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LIVING STANDARD

Human development index (HDI) is a composite measure of human
development in three basic dimensions: Health (as measured by life expectancy at
birth); Knowledge (as measured by the education index); and Income (as

measured by gross national income per capita).
HDI’s value ranges from 0 to 1. The nearer the HDI reach to 1, the higher
human development is, and vice versa.

To calculate the HDI, the following formula is used:

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HDI = (Ihealth × Ieducation × Iincome)
Where:

(1) Ihealth: Index of average life expectancy at birth.
(2) Ieducation: Education index measured as geometric mean of two indices: mean
years of schooling and expected years of schooling.

- Mean years of schooling measured as years of schooling for adults ages 25

and older divided by total population aged 25 and older.
- Expected years of schooling refer to years that a 5-year-old child will
spend with his education in his/her whole life. It is assumed that possibility of
schooling application at any specific age is equal to enrollment rate at that age.

Formula:

SLE = a  t n E t i +  E t unknown
=
=
i a P i t l literacy P t l
age of education level
D l
t
SLE : Expected years of schooling aged from a to t;
a
t
E : Number of pupils/students attending school at right age (where
i
i = a, a+1,…,n); n expresses schooling age limit;
t
P : Population at school age in year t. Age of level 1 expresses population
i
in primary education;
Dl: Primary education period;

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