Constructing a knowledge economy composite indicator with imprecise data

Laurens Cherchye, Willem Moesen, Nicky Rogge and Tom van Puyenbroeck

Working Papers of Department of Economics, Leuven from KU Leuven, Faculty of Economics and Business (FEB), Department of Economics, Leuven

Abstract: This paper focuses on the construction of a composite indicator for the knowledge based economy using imprecise data. Specifically, for some indicators we only have information on the bounds of the interval within which the true value is believed to lie. The proposed approach is based on a recent offspring in the Data Envelopment Analysis literature. Given the setting of evaluating countries, this paper discerns a ‘strong country in weak environment’ and ‘weak country in strong environment’ scenario resulting in respectively an upper and lower bound on countries’ performance. Accordingly, we derive a classification of ‘benchmark countries’, ‘potential benchmark countries’, and ‘countries open to improvement’.

Keywords: knowledge economy indicators; composite indicators; Multiple Imputation; Benefit of the Doubt; weight restrictions; Data Envelopment Analysis; data impreciseness (search for similar items in EconPapers)
JEL-codes: C14 C61 C82 (search for similar items in EconPapers)
Date: 2009-07
New Economics Papers: this item is included in nep-knm
References: Add references at CitEc
Citations:

Downloads: (external link)
https://lirias.kuleuven.be/bitstream/123456789/237727/1/DPS0915.pdf

Related works:
Working Paper: Constructing a Knowledge Economy Composite Indicator with Imprecise Data (2009)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ete:ceswps:ces09.15

Access Statistics for this paper

More papers in Working Papers of Department of Economics, Leuven from KU Leuven, Faculty of Economics and Business (FEB), Department of Economics, Leuven
Bibliographic data for series maintained by library EBIB ().