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(3) Iincome: Index of GNI per capita (PPP - USD)

The sub-indices are calculated as follows:

Actual value - Minimum value
Dimension index =
Maximum value - Minimum value
In particular, Iincome is calculated using the folular below:

ln(real) - ln(min)
Iincome =
ln(max) - ln(min)

The value max and min of relevant indicators, which are used to calculate
Vietnam’s HDI, is based on Human Development Report 2020 of UNDP:

Index Unit Max Min
Average life expectancy at birth Year 85,0 20,0

Mean years of schooling Year 15,0 0,0

Expected years of schooling Year 18,0 0,0
GNI per capita (PPP) USD 75000 100

Monthly average income per capita is calculated by dividing the total
income of households in a reference year by their headcounts on average of 12
months. Household income is the total amount and value in kind received by
households and members less production costs in a given period, usually one year.

Formula:
Monthly average Total annual income of households
income per capita = Total population : 12

Household income is the total amount of money and value of assets after
deducting production costs that the household and its members receive in a certain
period, usually 1 year.

Poverty rate is the ratio of the number of people or households whose
income (or expenditure) per capita fall below the poverty line among total
surveyed population and households.

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