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Gross National Income (GNI)
The total value of goods and services a country’s citizens produce, including the value of income earned by citizens who may be working in an overseas country
Three main groups of Average Income for countries:
low income
middle income
high income.
Middle-income countries are often broken down into two further groups:
upper middle income
lower middle income
Characteristics of low-, middle- and high-income countries.
Economic Characteristics
Social Characteristics
Environmental Characteristics
Economic Characteristics
A range of factors relating to the financial or economic state of a country can influence the opportunities and resources that are available to its citizens.
Economic characteristics of high-income countries
Lower Levels of Poverty
Wide Range of Industries
Opportunities for global trade
High average incomes
Poverty
A term commonly used to describe the lack of access to resources, often as the result of a lack of access to money.
Extreme Poverty
Living on less than PPP$2.15 per day
Gross Domestic Product (GDP)
A measure that reflects the economic state of a country; the value of all goods and services produced in a country in a 12-month period.
Social characteristics
gender equality
birth and population rates
education and employment levels
social security systems
health systems
access to technology
legal systems.
Gender equality
When males and females have equal rights, responsibilities and opportunities
Environmental characteristics
Access to safe water and sanitation
Food security
Adequate housing
Adequate infrastructure
High Levels of Carbon Dioxide
Urban slums
A settlement, neighbourhood or region comprised of housing that does not provide the essential conditions required to live a healthy life
Human Development
Creating an environment in which people can develop to their full potential and lead productive, creative lives according to their needs and interests.
It is about expanding people’s choices and enhancing capabilities (the range of things people can be and do), having access to knowledge, health and a decent standard of living, and participating in the life of their community and decisions affecting their lives.
Elements to Human Development
Lead long and healthy lives
Lead productive and creative lives according to their needs and interest
Access to knowledge and expanding their choices and capabilities
Access to resources needed for a decent standard of living such as housing and a reliable food and water supply.
Participate in the life of the community.
Participates in the decisions that affect their lives.
Human Development Index (HDI)
A tool developed by the United Nations to measure and rank countries’ levels of social and economic development.
It provides a single statistic based on three dimensions (a long and healthy life, knowledge and a decent standard of living) and four indicators (life expectancy at birth, mean years of schooling, expected years of schooling and Gross National Income per capita).
Dimensions of the Human Development Index (HDI)
Long and healthy life
Knowledge
A decent standard of Living
Indicators of the Human Development Index (HDI)
Life Expectancy
Mean years of schooling
Expected years of schooling
Gross National Income (GNI) per capita
Life expectancy at birth
The number of years of life, on average, remaining to an individual at a particular age if death rates do not change
Mean years of schooling
The average number of years of formal education achieved by those aged 25 years and over
Expected years of schooling
The number of years of formal education expected for a child of school-entrance ag
Gross National Income (GNI) per capita
The overall income of a country after expenses owing to other countries have been paid, divided by the population of the country.
Four groups of HDI
very high human development
high human development
medium human development
low human development.
Advantages of the HDI
The HDI takes more than just average incomes into account, so it provides a more comprehensive representation of the level of human development experienced:
It provides an indication of opportunities for education, which reflects access to knowledge and the ability to enhance choices and capabilities.
Average income reflects the ability to access the resources required for a decent standard of living.
Life expectancy reflects the ability to lead a long and healthy life.
The HDI is a composite statistic and, as a result, provides a single statistic relating to the three dimensions and four indicators. This makes comparison easier, because numerous statistics do not have to be sorted through and compared.
The HDI is effective for analysing progress that is made by countries over time. The four indicators may experience differing rates of progress, but monitoring the overall HDI is useful for analysing the overall progress achieved over time.
The HDI has captured the attention of the media, policy makers, communities and individuals and, as a result, has raised awareness of the importance of human development. It helps people question and revise current policy choices.
Limitations of the HDI
Human development is a complex concept and encompasses many aspects of human lives. The HDI only reflects selected aspects of human development and therefore does not capture the richness and depth of human development. Aspects of human development that are not measured by the HDI include gender equality; freedom of speech; freedom of employment; levels of discrimination; empowerment; access to resources such as water, social security and public housing; social inclusion; and political participation.
The HDI, although moving beyond economic indicators, is still based on averages and, therefore, does not provide an indication of the inequalities that exist within countries. Those from cultural minorities, females, those with disabilities and those in rural areas often experience lower levels of human development than the rest of the population.
