This paper critically reviews the two gender-related indices proposed by UN
DP in the 1995 Human Development Report, the Gender-Related Development Ind
ex (GDI) and the Gender Empowerment Measure (GEM). While supporting the nee
d to develop indicators that reliably track women's empowerment (GEM) as we
ll as the impact of gender inequality on overall human development (GDI), w
e argue that the particular ways in which these indices were constructed an
d the assumptions made to overcome data gaps severely limit their usefulnes
s and result in very misleading international comparisons. Wherever appropr
iate, we suggest remedies for some of the shortcomings identified. (C) 1999
Elsevier Science Ltd. All rights reserved.