What Criticism Led to the Inequality-Adjusted Human Development Index?

💡 The Answer

• Critics argued HDI values an extra year of life differently across countries.
• This unfair weighting prompted the UNDP to create a revised index.
• The Inequality-Adjusted HDI (IHDI) was introduced in the 2010 report.
• IHDI accounts for inequality in health, education, and income.
• It shows how inequality reduces actual human development levels.