No survey data are collected for the HDI, so people’s feelings about their lives and the issues facing communities are not reflected, including social, emotional, mental and spiritual health and wellbeing, and feelings about physical safety, which are important aspects of peoples’ lives.
Collecting data is complex and the reliability of data for measuring human development remains a challenge. Comparisons between countries are often difficult because of the different definitions and methods used in measuring key components of the HDI. Comparisons within countries are often difficult because data are often only collected at a national level.
In some situations, the concept of human development has been equated with the three dimensions of the HDI, which neglects key aspects of human development including freedom, choices and capabilities.
The impact of a lower GNI per capita contributes to many differences in the level of human development experienced:
People are less able to afford education for their children, decreasing access to knowledge.
Accessing resources such as adequate housing and food may be more challenging, decreasing the ability of people to lead lives according to their needs and interests.
People are less able to afford health care, which can prevent them from leading long and healthy lives.
Families may struggle to care for all of their children. This can contribute to higher rates of child marriages because this means one less mouth to feed. This decreases the ability of people to participate in the decision affecting their lives.
People are often forced into laborious jobs that don’t pay well. This can mean that people spend more time working to support themselves, which can reduce their ability to participate in the life of the community such as attending community events and joining social groups.
Similarities and in low-, middle- and high-income countries
Considerable variations exist within each country, regardless of income group.
Life expectancy increased in most countries between 1990 and 2019. In 2020 and 2021, COVID-19 caused decreases in life expectancy for many countries from each income group.
Infant, under-5 and maternal mortality rates are decreasing in all income groups.
Non-communicable diseases (including cancer and cardiovascular disease) account for the greatest proportion of deaths in all countries.
Rates of obesity and associated conditions are increasing in all income groups.
The HDI and levels of human development increased in all income groups between 1990 and 2019.
All income groups experienced a decrease in the HDI and levels of human development in 2020 and 2021.
Differences and in low-, middle- and high-income countries
Life expectancy generally fluctuates more in low- and middle-income countries compared to high-income countries.
Life expectancy is considerably higher in high-income countries compared to low-income countries (and to a lesser extent, middle-income countries).
Mortality rates (including infant, under-5 and maternal) increase as average income decreases
Mortality rates due to infectious diseases (including HIV, malaria, tuberculosis and waterborne diseases) are considerably higher in low-income countries.
Many middle-income countries and some low-income countries experience a double burden of disease, in which conditions associated with under- and over-nutrition occur simultaneously.
The rate of YLD increases as average income increases.
The rate of DALY and YLL increase as average income decreases.
The HDI decreases as average income decreases, as does the level of human development experienced.
Factors that contribute to similarities and differences in health status and burden of disease globally
Access to safe water
Sanitation
Poverty
Discrimination (race, religion, sex, sexual orientation, and gender identity)
Safe water
Sometimes referred to as ‘clean water’, safe water refers to water that is not contaminated with disease-causing pathogens such as bacteria and viruses, or chemicals such as lead and mercury.
What is Safe Water used for?
consumption — the human body is 55–75 per cent water. Is essential for the optimal functioning of every cell in the body. The average adult loses around 2.5–3 litres of water per day and, because the body can’t store water for later use, it must be consumed regularly to ensure survival.
food preparation and cooking — is essential to wash food products and remove harmful pathogens that could otherwise lead to illness. Cooking often requires clean water to ensure food items are safe for human consumption.
washing and hygiene — is required to maintain high levels of personal hygiene and prevents infection through handwashing, bathing and showering.
agriculture and production — is required for the production of food and other products such as clothing and electricity.
Sanitation
Generally refers to the provision of facilities and services for the safe disposal of human urine and faeces, but can also refer to the maintenance of hygienic conditions through services such as garbage collection and wastewater disposal.
Adequate sanitation requires a flushing toilet or covered latrine and the hygienic removal or containment of the waste products.
Relative poverty
Refers to those living on less than 50 per cent of the country’s average income
Poverty can reduce access to these resources
Government services (including social protection measures) and infrastructure.
Nutritious Food
Clean water and sanitation
Education
Health care
Adequate housing
Poverty and nutritious food
Undernutrition decreases immune function, which increases the risk of infection and premature death, especially among children.
