Power Distribution Index

PDI

Definition

A measure of how concentrated or distributed decision-making authority is within a capital system. Higher PDI indicates more distributed power (more stakeholders involved in capital allocation decisions).

Formula

PDI = 1 - Σ(share_i²) where share_i is each actor's proportion of allocation authority

Example

A traditional grant has PDI ≈ 0 (one funder decides all). A mature PSC system might have PDI ≈ 0.8 (beneficiaries, operators, and recycled capital all influence flows).

Source

Politics Section 6.2

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Political Economy