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The Use Of Taxonomy Methods For Clustering European Union Countries Due To The Standard Of Living

Author

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  • Marta Kuc

    (Nicolaus Copernicus University)

Abstract

This paper proposes the application of taxonomic tools to study the differentiation of standard of living in the European Union countries. The aggre-gate distance between given countries is the basis for grouping member states in terms of their internal structure of the studied characteristics. The analysis is based on two chosen methods–the Ward’s and k-means method. The study includ-ed 24 member states of the European Union in 1995-2010. Depending on the distance between the object, the countries were divided into two or four clusters. Similar configuration of each group obtained using both methods has led to the conclusion that these methods can be used both complementarily and separately.

Suggested Citation

  • Marta Kuc, 2012. "The Use Of Taxonomy Methods For Clustering European Union Countries Due To The Standard Of Living," Oeconomia Copernicana, Institute of Economic Research, vol. 3(2), pages 5-23, June.
    • Handle: RePEc:pes:ieroec:v:3:y:2012:i:2:p:5-23
    DOI: 10.12775/OeC.2012.006
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    References listed on IDEAS

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    1. Jon R. Kettenring, 2006. "The Practice of Cluster Analysis," Journal of Classification, Springer;The Classification Society, vol. 23(1), pages 3-30, June.
    2. Gabor J. Szekely & Maria L. Rizzo, 2005. "Hierarchical Clustering via Joint Between-Within Distances: Extending Ward's Minimum Variance Method," Journal of Classification, Springer;The Classification Society, vol. 22(2), pages 151-183, September.
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    Cited by:

    1. Agnieszka Wałachowska & Aranka Ignasiak-Szulc, 2021. "Comparison of Renewable Energy Sources in ‘New’ EU Member States in the Context of National Energy Transformations," Energies, MDPI, vol. 14(23), pages 1-17, November.
    2. Adam P. Balcerzak & Michał Bernard Pietrzak, 2015. "Quality of Institutions for Global Knowledge-based Economy and Convergence Process in the European Union," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 42.

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    More about this item

    Keywords

    standard of living; taxonomy methods; comparative analysis; Ward’s method; k-means clustering;
    All these keywords.

    JEL classification:

    • C38 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Classification Methdos; Cluster Analysis; Principal Components; Factor Analysis

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