Naslov
Development index: analysis of the basic instrument of Croatian regional policy

Autori
Perišić, Ana ; Wagner, Vanja

Izvornik
Financial theory and practice (1846-887X) 39 (2015), 2; 205-236

Vrsta, podvrsta i kategorija rada
Radovi u časopisima, članak, znanstveni

Ključne riječi
development index ; composite indicators ; multivariate analysis ; uncertainty analysis ; sensitivity analysis ; Croatia

Sažetak
The development level assessment and categorization of Croatian local and regional units is based on the value of the development index which is the main instrument of Croatian regional policy. The development index is a composite indicator calculated as a weighted average of five socio-economic indicators. The goal of this paper is to analyze the uncertainty and sensitivity of the development index that arise from the procedures and indicators used in its construction. This analysis is then used to propose useful guidelines for future impovements. The methodology of the Croatian regional development index has been critically reviewed, revealing problems of multicollinearity and the existence of outliers. An empirical and relatively more objective multivariate approach for weight selection has been proposed. The uncertainty and sensitivity analysis were conducted using Monte Carlo simulations and variance-based techniques. Instead of a unique point estimate for the development level of territorial units an alternative confidence interval approach was considered.

Izvorni jezik
Hrvatski

Znanstvena područja
Matematika, Ekonomija

POVEZANOST RADA