarity/equity of HW around the globe and across the years. The concept of Human rights leads to the same conclusion. In order to ensure the possibility of (a reasonable level of) HW in the near and distant future, one has also to ensure a reasonable level of EW. So next to the measurement of HW, the measurement of EW is required. Since the achievement of HW and EW requires a reasonable level of EcW, the latter has to be measured also. Thus the two goals, Human Wellbeing and Environmental Wellbeing, are to be measured as well as Economic Wellbeing, the latter not being a goal in itself, but the precondition to achieve a reasonable level of Human and Environmental Wellbeing.

2. Framework HDI
The current HDI comprises: Life expectancy Education (mean years of schooling, expected years of schooling) Income (Gross National Income per capita, PPP[2]) It has already been suggested to extend the current HDI with: CO2 emissions Water consumption Land area / crop rea Ecological Footprint EF Biodiversity (Red List) Adjusted Net Savings ANS This certainly will not be a complete list. During the workshop other indicators have been mentioned: Inequality (expressed by income distribution) and employment. Other new indicators might very well be suggested on short notice.

3. Clustering
The present as well as the already suggested indicators vary a lot in nature. We can cluster them into the three wellbeing dimensions: HW 1. Education 2. Life expectancy 3. Income distribution EW 1. CO2 2. Water 3. Land area EcW 1. GDP 2. ANS 3. Employment (either part of HW or of EcW)
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4. Employment

4. EF 5. Biodiversity

4. Selection of indicators
Preconditions for the selection of the indicators to be included in the HDI, are: limited number of indicators transparency easy to communicate

5. Calculation formulas
The raw data have to be transformed into indicator scores by calculation formulas. Preconditions are use formulas which are as simple as possible use targets and thresholds, whenever possible. Achieving a target means achieving sustainability: a score of 10 (on a scale of 0 to 10). The use of Thresholds (e.g. CO2 threshold) -+results in penalizing a country which trespasses the target (or threshold) and in rewarding countries that perform better than the target. Example: if the threshold for CO2 emissions is 2 tonnes per capita per year, than the calculation formula F(X) can be: F(X)= (10 X) if 0X10 and F(X)=0 if X>10. Of course other formulas are possible. The choice of a calculation formula often is a subjective choice.

6. Aggregation of indicators
The indicator scores will be aggregated into scores for each of the three wellbeing dimensions, using geometric average and equal weights for each indicator. Geometric average is preferred over arithmetic average since the geometric average allows less compensation between high and low scores and thus is much closer to strong sustainability than arithmetic average. Equal weights can be given to each indicator by lack of sound scientific knowledge which weights should be used for each indicator. It has to be decided whether to also present one overall score for each country, mainly for the sake of ranking and easy communication. However, one will realize that each next step of aggregation causes a further loss of information. This can only be compensated by emphasizing the necessity to always look at the underlying figures as well.

7. Per capita or per country?


The most relevant way of expressing an indicator is value per capita. What does it tell us when we know that the total energy use of Canada and Brazil is about the same? Brazils population size is 6.5 times the size of Canada. While Canada and Brazil have an equal share of the global energy pie, Canadas share per capita is 6.5 times the one of Brazil. Nothing fair in that from the point of view of solidarity and equity.

8. Nine planetary boundaries


Rockstrm et al. (2009) have determined 9 planetary boundaries, three of which have already been transgressed. Some boundaries (like CO2) can be expressed per capita and per country, some can be expressed per capita but not or only with great difficulty and uncertainty per country (like ocean acidification). If the impact of a country on a planetary boundary cannot be determined, this impact cannot be included in the calculation of the indicator scores for each country. Thus these boundaries have to be presented separately.

9. Presentation
The yearly presentation of the results may include: country scores per indicator country scores per wellbeing dimension rankings of countries for each wellbeing dimension possibly scores and ranks of countries of one overall index state of the art of planetary boundaries wherever possible, share of each country of the global pie for each planetary boundary.

10. Concluding suggestions


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1. 2. 3. 4. 5. 6.

Develop HDI into an index which clearly shows HW, EW and EcW. Express all scores per capita. Use geometric average for aggregation Present scores and ranks for each of the three wellbeing dimensions It is a matter of choice whether to aggregate as far as one overall figure for the S-HDI index. Present scores per capita and state of the art of planetary boundaries separately.

See also
Human Development Index Sustainable Society Index

References
1. HW Human Wellbeing, EW Environmental Wellbeing, EcW Economic Wellbeing 2. PPP = Purchasing Power Parity Retrieved from "http://www.wikiprogress.org/index.php/Towards_a_sustainable_Human_Development_Index_(HDI)" Browse by topic About Wikiprogress.org Privacy policy Disclaimers Terms of use

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