Important Facts For Prelims
- 31 Jan 2020
- 1 min read
Why in News
Recently, there has been a demand to measure Indian economy on ‘Misery Index’.
- The first misery index was created by Arthur Okun in 1960’s and was equal to the sum of inflation and unemployment rate figures to provide a snapshot of the US economy.
- The higher the index, the more is the misery felt by average citizens.
- It has broadened in recent times to include other economic indicators, such as bank lending rates.
- In recent times, variations of the original misery index have become popular as a means to gauge the overall health of the global economy.
- A variation of the original misery index is the Bloomberg misery index, developed by the online publication.