# Measurement of Regional Disparities (Level of Development) Contents

Some of the important techniques in the measurement of disparities.

## A. Composite Index Method

1. By taking a single indicator – e.g. Agriculture or industrial

## C.D.I = Pi/PI x 100

• Where, CDI = coefficient of development factor ‘i’
• Pi = % of factor ‘i’
• PI = mean % value factor in the whole region.

2. By considering all the indices of development –

## CID = Cdi1 + Cdi2 + Cdi3 + . . . . . . . + Cdin / N

• Where, CID = Composite Index of Development
• N = No. of variables.
• Cdi = coefficient of development factor ‘i’

## B. Normalization/Standardization Method

• This is Prof. Kundus’s method
• We have select the indicator for measuring the development.
• If we add the values of this indicator directly.
• The technique of division by mean i.e. x suggested by ‘Kundu’ is used for this purpose.
• Indicators are divided by their corresponding mean.
• After arranging these composite index values in descending order.
• Higher the value higher the development region.
• You make can understand the developed, moderate and backward levels of the region.

## C. Ranking Method

• This is Prof. Ashok Mitra’s Method.
• We select some of the indicators e.g. socio-cultural and economic prospects.
• We calculate the ranks of the values of each indicator.
• finally added the rank of each observation of each indicator, putting rank in descending order.
• If ranks are 1,2,3,4,…… n highest value and large.
• The lower the value higher is the development and vice versa.

## D. ‘Z’ Score Method

• In this method score of each areal unit is divided by the average for the region as a whole, to calculate what is known as the ‘z’ score method.
• Summation of the ‘z’ score for all indicators of each areal unit indicates the level of development, the higher the value higher will be the development.
• ‘Z’ score is also calculated alternatively by subtracting the mean from actual values and dividing it by S.D.