3. The Human Development Index (HDI) is an indicator created by the
United Nations Development Program (UNDP) in order to determine the
level of development of the countries of the world. It was designed with
the objective of knowing, not only the economic income of people in a
country, but also to assess whether the country provides its citizens with
an environment where they can develop their project and living
conditions better or worse.
4. The dimension of health is evaluated according to life expectancy
at birth, and that of education is measured by the average years
of schooling of adults of 25 years or more and by the expected
years of schooling of children of school age. The standard of
living is measured according to the GNI per capita.
5. 1 - Health: measured according to life expectancy at birth.
2 - Education: measured by the adult literacy rate and the combined
gross enrollment ratio in primary, secondary and higher education, as
well as the years of compulsory education.
3 - Wealth: measured by GDP per capita PPP in international dollars.
6. The IDH index provides values between 0 and 1, with 0 the lowest rating
and 1 the highest. In this regard, UNDP classifies countries into three major
Countries with High Human Development ("High Human
Development"). They have an HDI greater than 0.80.
Countries with Medium Human Development ("Medium Human
Development"). They have an HDI between 0.50 and 0.80.
Countries with Low Human Development ("Low Human Development").
They have an HDI less than 0.50
7. The Gini coefficient is a measure of the inequality devised by the Italian
statistician Corrado Gini. It is usually used to measure income inequality,
within a country, but can be used to measure any form of unequal
distribution. The Gini coefficient is a number between 0 and 1, where 0
corresponds to perfect equality (all have the same income) and where the
value 1 corresponds to the perfect inequality (one person has all the
income and the others none).
8. The Gini index is the Gini coefficient expressed in reference to 100 as a
maximum, instead of 1, and is equal to the Gini coefficient multiplied by
100. A variation of two hundredths of the Gini coefficient (or two units of
the index) equals to a distribution of 7% of wealth from the poorest sector
of the population (below the median) to the richest (above the median)
9. The Gini coefficient is calculated as a proportion of the areas in the Lorenz
curve diagram. If the area between the line of perfect equality and the
Lorenz curve is a, and the area below the Lorenz curve is b, then the Gini
coefficient is a / (a + b).
10. This proportion is expressed as a percentage or numerical equivalent of
that percentage, which is always a number between 0 and 1. The Gini
coefficient is often calculated with the Brown Formula, which is more
G: Gini coefficient
X: Cumulative proportion of the population variable
Y: Accumulated proportion of the variable income
11. In summary, the Lorenz Curve is a graph of cumulative concentration of
the distribution of wealth superimposed on the curve of the frequency
distribution of the individuals who possess it, and its expression in
percentages is the Gini index.
12. It captures the Human Development Index (HDI) of the average person in a society,
which is less than the HDI added when there is inequality in the distribution of
health, education and income. In perfect equality, the IDH and IDHD are the same;
the greater the difference between the two, the greater the inequality. "In that
sense," the IDHD is the real level of human development (taking into account
inequality), while the HDI can be seen as the potential index of human development
that could be reach of not having inequality.
13. The IDHD captures the losses in human development given the inequality in
health, education and income. The losses in the three dimensions vary by
countries, varying from 2.9% (Hong Kong) to 52% (Chad) in life expectancy,
1.3% (Czech Republic) to 49.7% (Yemen) in education and 4.5% (Azerbaijan) to
68.3% (Namibia) in income. The overall loss in the three dimensions ranges
from 5% (Czech Republic) to 43.5% (Namibia). UNDP developed the index of
14. In 2015, the human development index (HDI) in Mexico was 0.762 points,
which is an improvement over 2014, which stood at 0.758. The HDI is an
important indicator of human development that is elaborated every year
by the United Nations. It is an indicator that, unlike those previously used
that measured the economic development of a country, analyzes health,
education and income.
15. Mexico ranks 77th in the Human Development Index, which
does not even reach the Top 30 of the list made by the
United Nations that considers 188 countries. From Latin
America, Chile appears in position 38 of the ranking, while
Norway is the first place. Of the nations of Latin America
considered in the list, Chile ranks 38th with a score of 0.84.
Together with Argentina, in position 45 and a score of 0.827,
they are the only ones in the region that achieved a very
high Human Development Index.
16. The HDI is an important indicator of human development that
is elaborated every year by the United Nations. It is an
indicator that, unlike those previously used that measured the
economic development of a country, analyzes health,
education and income.
The HDI takes into account three variables: long and healthy
life, knowledge and a decent standard of living. Therefore, the
fact that the life expectancy in Mexico is in 76,93 years, its
mortality rate in the 4,82 ‰ and its per capita income is of
8,711 € euros influence among others.