IDEAS home Printed from https://ideas.repec.org/a/aes/infoec/v24y2020i4p16-28.html
   My bibliography  Save this article

A Computational Approach to Economic Inequality, Happiness and Human Development

Author

Listed:
  • Irina GEORGESCU
  • Jani KINNUNEN
  • Armenia ANDRONICEANU
  • Ane-Mari ANDRONICEANU

Abstract

In this paper, we study the connections of categorical levels of Human Development Index (HDI), GDP per capita, World Happiness Index, the Gini indexes of Income and Wealth inequalities together with poverty rate for 98 world countries. By clustering analysis, we identify four groups of countries with similar features. K-means clustering algorithm is applied to obtain four clusters of sizes 21-26 countries by explaining 68.3% of the total variation in data. The analysis reveals significant differences between the clusters, while also factors with largest differences within the clusters. Secondly, multinomial logistic regression (MLR) is applied in predicting the HDI categories of the full sample of 98 world countries for year 2018. The MLR model can capture also nonlinear relationship. The logistic regression model achieved 91.8% overall accuracy. The results of our research together from earlier literature is followed by suggestions for the future research.

Suggested Citation

  • Irina GEORGESCU & Jani KINNUNEN & Armenia ANDRONICEANU & Ane-Mari ANDRONICEANU, 2020. "A Computational Approach to Economic Inequality, Happiness and Human Development," Informatica Economica, Academy of Economic Studies - Bucharest, Romania, vol. 24(4), pages 16-28.
    • Handle: RePEc:aes:infoec:v:24:y:2020:i:4:p:16-28
    as

