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A Three-Way Approach for Defining Competitiveness Indexes of the European Regions (NUTS-2)

Author

Listed:
  • Laura Bocci

    (Sapienza Università di Roma)

  • Pierpaolo D’Urso

    (Sapienza Università di Roma)

  • Donatella Vicari

    (Sapienza Università di Roma)

  • Vincenzina Vitale

    (Sapienza Università di Roma)

Abstract

In the analysis of the competitiveness of the European regions a three-way approach is used to define indexes which prove to be a valid alternative and integration to the Regional Competitiveness Index (RCI). The STATIS method, which is a generalization of the Principal Component Analysis for three-way data, is applied to take into account the data structure in three macro-pillars (Basic, Efficiency, Innovation) which represent different facets of the competitiveness. STATIS searches for a common “compromise" of the macro-pillars by explicitly taking into account the similarity structure between both European regions and competitiveness indicators. The projection of the NUTS-2 European regions in a low-dimensional space spanned by the compromise allows to analyse similarities as well as disparities at regional level and provide useful and easy-to-read map to visualise both the regions and the indicators. The results largely reflect the 2019 edition of the RCI and its sub-indexes provided by Eurostat with the great advantage of not using an exogenous weighting system necessary in defining the RCI.

Suggested Citation

  • Laura Bocci & Pierpaolo D’Urso & Donatella Vicari & Vincenzina Vitale, 2024. "A Three-Way Approach for Defining Competitiveness Indexes of the European Regions (NUTS-2)," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 173(1), pages 305-349, May.
    • Handle: RePEc:spr:soinre:v:173:y:2024:i:1:d:10.1007_s11205-021-02839-9
    DOI: 10.1007/s11205-021-02839-9
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    References listed on IDEAS

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    1. Ben Gardiner & Ron Martin & Tyler Peter, 2004. "Competitiveness, Productivity and Economic Growth across the European Regions," ERSA conference papers ersa04p333, European Regional Science Association.
    2. Dani Rodrik & Arvind Subramanian & Francesco Trebbi, 2004. "Institutions Rule: The Primacy of Institutions Over Geography and Integration in Economic Development," Journal of Economic Growth, Springer, vol. 9(2), pages 131-165, June.
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