Question

Mention the criteria followed by undp for comparing countries

Answer 1

INCOME LEVEL CLASSIFICATION: The classification of income level of countries is a nominal identification for purposes of monitoring macro-economic development of countries. The IMF, the World bank, and the UN use this type of economic classification. See attached file for income criteria for classification levels. The revision of income level is due to increase in GDP; this does not mean that the people's livelihood got better, One needs to look at other indicators, for example Gini and HDI.

GINI COEFFICIENT: In order for the increase in income level at a national level to be felt at the local level the increase in income (social benefits) must trickle down to the local level. This trickle-down effect may be shown through the closing of the Gini coefficient. Kenya, for instance, shows a Gini coefficient of about 47.7 according to the World bank's estimate in 2005. The rate at which Gini is closing is very slow for all countries. Thus, the ability of the micro-level (local people) to see the difference from the WB's updating the country's income level classification may not be clearly felt if the change in income gap is not taking place or takes place but at a slow pace.

HDI MEASUREMENT: The alternative to the Gini coefficient may be the Human development index (HDI) which allows us to assess the level of "life" in the country by looking at (i) life expectancy, (ii) education, and (iii) income level.

Answer 2

Answer:

The criteria that is taken by the UNDP or measuring the countries is the percapit income, life expectancy, Literacy rate and the GNP.

Explanation:

The UNDP spends about 2% of the evaluation of these programs, with the UN evaluation group and thus has 43 members and the three observers.  

• Based on the per capita income, it seeks to find out the total income owned by the countries to derive out the relationship with the countries ion the basis if the dominating factors like the production rate and the amount revenue and the purchasing capacity of the country.

• Based on the life expectancy rate that ways to measure the longevity of the people and the health and living standard of the country.

• The literacy rate is the rate that is used to show the educational attainment of the people and thus can lead to a healthy and prosperous life. The literacy rate also reflects the measure of the ability of the country to have a diverse workforce.

• The GNP as the gross national product is another measure that shows us the comparative development of the nation in terms of the value of the product in the global market and the period is also attached to it.