O-LevelEconomicsEconomic development2281/12 · May/June 2014 · Q211 Mark

Why is the Human Development Index (HDI) often considered to be better than GDP per head as a measure of living standards?

AGDP per head excludes economic growth.

BGDP per head ignores population growth.

CHDI includes more than the production of goods and services.

DHDI is calculated by the national government.

✓ Correct answer

C: HDI includes more than the production of goods and services.

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Topic: Economic development, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source: O-Level Economics, May/June 2014 Paper 1 Variant 2, question 21.

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