Unit 5: Human Development and Diversity

Human development

the expansion of people's freedoms and opportunities and the improvement of their well-being

Sustainable development

 meeting the needs of today without compromising the needs of future generations

Context for SDGs (3)

• the UN created the Sustainable Development Goals (SDGs) to focus their attention for the next 15 years

• are an urgent call for action to end poverty, improve health, reduce inequality, and spur economic growth.

• achieve the 17 goals and 169 targets

Criticisms of SDGs (2)

• There is no accountability mechanism in place to hold individual countries responsible for not meeting goals.

• The lack of progress due to unforseen external threats

Positives about SDGs (2)

• Comprehensive and Universal: The SDGs cover social, economic, and environmental issues—creating a holistic global framework. They apply to all countries, not just developing nations, promoting shared responsibility.

• Emphasis on sustainability: Because we live in a closed system, we must employ a sustainable use of resources, so we do not run out. This is because the closed system entails a limited amount of resources

 Herman Daly’s Closed Thermodynamic System

• Finite resources: In a closed system like Earth, natural resources are limited. This means economic activity must account for the depletion of non-renewable resources
  Limits economic growth: The traditional economy assumes infinite growth is possible, but Daly argues that in a closed system, there are biophysical limits to growth. Essentially, he suggests that the economy must shift from “growth” (increased production/consumption) to “development: which focuses on sustainable improvements in the quality of life and the economy without increasing material throughput beyond ecological limits

Donella Meadows theories (2)

• Too focused on economic growth → Most widely used indicators (like GDP) measure economic activity, not well-being or sustainability. GDP can rise even when environmental degradation or social inequality increases, giving a false sense of progress.

• Ignore environmental problems: Many indicators fail to account for resource depletion, ecosystem damage, or the carrying capacity of the planet. This leads to short-term decision-making that undermines sustainaility.

Donella Meadows (3 indicators)

• Sufficiency indicators: measure human well-nbeing 

• Efficiency indicators: efficiency of converting resources to real human well-being

• Sustainability indicators: Evaluate the long-term viability of the goal as well as whether the means to achieve this goal is viable/ long-term

GDP

the standard monetary measure of the total value of all final goods and services produced within a country's borders over a specific period, typically a quarter or a year. It serves as a primary indicator of a country's economic health and the overall size of its economy

GDP per capita

a country's total Gross Domestic Product (GDP) divided by its total population, representing the average economic output per person. It serves as an indicator of a country's average standard of living and economic well-being.

Pros of GDP per capita

• The indicator helps track how a nation's economic output per person changes over time, signaling trends in economic growth

• A higher GDP per capita is often associated with better health outcomes, greater access to education

Cons of GDP per Capita 

• Only considers only the economic status of a country without considering immeasurable factors and quality of life factors such as happiness. Many countries prioritise happiness over economic development

• GDP per capita is a mean and doesn't reflect how income is distributed within a country. A nation might have a high GDP per capita but also significant poverty if wealth is concentrated

Why is human well-being important to sustainability

• Poor well-being (e.g., high inequality, lack of healthcare, poor education) often leads to social unrest, conflict, or migration pressures.

• People struggling to meet basic needs are less likely to prioritize or afford environmental sustainability. Improving well-being allows for long-term thinking, where communities are more likely to protect ecosystems and support green policies.

HDI

a composite indicator of health, education, and decent standard of living. It measures on a scale of 0-1

Indicators in HDI (4)

• mean years of schooling

• expected years of schooling,

• life expectancy at birth

• gross national income (GNI) per capita

Pros of HDI (2)

• Unlike indicators that focus only on economic growth, the HDI provides a more complete picture of a nation's progress by including the dimensions of health, education and decent standard of living

Cons of HDI (3)

• no enviromental sustainability —> circular economy

• no happiness

• hard to collect data

Gender Inequality Index

is an index for measurement of gender disparity. The GII focuses on three dimensions: reproductive health, empowerment, and labor market participation

Indicators of GII

• reproductive health: maternal mortality / adolescent birth rates --> women's reproductive health and their access to maternal care

• empowerment: percentage of parliamentary seats held by each gender and the percentage of women aged 25 and older with at least some secondary education

• Labor market participation: percentage of women and men aged 15 and older engaed in paid employment

Pros of Gender Inequality Index

• captures multiple dimensions of gender inequality, including reproductive health, empowerment. This provides a more holistic understanding of disparities compared to other indices.

• the indicator, in itself, provides the data needed to design, monitor, and refine policies and programs that promote gender equality, a fundamental human right and driver of sustainable development.

