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Multivariate Classification of Local and Regional Government Units According to Socio-Economic Development

Ana Perišić orcid id ; Veleučilište u Šibeniku, Šibenik

Puni tekst: hrvatski pdf 487 Kb

str. 211-231

preuzimanja: 1.181



One of the key problems of economic policy of the Republic of
Croatia is the problem of uneven regional development. The Law
on regional development of the Republic of Croatia regulates the
evaluation and classification of local and regional government
units. The classification is based on the level of development as
measured by the development index. This univariate classification
relies on the value of a single variable that is a linear combination
of the standardized values of indicators, and this causes a
loss of information. The goal of this paper is to demonstrate an
alternative approach to the evaluation and socio-economic
classification of territorial units based on multivariate analysis.
The local and regional government units are evaluated using the
multivariate methods based on five socio-economic indicators.
Special emphasis is placed on undeveloped regions. In the
analysis of the results, problems of multicolinearity and outlier
existence, which exist in the classification based on development
index, are encountered and eliminated. The results confirm high
disparities in regional development. Almost all cluster methods
result in the formation of a separate cluster, which could not have
been foreseen from the classification based on the development
index. Such a cluster contains local and regional units that are
not highly undeveloped but have a large depopulation problem.
Consequently, units that need to be subjected to a specific
demographic development program can be indicated.

Ključne riječi

multivariate analysis, regional disparities, classification, socio-economic development, development index

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Podaci na drugim jezicima: hrvatski

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