Parameters of Development

1. Per Capita Income
2. Human Development Index

1. It is a traditional way to measure economic development.
2. Increase in per capita income over a long period of time means it is an index of development.

Human development is the process of widening people's choices as well as raising the level of well-being achieved.

Human development is concerned with widening not merely income choices but covering all aspects of human development i.e.; income, social, cultural or political.

Human development is universal in nature.

The three basic dimensions of Human development are:

1. A long and healthy life
2. To acquire knowledge
3. To have a decent standard of living

Three indicators of HDI are:

1. Life Expectancy Index (LEI)
2. Education Attainment Index (EAI)
3. Adjusted Gross Domestic Product Index (AGDPI)

1. Combines Economic and Social indicators.
2. Comprehensive measure of development.
3. Increases the understanding of development.
4. Focuses on the ultimate objective of development.