Question

why income can't be taken as only measure of development?

Answer 1

Hey friend

Here is your answer

Five observations are quite pertinent about the HDI:

First, the HDI is not a comprehensive measure of human development. It just focuses on the basic dimensions of human development and does not take into account a number of other important dimensions of human development.

Second, it is composed of long-term human development outcomes. Thus it does not reflect the input efforts in terms of policies nor can it measure short-term human development achievements.

Third, it shares all the limitations of composite measures. But it is important to keep it simple with minimum variables to ensure its acceptability, understanding and predictability.

Fourth, the HDI is an average measure and thus masks a series of disparities and inequalities within countries. Disaggregation of the HDI in terms of gender, regions, races and ethnic groups can unmask the HDI and can be and has been used widely for policy formulation.

Fifth, income enters into the HDI not in its own right, but as a proxy for resources needed to have a decent standard of living. The issue with regard to income is how it is transformed into the health and education dimensions of the HDI. Thus between income and the other two dimensions of the HDI, the issue is that of transformation, and not of substitution.

HOPE IT HELPS!!!!!!!!