Economic Complexity and Human Development: DEA performance measurement in Asia and Latin America

Abstract

Palavras-chave: Análise por Envoltória de Dados (DEA); Análise em janela; Complexidade econômica; Economic Complexity Index (ECI); Desenvolvimento humano.Abstract: Economic growth is not the only factor to explain human development. Therefore, many authors have prioritized studies to measure the Human Development Index. However, these indexes do not analyze how Economic Complexity can increase Human Development. This paper aimed to determine how efficiently nations from Latin America and Asia measure a country's performance in converting Economic Complexity into Human Development, between 2010 and 2014. We used Data Envelopment Analysis (DEA), through the Variable Returns of Scale (VRS) Model and Window Analysis. Results showed that in 2014, all Asian countries, except China and the Philippines, were efficient; on the other hand Cuba was the benchmark for inefficient countries. Window Analysis showed Japan, South Korea and Singapore were efficient over time. This result confirms the initial hypothesis of this article: the more complex countries are the more efficiently they create Human Development.

Economic Complexity and the Mediating Effects of Income Inequality: Reaching Sustainable Development in Developing Countries

“…We also used different year lags to obtain more robust results.This article contributes to the field of research by integrating not only political factors to understand human development, but also a new economic indicator, namely the economic complexity index, as well as cultural and environmental indicators. This study, which was based on quantitative results, provides comprehensive empirical findings, and digs further into the mediated effects of income inequality, as suggested by Ferraz et al [8]. Furthermore, we found that a different model should be…”

“…They require more exceptional technical training and a network of people sharing their knowledge. Therefore, the geographical location of individuals influences their abilities and reflects the influence of economic complexity on human development [8].…”

“…The goal of humanity is to implement an environment that enhances individual freedom, but also improve the range of choices associated with having a longer and healthier life [12,13]. Human Development is "the process of expanding individual freedom" [8]. It focuses on human life rather than the economy.…”

“…Economic complexity became a new hot topic due to its highly predictive role regarding future economic growth, but also regarding social welfare [5]. Countries have to be more complex to be more efficient in creating human development [8]. Economic complexity is the productive structure of a nation [26].…”

A educação como determinante de complexidade econômica: um estudo para Estados-nação

“…Logo, o investimento educacional no ensino superior é muito mais elevado do que nos ensinos primário e médio no Brasil, apesar de vários pesquisadores terem encontrados resultados de que o investimento em educação primária traz maiores retornos educacionais. produtos inovadores, com maior valor agregado e competitividade internacional, além de trabalhadores tecnicamente mais qualificados(FERRAZ et al, 2018).…”