What would these indicators look like? The new assessment criteria would seek to answer questions such as:
1) How great are group-based (ethnic, religious, caste, clan, etc.) economic, political, and cultural horizontal inequities?
2) How equitable is public spending?
3) How equitable are markets?
4) How equitable is the rule of law? Do elites or particular groups have systemic advantages over others?
5) How effective is public authority and the rule of law (taking into account a variety of mechanisms to achieve these)?
6) How inclusive is the concept of citizenship?
7) How equitable is the system of property rights?
8 ) How inclusive and poverty reducing is growth?
9) How diversified is the economy and exports (which depends on the robustness of institutions)?
10) Is political succession institutionalized and predictable?
11) How much does politics revolve around political parties and policies (rather than ethnicity and patronage)?
12) How much do political leaders depend on group identities to gain, hold onto, or compete for power?
13) How well do formal institutions (such as laws) reflect informal institutions? How widely accepted are these? How well do they penetrate society (as opposed to existing above it)?
14) How much investment is going into large factories (which are more risky than other investments)?
15) What is the level of political risk to invest in labor-intensive businesses (which require more effort and are more beneficial to a population)?
16) Is the economy producing an adequate number of jobs for young people?
17) How well can the government implement the policies it puts into place (if a road is supposed to be built, does it? How good is it?)?
18) How well can the government project authority across distance (is it as effective in outlying districts as it is in the capital)?
19) Are the government’s capacity and the country’s economic prospects keeping up with increases in education, urbanization, and the expectations of the population?
20) Are levels of dissatisfaction/frustration rising among powerful out of power actors (elites, identity group leaders, youth leaders, religious leaders, etc.)?
Do development indicators deceive us? Here is a better approach | Global Dashboard – Blog covering International affairs and global risks.