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Coefficient of Structural Concordance and an Example of its Application: Labour Productivity and Wages in Slovenia


  • Verbic, Miroslav
  • Kuzmin, Franc


The article presents the underlying principles, derivation and properties of a simple descriptive measure of concordance between two analogous rank structures that we call the coefficient of structural concordance. It is based upon the idea of Kendall’s coefficient of concordance, which we extend to two rank structures. As the coefficient of structural concordance is a pure intergroup measure of concordance, it is designed to complement the Kendall’s intragroup coefficient of concordance. We apply this descriptive measure by exploring the relationship between wages and labour productivity in Slovenia for the period 1998–2007. We are able to confirm the hypothesis of high concordance between wages and labour productivity, which indicates a stimulative role of wages in production of market traded goods and services.

Suggested Citation

  • Verbic, Miroslav & Kuzmin, Franc, 2008. "Coefficient of Structural Concordance and an Example of its Application: Labour Productivity and Wages in Slovenia," MPRA Paper 25522, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:25522

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    References listed on IDEAS

    1. Lawrence Hubert, 1979. "Generalized concordance," Psychometrika, Springer;The Psychometric Society, vol. 44(2), pages 135-142, June.
    2. James Beckett III & William R. Schucany, 1979. "Concordance among Categorized Groups of Judges," Journal of Educational and Behavioral Statistics, , vol. 4(2), pages 125-137, June.
    3. W. Schucany & W. Frawley, 1973. "A rank test for two group concordance," Psychometrika, Springer;The Psychometric Society, vol. 38(2), pages 249-258, June.
    4. Grzegorzewski, Przemyslaw, 2006. "The coefficient of concordance for vague data," Computational Statistics & Data Analysis, Elsevier, vol. 51(1), pages 314-322, November.
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    Cited by:

    1. Aleksander Aristovnik & Alka Obadic, 2015. "The impact and efficiency of public administration excellence on fostering SMEs in EU countries," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 17(39), pages 761-761, May.
    2. repec:voj:journl:v:63:y:2016:i:1:p:25-43 is not listed on IDEAS

    More about this item


    coefficient of structural concordance; Kendall’s coefficient of concordance; labour productivity; Slovenia; value added per employee; wages;

    JEL classification:

    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General


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