A reassessment of the human development index via data envelopment analysis
D K Despotis ()
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D K Despotis: University of Piraeus
Journal of the Operational Research Society, 2005, vol. 56, issue 8, 969-980
Abstract:
Abstract To consider different aspects of life when measuring human development, the United Nations Development Program introduced the Human Development Index (HDI). The HDI is a composite index of socioeconomic indicators that reflect three major dimensions of human development: longevity, knowledge and standard of living. In this paper, the assessment of the HDI is reconsidered in the light of data envelopment analysis (DEA). Instead of a simple rank of the countries, human development is benchmarked on the basis of empirical observations of best practice countries. First, on the same line as HDI, we develop a DEA-like model to assess the relative performance of the countries in human development. Then we extend our calculations with a post-DEA model to derive global estimates of a new development index by using common weights for the socioeconomic indicators. Finally, we introduce the transformation paradigm in the assessment of human development. We develop a DEA model to estimate the relative efficiency of the countries in converting income to knowledge and life opportunities.
Keywords: human development index; data envelopment analysis; development (search for similar items in EconPapers)
Date: 2005
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Citations: View citations in EconPapers (134)
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Persistent link: https://EconPapers.repec.org/RePEc:pal:jorsoc:v:56:y:2005:i:8:d:10.1057_palgrave.jors.2601927
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DOI: 10.1057/palgrave.jors.2601927
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