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Human development (economics)

Human development (economics) is a science topic covered in the lgStudy science library. This page brings together a partial reference excerpt, illustrations, worked examples, real-world applications and a short study plan, so you can understand Human development (economics) rather than just read about it. In short: The concept of human development expands upon the notion of economic development to include social, political and even ethical dimensions. Since the mid-twentieth century, international organisations such as the United Nations and the World Bank have adopted human development as a holistic approach to evaluate a country’s progress that considers living conditions, social relations, individual freedoms and political…

Human development (economics) — main illustration
Human development (economics) — illustration

Key takeaways

  • Human development (economics) belongs to science; place it in that map before memorising details.
  • Learn the definition first, then one example that makes the definition concrete.
  • Connect Human development (economics) to a quantity you can measure, compute or draw — that is where exam questions come from.
  • Reproduce the core statement of Human development (economics) from memory before moving on to harder problems.

Reference excerpt

The concept of human development expands upon the notion of economic development to include social, political and even ethical dimensions. Since the mid-twentieth century, international organisations such as the United Nations and the World Bank have adopted human development as a holistic approach to evaluate a country’s progress that considers living conditions, social relations, individual freedoms and political institutions that contribute to freedom and well-being, in addition to standard measures of income growth. The United Nations Development Programme defines human development as "the process of enlarging people's choices", such choices allowing people to "lead a long and healthy life, to get educated, to enjoy a decent standard of living", as well as "political freedom, other guaranteed human rights and various ingredients of self-respect". Thus, human development is about much more than economic growth, which is only a means of enlarging people's choices. Some organizations, such as the Catholic Church and the Organization of American States, use the term "integral development" to reflect something wider than "economic" development.

History Human Development has roots in ancient philosophy and early economic theory. Aristotle noted that "Wealth is evidently not the good we are seeking, for it is merely useful for something else", and Adam Smith and Karl Marx were concerned with human capabilities. The theory grew in importance in the 1980s with the work of Amartya Sen and his Human Capabilities perspective, which played a role in his receiving the 1998 Nobel Prize in Economics. Notable early active economists who formulated the modern concept of human development theory were Mahbub ul Haq, Üner Kirdar, and Amartya Sen. The Human Development Index developed for the United Nations Development Programme (UNDP) stems from this early research. In 2000, Sen and Sudhir Anand published a notable development of the theory to address issues in sustainability. Martha Nussbaum's publications in the late 1990s and 2000s pushed theorists to pay more attention to the human in the theory, and particularly to human emotion. A separate approach stems in part from needs theories of psychology which in part started with Abraham Maslow (1968). Representative of these are the Human-Scale Development approach developed by Manfred Max-Neef in the mid-to-late 1980s which addresses human needs and satisfiers which are more or less static across time and context. Anthropologists and sociologists have also challenged perspectives on Human Development Theory that stem from neoclassical economics. Examples of scholars include, Diane Elson, Raymond Apthorpe, Irene van Staveren, and Ananta Giri. Elson (1997) proposes that human development should move towards a more diverse approach to individual incentives. This will involve a shift from seeing people as agents in control of their choices selecting from a set of possibilities utilizing human capital as one of many assets. Instead, theorists should see people as having more mutable choices influenced by social structures and changeable capacities and using a humanistic approach to theory including factors relating to an individual's culture, age, gender, and family roles. These extensions express a dynamic approach to the theory, a dynamism that has been advocated by Ul Haq and Sen, in spite of the implicit criticism of those two figures. In an attempt to promote human development, the United Nations supports decennial Earth Summits where UN members discuss a plan of action called Agenda 21 – an agenda to make sure humanity will still be around after the year 2100. Thousands of cities now have a local Agenda 21 and more and more companies and organisations also align their strategic plan with the strategic plan of Agenda21. With the approaching of the year 2000, UN Secretary General Kofi Annan was compelled to develop something that existed in the private sector: setting out a long term plan, a mid term plan and a short term planning. This endeavour supports on Agenda21 and was named the Millennium Development Goals (MDGs) which ran from 2000–2015. The United Nations made a commitment to accomplish these goals by 2015 and thus make an attempt to promote human development. As the experience of this exercise was perceived successful, a follow-up program was developed and named as the Sustainable Development Goals (SDGs).

