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Clusters of attributes and well-being in the USA

โœ Scribed by Prof. Joseph G. Hirschberg; Esfandiar Maasoumi; Daniel J. Slottje

Publisher
John Wiley and Sons
Year
2001
Tongue
English
Weight
176 KB
Volume
16
Category
Article
ISSN
0883-7252

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โœฆ Synopsis

Abstract

Using ARIMA models and entropy, the dynamic evolution of several functions of aggregate income and other attributes of wellโ€being is analysed for statistical โ€˜similarityโ€™ in order to determine potentially distinct dimensions in multidimensional analysis of welfare and quality of life in the USA. The entropy metric compares entire distributions and is more general than principal components and other correlationโ€based techniques for clustering. To help macroeconomic policy makers, we compare the distribution of several composite measures of wellโ€being which include income, with the distribution of some common measures of aggregate income over the period 1915โ€“1995. Per capita disposable income and growth in GNP are statistically distinct dimensions of wellโ€being. Copyright ยฉ 2001 John Wiley & Sons, Ltd.

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