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Social Indicators Research

Erschienen in:

01.10.2011

Composite Indices of Development and Poverty: An Application to MDGs

verfasst von: Pasquale De Muro, Matteo Mazziotta, Adriano Pareto

Erschienen in: Social Indicators Research | Ausgabe 1/2011

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Abstract

The measurement of development or poverty as multidimensional phenomena is very difficult because there are several theoretical, methodological and empirical problems involved. The literature of composite indicators offers a wide variety of aggregation methods, all with their pros and cons. In this paper, we propose a new, alternative composite index denoted as MPI (Mazziotta-Pareto Index) which, starting from a linear aggregation, introduces penalties for the countries or geographical areas with ‘unbalanced’ values of the indicators. As an example of application of the MPI, we consider a set of indicators in order to measure the Millennium Development Goals (MDGs) and we present a comparison between HDI (Human Development Index) methodology, HPI (Human Poverty Index) methodology and MPI.

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The paper is the result of combined work of the authors: P. De Muro has written Sects. 1 and 2; M. Mazziotta has written Sects. 4.1 and 5; A. Pareto has written Sects. 3, 4.2 and 4.3.

This also concerns other related socioeconomic phenomena such as well-being, quality of life, and standard of living.

For further information on the MDGs, see the web site http://www.un.org/millenniumgoals .

See the web site http://hdr.undp.org.

See the important International Conference “Beyond GDP” organised jointly by the European Commission, the European Parliament, the Club of Rome, the WWF and the OECD in 2007.

See the web site http://www.oecd.org/progress.

This part of the methodology will be discussed in the following sections.

Note that the logarithm of income is used for the GDP per capita normalization.

On the basis of Bienaymé-Cebycev theorem, the terms of the distribution within the range (70; 130) are at least 89% of total terms.

It is a generalized form since it includes “two indices in one”.

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Titel: Composite Indices of Development and Poverty: An Application to MDGs
verfasst von: Pasquale De Muro
Matteo Mazziotta
Adriano Pareto
Publikationsdatum: 01.10.2011
Verlag: Springer Netherlands
Erschienen in: Social Indicators Research / Ausgabe 1/2011
Print ISSN: 0303-8300
Elektronische ISSN: 1573-0921
DOI: https://doi.org/10.1007/s11205-010-9727-z

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