1. Ricardo Paes de Barros - SAE
Computing, Decomposing and Interpreting Changes in the Human Opportunity Index - HOI
Ricardo Paes de Barros - SAE
Brasília, April 2011

2. Identify the circumstance groups
1.How to compute the HOI?
Identify the circumstance groups

4. 1. How to compute the HOI? Identify the circumstance groups
Compute all group specific coverage rates

6. 1. How to compute the HOI? Identify the circumstance groups
Compute all group specific coverage rates
Compute the overall coverage rate

8. 1. How to compute the HOI? Identify the circumstance groups
Compute all group specific coverage rates
Compute the overall coverage rate
Compute all inequality of opportunity consistent coverage rates

10. 1. How to compute the HOI? Identify the circumstance groups
Compute all group specific coverage rates
Compute the overall coverage rate
Compute all inequality of opportunity consistent coverage rates
Compute the HOI as the average of all inequality of opportunity consistent coverage rates

13. 2. HOI as the overall coverage rate minus a penalty due to violation of the principle of equal opportunity

15. 3. An important limitation of HOI: Total lack of sensitivity to transfers among vulnerable groups

16. 3 3

17. 4. Introducing a new HOI sensitive to transfers among vulnerable groups: The geometric mean

19. 5. Decomposing changes in HOI: The Scale and Equalizing Effects

23. 6. Optimum targeting and the losses due to imperfect targeting

26. 7. Decomposing changes in HOI: The Role of Changes in the Distribution of Circumstances