Cons of Gender Inequality Index

•  There are limitations in capturing the full scopeby omitting crucial dimensions like asset ownership, unpaid work, and gender-based violence.

• ….

Why do we need to capture unpaid domestic work? (2)

• Hidden inequality: A woman may appear equal in education or employment stats, but if she’s working a full-time job plus doing all domestic work, she faces double the burden.

• If the GII doesn’t track this work, governments are less likely to support policies like paid parental leave, public childcare, or eldercare services — all of which reduce inequality.

Why do we need to capture gender-based violence? (2)

• Limits freedom and development: Fear of violence restricts women's movement, education, employment, and participation in public life.

• Not just a social issue: GBV has direct impacts on health systems, economic development, and societal stability — yet it’s invisible in the GII.

Literacy rate (1 def, 1 pro, 2 cons)

refers to the percentage of people who are able to read and write vs those who are not.

• strong indicator of human development, reflecting a population's basic education, which correlates with economic prosperity,

• It doesn't measure the quality of education nor functional literacy needed for complex tasks. 

  relies on potentially unreliable data collection methods, such as self-reporting

Life expectancy 

a statistical measure of the average time a person is expected to live, based on the year of their birth, their current age and other demographic factors including gender

• Good measure of health, allowing for further insight into infrastructural development of countries (medicine, healthcare facilities )

• Does not account for crime/pandemics and epidemics and other factors which may skew life expectancy.

Genuine progress indicator

The Genuine Progress Indicator (GPI) is an economic metric designed to measure sustainable economic welfare and societal well-being through environmental, social, and income factors

Pros of genuine progress indicator

• Unlike GDP, which only counts economic activity, the GPI considers sustainability by accounting for the depletion of natural capital and social capital, as well as environmental degradation, in its calculation of economic welfare

• A Broader Perspective:By adding social and environmental factors, the GPI offers a more holistic view of an economy's real progress and can more accurately reflect a community's quality of life.

Cons of genuine progress indicator

• Its high resource intensity

• subjectivity,

• lack of standardization due to the need for extensive data collection and complex models for assigning monetary values to social and environmental factors.

Empowerment

the process of increasing the capacity of individuals or groups to make choices and to transform those choices into desired actions and outcomes

Benefits of Empowerment (4) (women)

• Working women: targeting the skills and talents of women in the workforce increases productivity

• Women and households: women who have control over their incomes reinvest in their families and communities, boosting future economic development

• Women and children: empowered women have fewer children who tend to be healthier and better educated

• Women and politics: policy choices and institutions become more representative of a wider range of people and change current mindsets such as paid parental leave, affordable child care and flexible work arrangements

microfinance

the financial services provided to low-income individuals or groups who are typically excluded from traditional banking

Pros of microfinance (3)

• Can stimulate local economic activity and create jobs in marginalized communities.

• Give women financial independence, decision-making power, and higher social status.

• provide trianing —> allow people to work

Cons of microfinance (2)

• Poor borrowers may take loans they can’t repay, leading to cycle of debt and financial stress. Some microfinance institutions charge high interest rates (35%) due to the cost of servicing small, dispersed loans.

• Many borrowers use loans for consumption (e.g. food, weddings) rather than productive investment. May lead to temporary relief, but not structural escape from poverty.

fairtrade 

trade between companies in developed countries and producers in developing countries in which fair prices are paid to the producers.

Pros of fairtrade

• Fairtrade guarantees minimum prices for goods (like coffee, cocoa, bananas), helping protect farmers from volatile global markets. Ensures producers are paid fair wages, allowing for a more stable livelihood.

• promotes environmental sustainability by setting specific standards and offering incentives for farmers to protect natural resources. —> examples: Minimizing use of agrochemicals, No (GMOs), Proper waste management and soil conservation

Cons of fairtrade

• Fairtrade benefits only a small percentage of producers in the Global South. Most small farmers around the world are not part of certified cooperatives, and many can’t afford or access the certification process.

• Fairtrade certification is expensive and often requires compliance with complex standards. Smallholders must sometimes pay membership fees or spend money improving infrastructure to qualify.

Gross national income

measures a country's total income, including income earned by its residents both domestically and abroad

ADVs of gross national income (2)

• providing a better measure of a nation's total income by including foreign earnings, enabling international comparisons of wealth and living standards

• For example, in a country in which many foreign businesses operate, GNI is much smaller than GDP, because the foreign businesses’ profits that are sent to the country of origin are counted against the country’s GNI but not against its GDP. 

DIS of gross national income

• does not reflect well-being

• no distributrtion of wealth