Open AccessPrevalence of the HDI: Alternative consideration of employment factors from 30 OECD countries
Author(s) -
Diana Lestari,
Dio Caisar Darma,
Made Setini,
P. Purwadi
Publication year - 2021
Publication title -
journal of research in emerging markets
Language(s) - English
Resource type - Journals
ISSN - 2663-905X
DOI - 10.30585/jrems.v3i2.614
Subject(s) - human development index , composite index , index (typography) , human development (humanity) , welfare , sample (material) , economics , order (exchange) , dimension (graph theory) , construct (python library) , development economics , composite indicator , public economics , economic growth , business , econometrics , computer science , mathematics , finance , programming language , market economy , chemistry , chromatography , world wide web , pure mathematics
The HDI has played an influential role in the debate on human development for many years. However, no index is perfect in the HDI. It can be argued that the current HDI does not totally reflect human development performance, and thus proper rankings for some countries. Therefore, this article aims to construct a new composite index for the development performance of a sample of 30 organizations for OECD countries by adding a fourth indicator, namely the employment rate to the calculation of HDI. Including employment factors in HDI as a new indicator has not only made the index more comprehensive but also presented a more suitable dimension for assessing the development performance of countries. By considering these factors, it is hoped that people will get a decent income in order to achieve a level of welfare.