ABSTRACT
Development is about the enhancement of human wellbeing. Because wellbeing is a highly multidimensional concept, defining development requires making a statement about the social needs and aspirations of the corresponding individual, group, class, or nation. This chapter discusses the seven dimensions of development, discussing in each case the corresponding indicators for measurement. These are: income and income growth, poverty and hunger, inequality and inequity, vulnerability, basic needs in education and health, environmental sustainability, and quality of life. Measuring a country’s income should take into account the value of all goods and services, including those that are not transacted in the market. On the positive side, this would include unpaid work, such as childcare provided at home by a parent and the production of so-called “z-goods” performed by a household member. A z-good is a home-produced good or service such as preparing meals out of purchased ingredients, fetching water and firewood, and maintaining the home.
