The Method of Comprehensive Development Assessment based on Multy-Component Analysis
Purpose: Sustainable, inclusive progress, accompanied by income growth along with higher opportunities, quality of life, and environmental security, should be recognized as the key goal of any society. Moreover, development must necessarily include quality indicators, which reflect the compliance of the created economic environment with people's expectations. Therefore the aim of this research is to create a comprehensive index that combines quantitative and qualitative development indicators and identifies areas that need further attention and research. Design/Methodology/Approach: Unlike commonly accepted method of element by element development assessment, the method for calculating integrated development index for the EU member-states during 2016-2017s has been proposed in the article as well as the scenario forecasting up to 2020. The study is aimed at a hypothesis testing as: despite high income level, the country may experience low life satisfaction. Findings: Based on the analysis, it has been determined that countries with highest rates of human development occupy lower ranks according to the satisfaction with life index. Our comprehensive development index, which integrates human development index, the satisfaction with life and environmental performance index, has allowed us to identify countries that have balanced development of their economic-human-ecological systems. Practical Implications: Trend of decreasing value of the comprehensive development index of almost all EU member countries due to the reduction of their integrate indicators raise doubts. This may mean that EU member states’ development will have slower, and subsequently negative dynamics. The results of scenario forecasting have confirmed it, without changing the priority from quantitative indicators to qualitative ones. Originality/Value: The study proves the need to take into account both objective and subjective development indicators in order to improve them and reach the overall goals of the EU. This will strengthen EU’s international status.