Choosing Aggregation Rules for Composite Indicators
From a formal point of view, a composite indicator is an aggregate of all dimensions, objectives, individual indicators and variables used for its construction. This implies that what defines a composite indicator is the set of properties underlying its mathematical aggregation convention. In this article, I try to revise the theoretical debate on aggregation rules by looking at contributions from both voting theory and multi-criteria decision analysis. This cross-fertilization helps in clarifying many ambiguous issues still present in the literature and allows discussing the key assumptions that may change the evaluation of an aggregation rule easily, when a composite indicator has to be constructed. Copyright Springer Science+Business Media B.V. 2012
Volume (Year): 109 (2012)
Issue (Month): 3 (December)
|Contact details of provider:|| Web page: http://www.springer.com/economics/journal/11135|
|Order Information:||Web: http://link.springer.de/orders.htm|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Michela Nardo & Michaela Saisana & Andrea Saltelli & Stefano Tarantola & Anders Hoffman & Enrico Giovannini, 2005. "Handbook on Constructing Composite Indicators: Methodology and User Guide," OECD Statistics Working Papers 2005/3, OECD Publishing.
- James S. Weber, 2002. "How many voters are needed for paradoxes?," Economic Theory, Springer, vol. 20(2), pages 341-355.
- Truchon, Michel, 1998. "An Extension of the Concordet Criterion and Kemeny Orders," Cahiers de recherche 9813, Université Laval - Département d'économique.
- Barthelemy, J. P. & Guenoche, A. & Hudry, O., 1989. "Median linear orders: Heuristics and a branch and bound algorithm," European Journal of Operational Research, Elsevier, vol. 42(3), pages 313-325, October.
- Podinovskii, Vladislav V., 1994. "Criteria importance theory," Mathematical Social Sciences, Elsevier, vol. 27(3), pages 237-252, June.
- Donald Saari, 2006. "Which is better: the Condorcet or Borda winner?," Social Choice and Welfare, Springer, vol. 26(1), pages 107-129, January.
- Bykvist, Krister, 2010. "Can Unstable Preferences Provide A Stable Standard Of Well-Being?," Economics and Philosophy, Cambridge University Press, vol. 26(01), pages 1-26, March.
- Ray, Paramesh, 1973. "Independence of Irrelevant Alternatives," Econometrica, Econometric Society, vol. 41(5), pages 987-91, September.
- Saari, Donald G., 1989. "A dictionary for voting paradoxes," Journal of Economic Theory, Elsevier, vol. 48(2), pages 443-475, August.
- Giuseppe Munda & Michela Nardo, 2009. "Noncompensatory/nonlinear composite indicators for ranking countries: a defensible setting," Applied Economics, Taylor & Francis Journals, vol. 41(12), pages 1513-1523.
- Truchon, Michel, 1995.
"Voting games and acyclic collective choice rules,"
Mathematical Social Sciences,
Elsevier, vol. 29(2), pages 165-179, April.
- Donald G. Saari & Vincent R. Merlin, 2000. "A geometric examination of Kemeny's rule," Social Choice and Welfare, Springer, vol. 17(3), pages 403-438.
- Sugden, Robert, 2010. "Opportunity As Mutual Advantage," Economics and Philosophy, Cambridge University Press, vol. 26(01), pages 47-68, March.
- Kenneth J. Arrow & Herve Raynaud, 1986. "Social Choice and Multicriterion Decision-Making," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262511754, June.
- Peyton Young, 1995. "Optimal Voting Rules," Journal of Economic Perspectives, American Economic Association, vol. 9(1), pages 51-64, Winter.
- Andrea Saltelli, 2007. "Composite Indicators between Analysis and Advocacy," Social Indicators Research, Springer, vol. 81(1), pages 65-77, March.
- Laurent Vidu, 2002. "Majority cycles in a multi-dimensional setting," Economic Theory, Springer, vol. 20(2), pages 373-386.
- Moulin, Herve, 1985. "From social welfare ordering to acyclic aggregation of preferences," Mathematical Social Sciences, Elsevier, vol. 9(1), pages 1-17, February.
When requesting a correction, please mention this item's handle: RePEc:spr:soinre:v:109:y:2012:i:3:p:337-354. See general information about how to correct material in RePEc.
If references are entirely missing, you can add them using this form.