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Essay / Human Development Index (HDI) in Africa and domestic GDP...
Africa is the continent with the lowest average level of development. The cause of the continent's lack of development is still debated today. According to Amartya Sen, development is the measure of "freedom", or the capacity to improve one's situation, in a region. From an economic perspective, development is determined by two main factors: the Human Development Index (HDI) and Gross Domestic Product (GDP). The low levels of development of African nations result in social and structural problems such as unequal income distribution and the existence of dualism, the economic separation of urban and rural sectors. These problems hamper the country's ability to develop. However, there are several development models and theories such as the linear growth model structural change theory, international dependency theory and neoclassical theories. (Child 2013) The term development does not only refer to the economy, but also refers to education, health, infrastructure, environmental conservation and freedom of expression. Although GDP only takes into account the economic development of a country, it is still useful because it describes a country's status in relation to its neighbors as well as its future development. GDP measures allow economists to compare the costs of products in different countries via purchasing power parity (PPP). This helps determine the value of a country's currency from an international perspective. The HDI, on the other hand, was created by Sen to encompass three major components of development, primarily health, education and monetary wealth in US dollars. To quantify these dimensions, the HDI uses “life expectancy at birth, average years of schooling (predicted...... middle of article........ the structure must be changed economic development of the country from a subsistence agricultural economy to a modern, industrialized economy The theory of international dependence was formulated in response to the failure of several attempts to restructure African economies. It suggests that the reason for the inability. of Africa to mobilize economically is its dependence on wealthy nations, who wish to maintain their dominance, for economic support. Following this theory, questions about who is in charge of the state. unstable Africa have arisen Neoclassical theories suggest that development will take place once national and international governments do not intervene in the economy and pave the way for freedom. cannot be applied to all African economies due to differences in culture and economic structure (Child. 2013)