Question

Which of the following indicators are parts of the Inclusive Development Index?
(A) Living Standards 
(B) Environmental Sustainability   
(C) Protection of Future Generations from Further Indebtedness 
(D) Financial Inclusion

• A. (A), (B) and (C)
• B. (A), (C) and (D)
• C. (B), (C) and (D)
• D. (A), (B) and (D)

Answer 1

The Correct Option is A

The question asks us to identify the indicators that are part of the Inclusive Development Index (IDI). To answer this, we need to understand what the IDI is and its components.

The Inclusive Development Index (IDI) is an annual assessment by the World Economic Forum that measures a country's economic performance in a holistic manner. Unlike GDP, it considers various socio-economic factors. The IDI mainly includes the following indicators:

1. Living Standards: This indicator measures the overall prosperity and quality of life of the population.
2. Environmental Sustainability: It assesses how sustainable the economic practices are concerning environmental factors.
3. Protection of Future Generations from Further Indebtedness: This involves ensuring that economic progress does not lead to excessive debt that could burden future generations.

Now, let's evaluate the options provided:

• Option A: Living Standards is part of the IDI as it measures overall prosperity.
• Option B: Environmental Sustainability is part of the IDI and is crucial for maintaining economic progress without degrading environmental resources.
• Option C: Protection of Future Generations from Further Indebtedness is included to ensure long-term economic stability and sustainability.
• Option D: Financial Inclusion is important for economic development but is not specifically mentioned as a separate component within the main indicators of the IDI.

Therefore, the correct components are (A), (B), and (C).

Hence, the correct answer is (A), (B) and (C).