Measurements of human development

There are six basic pillars of human development: equity, sustainability, productivity, empowerment, cooperation and security.

Equity is the idea of fairness for every person, between men and women; we each have the right to education and health care. Sustainability is the view that we all have the right to earn a living that can sustain our lives and have access to a more even distribution of goods. Productivity states the full participation of people in the process of income generation. This also means that the government needs more efficient social programs for its people. Empowerment is the freedom of the people to influence development and decisions that affect their lives. Cooperation stimulates participation and belonging to communities and groups as a means of mutual enrichment and a source of social meaning. Security offers people development opportunities freely and safely with confidence that they will not disappear suddenly in the future.

… excerpt ends here. Continue reading the full article.

Illustrations

Human development (economics): HDI trends



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  Central and Eastern Europe, and the CIS
  Latin America and the Caribbean
  East Asia

  Arab States
  South Asia
  Sub-Saharan Africa
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Worked examples

Example 1 — a first encounter with Human development (economics)

Start with the simplest possible case. Write down what Human development (economics) claims or describes in one sentence, then invent the smallest concrete situation in which that sentence is true. In science, the smallest case is usually a single object, a single equation or a single measurement. Check that every symbol or term in your sentence has a meaning in that case.

Example 2 — changing one variable

Take the situation from Example 1 and change exactly one quantity: double it, halve it, or set it to zero. Predict what should happen to Human development (economics) before you calculate. Comparing your prediction with the result is the fastest way to find out whether you understand the idea or only the words.

Example 3 — an exam-style question

Typical questions about Human development (economics) ask you to (a) state it precisely, (b) apply it to given data, and (c) explain a limitation. Practise writing all three answers in under five minutes; the third part is what separates a full-mark answer from an average one.

Applications of Human development (economics)

In research
Human development (economics) appears in science research whenever the underlying quantities have to be modelled precisely. Papers usually cite it as a starting assumption and then explore where it breaks down.
In technology and industry
Engineering practice reuses Human development (economics) in design rules, simulations and safety margins. Knowing the idea lets you read a specification sheet and understand why the numbers look the way they do.
In the classroom
Human development (economics) is common in secondary-school and first-year university syllabi. It links to neighbouring topics Development economics, International development, so understanding it makes those chapters shorter.
In everyday life
Look for Human development (economics) outside the textbook — in sport, cooking, traffic, electronics or the sky above you. An example you found yourself is remembered far longer than one you were given.
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How to study Human development (economics) in 20 minutes

  1. Read the reference excerpt below once, without taking notes.
  2. Close the page and write down what Human development (economics) means in your own words.
  3. Compare your version with the excerpt and mark what you missed.
  4. Work through the three examples above with pen and paper.
  5. Explain Human development (economics) out loud to somebody else — or to Teacher Smith in the lgStudy chat.

Frequently asked questions

What is Human development (economics) in simple terms?

The concept of human development expands upon the notion of economic development to include social, political and even ethical dimensions. Since the mid-twentieth century, international organisations such as the United Nations and the World Bank have adopted human development as a holistic approach…

Why does Human development (economics) matter?

Because it connects several science ideas at once: it gives you a definition you can apply, a quantity you can calculate, and a way to check whether a result is plausible.

How should I study Human development (economics)?

Read the excerpt, restate it from memory, then work through the examples and applications listed on this page. The five-step study plan above takes about twenty minutes.

What does this page cover?

It gives you a compact reference excerpt plus original lgStudy explanations, examples, applications and study material on Human development (economics).

Tags

  • Development economics
  • International development

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