The Human Development Index” (HDI)

    The Human Development Index” (HDI)

    Two indexes are given in Course Work Semester 2 Excel file on Moodle.
    These indexes are intended to measure ‘well-being’ of a country.
    One index is called “The Happy Planet Index” (HPI)
    The other index is called “The Human Development Index” (HDI) (See Note A on page 3 for a brief summary of what they are)

    Section (1)

    For each of these two indexes (SEPARATELY) you need to do the following:

    (i) Examine the distribution of the data by constructing a histogram (You will first need to group the data into suitable intervals and construct a suitable table). You must comment on the shape of the distribution.
    (ii) Find a useful set of statistics which summarise this data. (These may include averages, other measures of location such as the quartiles, measures of dispersion.)
    (iii) You must write comments on the statistics which you find. Comments should include a discussion about which would be the most suitable ones to use to represent the data andespecially with regard to your results in (i) above.
    (iv) For each index, use a cumulative frequency curve to estimate the range in which the central 90 per cent of the distribution lies.
    (v) Use the two indexes to form a scatter diagram.
    (vi) Comment on whether any relationship between the two indexes is apparent from the scatter diagram.
    (vii) By eye, identify any apparent outliers.
    Assuming that there is reason to believe that there is a linear relationship between the two indexes,
    (viii) Find the value of product moment correlation coefficient. Comment on the value which you obtain.
    (ix) Find a linear model which indicates that the value of the HPI is dependent upon the value of the HDI.
    Section (2)
    Examining the relationship between the measures of Ecological Footprint and Gross Domestic Product (GDP):
    Using the data for these two measures found in World Happiness Folder
    (i) Draw a scatter diagram with GDP on the horizontal axis and Ecological Footprint on the vertical axis
    (ii) Comment on any noticeable features of your graph
    (iii) Find the value of the correlation coefficient for GDP and Ecological Footprint and comment on it. How does this relate to the graph from (i)?
    (iv) Find a line of best fit and interpret this line in terms of the measurements to which it relates.
    (v) Identify any apparent outliers on the graph.

    Section (3)
    Looking at some data which may be related to “well-being” (the following data relates only to the UK):
    Examining the changes over time of UK residents holidaying abroad:
    (i) Using the data from the Time Series tab of the World Happiness Folder plot a time series graph showing the numbers of UK residents holidaying abroad between 2007 and 2010
    (ii) Comment on any noticeable features of the graph.
    (iii) Carry out a suitable time series analysis to estimate the trend and the relevant seasonal fluctuations (deviations).
    (iv) Make projections for the number of UK residents travelling abroad in each of the quarters in 2013.

    NOTE A::These indexes were created by two different organisations.
    The HDI is constructed from measurements on life expectancy, educational attainment and income and is expressed as a value between 0 and 1.
    The HPI is formed from three component measures on life expectancy, experienced well-being and Ecological Footprint

    EXTENSION WORK
    Looking back at Section 1, consider how those two indexes were formed. Explain whether or not you think they are appropriate ways of measuring well-being / human development?
    Try to create your own index. Explain which measures / variables you have used to create this index.
    Discuss how your index compares to the other two indexes given in section 1.

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