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India slips in human development index (Relevant for GS Prelims and GS Mains Paper II and III)

India slipped down one place from 130 to 131 among the 188 countries ranked in terms of human development, says the 2016 Human Development Report (HDR) released by the United Nations Development Programme (UNDP).

India’s human development index (HDI) value of 0.624 puts it in the “medium human development” category, alongside countries such as Congo, Namibia and Pakistan. It is ranked third among the SAARC countries, behind Sri Lanka (73) and the Maldives (105), both of which figure in the “high human development” category.

The world’s top three countries in HDI are Norway (0.949), Australia (0.939) and Switzerland (0.939).

What is HDI?
The HDI is a measure for assessing progress in three basic dimensions of human development: a long and healthy life, access to knowledge, and access to a decent standard of living.

How is HDI calculated?
In its 2010 Human Development Report, the UNDP began using a new method of calculating the HDI. The following three indices are used:

1. Life Expectancy Index (LEI) 
LEI is 1, when Life expectancy at birth is 85 and 0 when Life expectancy at birth is 20.

2. Education Index (EI)
2.1 Mean Years of Schooling Index (MYSI) 

Fifteen is the projected maximum of this indicator for 2025.
2.2 Expected Years of Schooling Index (EYSI) 
Eighteen is equivalent to achieving a master’s degree in most countries.

3. Income Index (II) 
II is 1 when GNI per capita is $75,000 and 0 when GNI per capita is $100.
Finally, the HDI is the geometric mean of the previous three normalized indices:

LE: Life expectancy at birth
MYS: Mean years of schooling (i.e. years that a person aged 25 or older has spent in formal education)
EYS: Expected years of schooling (i.e. total expected years of schooling for children under 18 years of age)
GNIpc: Gross national income at purchasing power parity per capita

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