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Governance-adjusted Human Development Index: The case for a broader index and its implications for Arab States

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Governance is the most important factor in explaining deviations in broad human development over time.

Therefore, this paper contributes to the literature on improving human development measurement by producing a Governance Adjusted Human Development Index (GHDI) for 169 countries in the world for which data are available. The GHDI includes a dimension on governance achievements along with that in health, education and income.