    Download full text from publisher

    File URL: http://revistaie.ase.ro/content/96/02%20-%20georgescu,%20kinnunen,%20adroniceanu,%20androiniceanu.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Yuriy Bilan & Halyna Mishchuk & Natalia Samoliuk & Halyna Yurchyk, 2020. "Impact of Income Distribution on Social and Economic Well-Being of the State," Sustainability, MDPI, vol. 12(1), pages 1-15, January.
    2. Ravi Prakash & Pulkit Garg, 2019. "Comparative assessment of HDI with Composite Development Index (CDI)," Post-Print hal-02115225, HAL.
    3. repec:ssi:jouesi:v:1:y:2019:i:1:p:58-76 is not listed on IDEAS
    4. Ravi Prakash & Pulkit Garg, 2019. "Comparative assessment of HDI with Composite Development Index (CDI)," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 1(1), pages 58-76, March.
    5. Saša Stjepanović & Daniel Tomić & Marinko Škare, 2017. "A new approach to measuring green GDP: a cross-country analysis," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 4(4), pages 574-590, June.
    6. Muhammad Haseeb & Sebastian Kot & Hafezali Iqbal Hussain & Kittisak Jermsittiparsert, 2019. "Impact of Economic Growth, Environmental Pollution, and Energy Consumption on Health Expenditure and R&D Expenditure of ASEAN Countries," Energies, MDPI, vol. 12(19), pages 1-21, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Eleonora MARIŠOVÁ & Ivana LICHNEROVÁ & Ján MACHYNIAK, 2021. "Efficiency Of The Functioning Of Public Administration: Regional Empirical Study," REVISTA ADMINISTRATIE SI MANAGEMENT PUBLIC, Faculty of Administration and Public Management, Academy of Economic Studies, Bucharest, Romania, vol. 2021(36), pages 165-180, June.
    2. Ane-Mari ANDRONICEANU & Jani KINNUNEN & Irina GEORGESCU, 2021. "Entrepreneurial Motivations To Start New Businesses: A Panel Data Analysis," Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 15(1), pages 479-491, November.
    3. Ane-Mari ANDRONICEANU & Irina GEORGESCU & Jani KINNUNEN, 2022. "A New Entrepreneurial Motivations Profile For Starting New Business By Using A Panel Data Analysis," Management Research and Practice, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 14(1), pages 5-16, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zuriadah Ismail & Noor Lela Ahmad & Norlia Mat Norwani & Mohd Nazir bin Md Zabit, 2019. "Incentive Effects of Granting Equity-Based Payment on Reducing Top Executive Turnover," Research in World Economy, Research in World Economy, Sciedu Press, vol. 10(5), pages 157-166, December.
    2. N.A. Prodanova & N.S. Plaskova & V.A. Dikikh & L.V. Sotnikova & L.K. Nikandrova & G.A. Skachko, 2019. "Techniques for Assessing the Investment Attractiveness of a Commercial Organization based on Classical Methods of Strategic Economic Analysis," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(4), pages 35-46.
    3. Evgeny A. Kuzmin & Marina V. Vinogradova & Valentina E. Guseva, 2019. "Projection of enterprise survival rate in dynamics of regional economic sustainability: case study of Russia and the EU," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 6(4), pages 1602-1617, June.
    4. Michal Hrivnák & Katarína Melichová & Mária Fáziková & Oľga Roháčiková, 2019. "University graduates, knowledge spill-overs and localization of knowledge intensive ventures - case of post-socialistic country," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 7(1), pages 146-165, September.
    5. Liudmila V. Kashirskaya & Alexey A. Sitnov & Dilmurod Аsh. Davlatzoda & Tatiana M. Vorozheykina, 2020. "Knowledge audit as a key tool for business research in the information society," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 7(3), pages 2299-2319, March.
    6. Armenia ANDRONICEANU & Rodica GHERGHINA & Marilena CIOBANA?U, 2019. "The Interdependence Between Fiscal Public Policies And Tax Evasion," REVISTA ADMINISTRATIE SI MANAGEMENT PUBLIC, Faculty of Administration and Public Management, Academy of Economic Studies, Bucharest, Romania, vol. 2019(32), pages 32-41, June.
    7. Omer Allagabo Omer Mustafa, 2020. "The Role of Banking Finance and Monetary Policy in Enhancing Human Development Index in Sudan (1999-2018)," International Journal of Economics and Financial Issues, Econjournals, vol. 10(4), pages 64-68.
    8. Edvins Karnitis & Janis Bicevskis & Girts Karnitis, 2021. "Measuring the Implementation of the Agenda 2030 Vision in Its Comprehensive Sense: Methodology and Tool," Energies, MDPI, vol. 14(4), pages 1-17, February.
    9. Ionuț Jianu & Marin Dinu & Dragoș Huru & Alexandru Bodislav, 2021. "Examining the Relationship between Income Inequality and Growth from the Perspective of EU Member States’ Stage of Development," Sustainability, MDPI, vol. 13(9), pages 1-16, May.
    10. Zhenjiao Chen & Yaqing Liu, 2020. "The Effects of Leadership and Reward Policy on Employees’ Electricity Saving Behaviors: An Empirical Study in China," IJERPH, MDPI, vol. 17(6), pages 1-15, March.
    11. Mengmeng Meng & Weiguo Fan & Jianchang Lu & Xiaobin Dong & Hejie Wei, 2020. "Research on the Influence of Energy Utilization and Economic Development on Human Well-Being in Qinghai-Tibet Plateau," Sustainability, MDPI, vol. 13(1), pages 1-26, December.
    12. Li, Menghan & Zhang, Kaiyue & Alamri, Ahmad Mohammed & Ageli, Mohammed Moosa & Khan, Numan, 2023. "Resource curse hypothesis and sustainable development: Evaluating the role of renewable energy and R&D," Resources Policy, Elsevier, vol. 81(C).
    13. Siba Sankar Mohanty & Himanshu Mallik, 2022. "Discounting GDP for Pollution, Waste Generation and Natural Resources Depletion: A Comparative Analysis of selected High, Middle and Low income countries," Journal of Studies in Dynamics and Change (JSDC), ISSN: 2348-7038, Voices of Inclusive Change and Expressions- (VOICE) Trust, Dehradun, Uttarakhand, vol. 9(4), pages 13-27, October-D.
    14. Khairul Eahsun Fahim & Liyanage C. De Silva & Fayaz Hussain & Sk. A. Shezan & Hayati Yassin, 2023. "An Evaluation of ASEAN Renewable Energy Path to Carbon Neutrality," Sustainability, MDPI, vol. 15(8), pages 1-27, April.
    15. Serhiy Lyeonov & Tetyana Pimonenko & Yuriy Bilan & Dalia Štreimikienė & Grzegorz Mentel, 2019. "Assessment of Green Investments’ Impact on Sustainable Development: Linking Gross Domestic Product Per Capita, Greenhouse Gas Emissions and Renewable Energy," Energies, MDPI, vol. 12(20), pages 1-12, October.
    16. Gao, Ming, 2023. "The impacts of carbon trading policy on China's low-carbon economy based on county-level perspectives," Energy Policy, Elsevier, vol. 175(C).
    17. Luigi Aldieri & Jonas Grafström & Concetto Paolo Vinci, 2021. "The Effect of Marshallian and Jacobian Knowledge Spillovers on Jobs in the Solar, Wind and Energy Efficiency Sector," Energies, MDPI, vol. 14(14), pages 1-16, July.
    18. Massimiliano Mazzanti & Matteo Mazzarano & Andrea Pronti & Marco Quatrosi, 2020. "Fiscal policies, public investments and wellbeing: mapping the evolution of the EU," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 2(4), pages 725-749, December.
    19. Putra Hilmi Prayitno & Sheerad Sahid & Muhammad Hussin, 2022. "Social Capital and Household Economic Welfare: Do Entrepreneurship, Financial and Digital Literacy Matter?," Sustainability, MDPI, vol. 14(24), pages 1-16, December.
    20. Jiandong Chen & Ming Gao & Shulei Cheng & Yiyin Xu & Malin Song & Yu Liu & Wenxuan Hou & Shuhong Wang, 2022. "Evaluation and drivers of global low-carbon economies based on satellite data," Palgrave Communications, Palgrave Macmillan, vol. 9(1), pages 1-12, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aes:infoec:v:24:y:2020:i:4:p:16-28. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://edirc.repec.org/data/aseeero.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Paul Pocatilu (email available below). General contact details of provider: https://edirc.repec.org/data/aseeero.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.