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The Commitment to Development Index: An Information Theory approach

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  • Stapleton, Lee M.
  • Garrod, Guy D.

Abstract

Using statistical model selection criteria rooted in Information Theory which penalise complexity we show that there is little justification for relaxing the equal weights assumption underlying the Center for Global Development's, Commitment to Development Index (CDI). The CDI is a composite index which combines metrics of aid, trade, investment, migration, environment, security and technology. A survey of researchers recently concluded that the CDI should not weight each of these six components equally. Specifically, it suggested that: trade and investment should be weighted higher; migration and aid should be weighted lower; with peacekeeping and environment not statistically different from equal weights. Generating hypothetical data around the weights proposed by the results of this survey we test an equally weighted CDI against two unequally weighted alternatives. Although the unequally weighted alternatives provide a superior goodness-of-fit to these hypothetical datasets, this is more than counteracted by the increased model complexity associated with these unequally weighted models according to most model selection criteria. The results of our analysis suggest that the CDI should not diverge from its equal weights assumption.

Suggested Citation

  • Stapleton, Lee M. & Garrod, Guy D., 2008. "The Commitment to Development Index: An Information Theory approach," Ecological Economics, Elsevier, vol. 66(2-3), pages 461-467, June.
    • Handle: RePEc:eee:ecolec:v:66:y:2008:i:2-3:p:461-467
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    References listed on IDEAS

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    1. Andrea Saltelli, 2007. "Composite Indicators between Analysis and Advocacy," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 81(1), pages 65-77, March.
    2. Lee Stapleton & Guy Garrod, 2007. "Keeping things simple: why the Human Development Index should not diverge from its equal weights assumption," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 84(2), pages 179-188, November.
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    Cited by:

    1. Roberto Castaneda & Pilar Arroyo & Lourdes Loza, 2020. "Assessing Countries Sustainability: A Group Multicriteria Decision Making Methodology Approach," Journal of Management and Sustainability, Canadian Center of Science and Education, vol. 10(1), pages 174-174, July.
    2. Petr Janský, 2015. "Updating the Rich Countries’ Commitment to Development Index: How They Help Poorer Ones Through Curbing Illicit Financial Flows," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(1), pages 43-65, October.
    3. Antonio Sianes & Manuel Dorado-Moreno & César Hervás-Martínez, 2014. "Rating the Rich: An Ordinal Classification to Determine Which Rich Countries are Helping Poorer Ones the Most," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 116(1), pages 47-65, March.
    4. Bojkovic, Natasa & Anic, Ivan & Pejcic-Tarle, Snezana, 2010. "One solution for cross-country transport-sustainability evaluation using a modified ELECTRE method," Ecological Economics, Elsevier, vol. 69(5), pages 1176-1186, March.

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