Human Poverty Index

The Human Poverty Index (HPI) was an indication of the standard of living in a country, developed by the United Nations (UN) to complement the Human Development Index (HDI) and was first reported as part of the Human Development Report in 1997. It was considered to better reflect the extent of deprivation in developed countries compared to the HDI.^[1] In 2010 it was supplanted by the UN's Multidimensional Poverty Index.

The HPI concentrates on the deprivation in the three essential elements of human life already reflected in the HDI: longevity, knowledge and a decent standard of living. The HPI is derived separately for developing countries (HPI-1) and a group of select high-income OECD countries (HPI-2) to better reflect socio-economic differences and also the widely different measures of deprivation in the two groups

For developing countries (HPI-1)

The Human Development Reports website summarizes this as "A composite index measuring deprivations in the three basic dimensions captured in the human development index — a long and healthy life, knowledge and a decent standard of living." The formula for calculating it is:

HPI-1 = $\left[\frac{1} {3}\left(P_1^\alpha+P_2^\alpha+P_3^\alpha\right)\right]^{\frac{1} {\alpha}}$

$P_1$ : Probability at birth of not surviving to age 40 (times 100)
$P_2$ : Adult illiteracy rate
$P_3$ : Unweighted average of population without sustainable access to an improved water source and children under weight for age
$\alpha$ : 3

For selected high-income OECD countries (HPI-2)

The Human Development Reports website summarizes this as "A composite index measuring deprivations in the four basic dimensions captured in the human development index — a long and healthy life, knowledge and a decent standard of living — and also capturing social exclusion." The formula for calculating it is:

HPI-2 = $\left[\frac{1} {4}\left(P_1^\alpha+P_2^\alpha+P_3^\alpha+P_4^\alpha\right)\right]^{\frac{1} {\alpha}}$

$P_1$ : Probability at birth of not surviving to age 60 (times 100)
$P_2$ : Adults lacking functional literacy skills
$P_3$ : Population below income poverty line (50% of median adjusted household disposable income)
$P_4$ : Rate of long-term unemployment (lasting 12 months or more)
$\alpha$ : 3

The last report, 2007–2008, only has a ranking for 19 of the 22 countries with the highest Human Development Index. The ranking is as follows (with the country with the lowest amount of poverty at the top):

Ranking	Country	HPI-2	Probability at birth of not surviving to age 60 (%)	People lacking functional literacy skills (%)	Long-term unemployment (%)	Population below 50% of median income (%)
1	Sweden	6.3	6.7	7.5	1.1	6.5
2	Norway	6.8	7.9	7.9	0.5	6.4
3	Netherlands	8.1	8.3	10.5	1.8	7.3
4	Finland	8.1	9.4	10.4	1.8	5.4
5	Denmark	8.2	10.3	9.6	0.8	5.6
6	Germany	10.3	8.6	14.4	5.8	8.4
7	Switzerland	10.7	7.2	15.9	1.5	7.6
8	Canada	10.9	8.1	14.6	0.5	11.4
9	Luxembourg	11.1	9.2	-	1.2	6.0
10	Austria	11.1	8.8	-	1.3	7.7
11	France	11.2	8.9	-	4.1	7.3
12	Japan	11.7	6.9	-	1.3	11.8
13	Australia	12.1	7.3	17.0	0.9	12.2
14	Belgium	12.4	9.3	18.4	4.6	8.0
15	Spain	12.5	7.7	-	2.2	14.2
16	United Kingdom	14.8	8.7	21.8	1.2	12.5
17	United States	15.4	11.6	20.0	0.4	17.0
18	Ireland	16.0	8.7	22.6	1.5	16.2
19	Italy	29.8	7.7	47.0	3.4	12.7

The countries ranked in the top 22 by HDI that are not on this list are Iceland, New Zealand and Liechtenstein.

Note that not all countries are included because data for the indicators are not always available. So positions could change if they were. Especially countries at the bottom could drop considerably if the list were extended. For specific values for other countries than the ones on the list, see source links below.

Indicators used are:

Probability at birth of not surviving to age 60 (% of cohort), 2000-2005. Varies from 7.1% for Japan to 11.8 for the USA. This is the indicator that is best known for all countries (including the ones not on the list). The US has specific values associated with disease characteristics of poverty. Worse values start only at position 35 of the HDI, indicating that many countries could climb on an extended list based on this, knocking down lower ranked countries on the above list.
People lacking functional literacy skills (% of people scoring in the range called “Level 1” in the International Adult Literacy Survey, age 16-65, 1994–2003). Varies from 7.5% for Sweden to 47.0% for Italy. These figures are higher than most commonly cited illiteracy rates due to the choice of the literacy test.
Long-term unemployment (12 months or more, % of labour force), 2005. Varies from 0.4% for the United States to 5.0% for Germany. This indicator has by far the greatest variation, with a value as high as 9.3% at HDI position 37.
Population below 50% of median adjusted household disposable income (%), 1994-2002. Varies from 5.4% for Finland to 17% for the US.

References

↑ http://hdr.undp.org/hdr2006/pdfs/report/Human_development_indicators.pdf

External links

Deprivation and Poverty Indicators

Social

Topics:	Social exclusion Social vulnerability Relative deprivation Disadvantaged Fushūgaku Hikikomori Social determinants of health in poverty

Measures:	Social Progress Index

Psychological

Topics:	psychological poverty Poverty and mental health Social and psychological value of money

Economic

Topics:	Money-rich, time-poor Poverty threshold Secondary poverty Asset poverty Housing stress Income deficit Survival sex Debt bondage

Measures:	Below Poverty Line (India) Homeless Vulnerability Index Misery index (economics) Gini coefficient Genuine progress indicator (GPI) Legatum Prosperity Index Poverty gap index

Physical

Topics:	Poverty and Violence Disability and poverty Food insecurity

Measures:	India State Hunger Index Global Hunger Index Disability-adjusted life year (DALYs) Global Peace Index (GPI)

Complex measures

Gender

Topics:	Feminization of poverty

Measures:	Gender-related Development Index (GDI) Gender Parity Index

Other

Diseases of poverty

Diseases of poverty	AIDS Malaria Tuberculosis Measles Pneumonia Diarrheal diseases

Neglected diseases	Cholera Chagas disease African sleeping sickness Schistosomiasis Dracunculiasis River blindness Leishmaniasis Trachoma

Miscellaneous	Malnutrition Priority review voucher

Indices of Deprivation

National (general deprivation)	Carstairs index Index of Multiple Deprivation 2000 (IMD2000) Indices of deprivation 2004 (ID2004) Indices of deprivation 2007 (ID2007) Indices of deprivation 2010 (ID2010)

National (subject specific deprivation)	Underprivileged area score Department of Environment Index

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Economic classification of countries

Three World Model

Gross domestic product (GDP)

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Purchasing power parity (PPP)	By country future estimates per capita per capita per hour worked per person employed

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Digital divide

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Lists of countries by population statistics

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Economic	Development aid given Foreign aid received Employment rate Irrigated land area Human Development Index by country inequality-adjusted Human Poverty Index Imports Income equality Job security Labour force Number of millionaires (US dollars) Number of billionaires (US dollars) Percentage living in poverty Public sector Sen social welfare function Unemployment rate

List of international rankings List of top international rankings by country Lists by country

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Human Poverty Index

For developing countries (HPI-1)

For selected high-income OECD countries (HPI-2)

See also

References

External links