A PROBABILISTIC APPROACH TO THE INEQUALITY ADJUSTMENT OF THE HUMAN DEVELOPMENT INDEX

ABSTRACT The Composition of Probabilistic Preferences is here applied to combine eight indicators of human development. The four components of HDI are considered together with indices of inequality in longevity, schooling, and income, and the UNDP Gender Development Index. To compose the probabilities of preference by the different criteria, a pessimistic and conservative point of view is taken. This point of view, while generating the global score, results in employing for each option the probability of not presenting the lowest evaluation according to any criterion, increasing the importance...