Pregnant women who cannot access nutritious foods are more likely to die as a result of their pregnancy and have babies who are more susceptible to premature mortality due to underdeveloped body systems, reducing their ability to lead long and healthy lives.
Effects of Poverty to clean water and sanitation
Restricts the ability of governments to provide resources such as clean water and sanitation.
This further increases the risk of infectious diseases, including diarrhoeal disease, which is a leading cause of death among children in low- and middle-income countries.
The cycle of poverty
Low Income → Poor Living Conditions → Poor health and wellbeing → Lack of education → Inability to secure meaningful employment
Discrimination
When a person or group of people is treated differently than other people, often a result of factors such as race, religion, sex, sexual orientation and gender identity
Groups who are discriminated against experience inequality in relation to a range of outcomes, including:
having higher rates of depression and anxiety, impacting their ability to live according to their needs and interests
having higher rates of premature death, including under-5 mortality, reducing the ability to lead long and healthy lives
being more likely to be the victim of intentional violence.
Minority groups that experience discrimination:
those from minority racial groups, including indigenous peoples and migrants
those from minority religious groups
females
people in the LGBTQIA+ community
those who identify as a gender different from the sex assigned to them at birth.
Religious discrimination has been shown to contribute to increased rates of:
anxiety
depression
psychiatric disorders
stress
decreased life satisfaction
self-rated poor health status
tobacco smoking
alcohol abuse
drug use.
Results of Religious Discrimination
Often results in an inability for people to realise their human rights and participate in the community in which they live in terms of accessing public education, health services and employment, which acts to decrease human development.
Sex
Refers to the physiological characteristics, including the DNA and sex organs, present in an individual at birth. In most cases, people are born as either male or female, although some people are born with a combination of both male and female characteristics, referred to as ‘intersex’.
Forced marriage
Occurs when one or both of the parties is married against his or her will. Forced marriage is considered a violation of human rights and viewed by some as a form of slavery.
Female genital mutilation (FGM)
Describes procedures that intentionally alter or cause injury to the female genital organs for non-medical reasons. Knives, scissors, scalpels, pieces of glass or razor blades are used to cut or remove tissue such as the clitoris from the genitals.
Sexual orientation
Describes the sex that an individual is sexually and romantically attracted to. It is also associated with discrimination and inequality around the world.
Discrimination based on sexual orientation also contributes to the significantly higher rates of risk-taking behaviour. The AIHW (2020) reported that gay, lesbian and bisexual Australians were:
1.5 times as likely to smoke daily as people who are heterosexual
1.5 times more likely to exceed health guidelines relating to alcohol consumption compared to those who identify as heterosexual
twice as likely to use illicit drugs compared to heterosexual people.
The level of human development experienced by people who do not identify as heterosexual can be influenced by a number of factors, including being:
refused jobs — Unemployment limits the ability of people to earn an income and afford the resources required for a decent standard of living such as nutritious food and adequate shelter.
refused opportunities for education — This reduces people’s access to knowledge and decreases their ability to participate in decisions affecting their lives such as the career they pursue.
refused health care — Not being able to access health care can mean that common health conditions are not treated effectively, reducing the ability of people to lead long and healthy lives.
subjected to criminal proceedings — This can contribute to people not feeling valued and reduces their ability to lead lives they value.
Gender identity
Describes how individuals perceive themselves as male, female, a blend of both, or neither.
A person’s gender identity can be the same or different from the sex assigned at birth.
People can be cisgender (a person whose gender identity is consistent with the sex assigned to them at birth), transgender (a person who identifies with the opposite sex to that assigned to them at birth) or gender non-conforming (people who do not identify as either gender, or identify with a combination of both male and female genders).
Individuals who are transgender or gender non-conforming are at higher risk of discrimination in most societies and experience:
higher rates of mental disorders
higher rates of physical and sexual assault
increased rates of self-harm, including suicide.
Individuals who are transgender or gender non-conforming are often denied the same opportunities as cisgender people, impacting human development in a number of ways. For example:
Verbal and physical abuse can lead to feelings of worthlessness, decreasing the ability of people to live according to their needs and interests.
Being denied access to education decreases access to knowledge and means people are less likely to develop their capabilities.
Not being given opportunities for employment means that people are less able to participate in the decisions affecting their lives, such as what they do for a job.