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Sen’s Capabilities Approach: Expanding Economic Evaluation
Amartya Sen’s influence on economics extends far beyond traditional growth metrics. He championed a profound shift in how we understand and evaluate economic development, emphasizing the importance of human well-being and individual freedoms, encapsulated in his “capabilities approach.” This framework moves beyond solely focusing on income or utility as measures of success, instead prioritizing what people are actually able to do and be.
At its core, the capabilities approach argues that economic evaluation should center on individuals’ capabilities – the real opportunities they have to achieve functionings they value. Functionings are defined as “beings and doings,” encompassing aspects like being adequately nourished, healthy, educated, able to participate in political life, and respected within their community. A person’s capability set represents the range of functionings they can realistically achieve, given their resources, social circumstances, and personal characteristics.
Sen distinguishes between resources, functionings, and capabilities. Resources, like income, are only valuable insofar as they enable people to achieve desired functionings. Two individuals with the same income may have vastly different capabilities due to factors like disability, social discrimination, or access to healthcare. Thus, focusing solely on income or GDP provides an incomplete picture of societal progress. He argued that judging a society solely on aggregate utility (happiness) can also be misleading because individuals may adapt their expectations and desires to oppressive conditions, leading to a falsely inflated perception of well-being.
The implications of the capabilities approach are far-reaching. It provides a stronger foundation for evaluating social justice and addressing inequality. By focusing on capabilities, we can identify and address the specific barriers that prevent individuals from achieving their potential. This includes considering issues like access to education, healthcare, political participation, and freedom from discrimination. The approach acknowledges that individuals have diverse values and priorities, respecting their autonomy to choose the functionings they deem most important.
The capabilities approach has been applied in diverse fields, including development economics, social policy, and public health. It has informed the development of the Human Development Index (HDI), a composite index that considers life expectancy, education, and income to assess a nation’s progress. It has also been used to analyze the impact of poverty, gender inequality, and disability on individual well-being. Moreover, it provides a compelling framework for evaluating the effectiveness of government policies and programs, ensuring that they truly empower individuals and expand their opportunities.
Sen’s work challenges us to move beyond a narrow focus on economic growth and consider the broader dimensions of human flourishing. By prioritizing capabilities, we can create more just and equitable societies where everyone has the opportunity to live a fulfilling life.
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