Human Development and Economic Growth

Human development is a multidisciplinary concept. It entails three variables applied by the United Nations to manage the Human Development Index (HDI). They include a long-healthy life, keeping knowledgeable about one’s environment as well as having a desired living standard. The HDI was first developed by a Pakistan economist in 1990 after the United Nations Development Program UNDP was presented (Spence, Annez and Buckley 2008). The process is fundamental since it reduces poverty among the population that lives in more impoverished regions. Economic growth, therefore, entails creating various opportunities that had not existed initially to change the lives positively. This, in turn, increases the regional growth regarding domestic production as such areas grow faster in various dimensions to create high productivity locally (Cypher 2014). The regions thus, grow larger which subsequently increases the urban productivity since the resulting operation base for the business and other significant economic activities becomes more extensive and diverse.

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On the other hand, human development encompasses labour revitalisation processes that redefine the existing urban labour and make it better than the previous situation. Human development processes, therefore, entails the influx of new labour. For instance, in the United States, the increased immigration that occurred during 1820 from Europe led to a massive expansion of various manufacturing industries within the region (Spence, Annez and Buckley 2008). The migration facilitated the influx of labour into the United States which in turn led to the availability of labour in abundance who could perform a wide range of tasks including the productive work that required unskilled labour (McGillivray and White 1993). With the exploration the demand for labour rose which was subsequently filled by the influx of labour. Thus, human development entails the growth in the sector of labour that facilitates the operations of labour-intensive manufacturing activities.

The Differences between the Two Approaches

The process of economic growth and human development are two aspects of development in that the latter originates from multiple global discussion that is based on the availability of resources and various opportunities that are brought by the economic growth processes (Todaro and Smith 2015). On the other hand, economic growth largely depends on the capabilities of a particular region to facilitate the developmental procedures for a specific area and is profoundly impacted by the underlying social structures within a particular region (Cypher 2014). The social platforms may entail the educational standards with such areas, and the health facilities since the process of economic growth are directly dependent on the health situations as the primary objective and guiding frameworks of any national progress (Todaro and Smith 2015). The human development, on the other hand, has depended on the operation of economic growth programs since it is only through economic growth that a region can create more job opportunities that require the support of labour.

Also, the value of economic growth is directly measured by the Growth Domestic Product since the resulting progress of the commercial initiatives are directly reflected in the GDP reports (Spence, Annez and Buckley 2008). The GDP, however, is not used to measure the individual’s well-being. The human development process is responsible for displaying the underlying livelihood in various regions since it entails the direct interaction between humans and their economic activities (Islam 2019). Thus, regardless of the differences between the two approaches, they are interrelated in varying dimensions. The economic growth expands the available job opportunities with a particular region, whereas human development process fills the labour force gaps created in the economic growth processes.


Reference List

Cypher, J., 2014. The process of economic development. Routledge. Available from

Islam, R., 2019. Full and Productive Employment in Developing Economies: Towards the Sustainable Development Goals. Available from

McGillivray, M. and White, H., 1993. Measuring development? The UNDP’s human development index. Journal of international development5(2), pp.183-192. Available from

Spence, M., Annez, P.C. and Buckley, R.M. eds., 2008. Urbanization and growth. World Bank Publications. Available from

Todaro, M.P. and Smith, S.C., 2015. Economic Development, Pearson Education, 2015: Economic Development (Vol. 1). Bukupedia. Available from