Design of a Synthetic Index of Local Economic Development (Original)
Keywords:
synthetic index; local economic development; multivariate statisticsAbstract
The present work pursues as general objective to determine a synthetic index of local economic development that allows to evaluate integrally the economic development in the municipalities of the Granma province, for which it was necessary the use of multivariable statistics techniques for the reduction of a set of indicators rigorously selected to a unique index that explains almost all the information contained in the original indicators. In addition, the results of the index are compared with the hierarchical conglomerates classification technique and then an evaluation is made applying regional analysis techniques. The work theoretically argues the theme addressed, taking into consideration the criteria of different authors of recognized national and international prestige on the analysis of economic development, an exposition of the antecedent work to obtain the single indicator and explain the steps to follow to obtain this indicator. The practical application of this work was made taking into account the information of the municipalities of the Granma province in the period 2005-2015 which demonstrated the practical feasibility of this type of analysis to evaluate the economic development of the municipalities under study. As a result of the analysis, we arrived at a set of valid conclusions and recommendations for the use of this type of techniques for the evaluation of the municipalities.
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