IDEAS home Printed from https://ideas.repec.org/a/taf/fosoec/v45y2016i2-3p213-229.html
   My bibliography  Save this article

Methods for Constructing Non-Compensatory Composite Indices: A Comparative Study

Author

Listed:
  • Matteo Mazziotta
  • Adriano Pareto

Abstract

Composite indices are being more and more used to measure multidimensional phenomena in social sciences. Considerable attention has been devoted in recent years to the methodological issues associated with index construction, such as non-compensability and comparability of the data over time. The aim of this paper is to compare two non-additive approaches: the Mazziotta--Pareto Index (MPI) and the Weighted Product (WP) method. The MPI is a nonlinear composite index that rewards the units with ‘balanced’ values of the individual indicators. The WP method implicitly penalizes the ‘unbalance’ and allows building, for each unit, two closely interrelated composite indices: a ‘static’ index for space comparisons and a ‘dynamic’ index for time comparisons. The MPI entails an equal weighting of the indicators, and only relative time comparisons are allowed. The indices based on the WP method give more weight to low values, and allow for both absolute and relative time comparisons. An application to indicators of well-being in the Italian regions in 2006 and 2011 is presented.

Suggested Citation

  • Matteo Mazziotta & Adriano Pareto, 2016. "Methods for Constructing Non-Compensatory Composite Indices: A Comparative Study," Forum for Social Economics, Taylor & Francis Journals, vol. 45(2-3), pages 213-229, August.
    • Handle: RePEc:taf:fosoec:v:45:y:2016:i:2-3:p:213-229
    DOI: 10.1080/07360932.2014.996912
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/07360932.2014.996912
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/07360932.2014.996912?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Walheer, Barnabé, 2018. "Aggregation of metafrontier technology gap ratios: the case of European sectors in 1995–2015," European Journal of Operational Research, Elsevier, vol. 269(3), pages 1013-1026.
    2. Sinéad Keogh & Stephen O’Neill & Kieran Walsh, 2021. "Composite Measures for Assessing Multidimensional Social Exclusion in Later Life: Conceptual and Methodological Challenges," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 155(2), pages 389-410, June.
    3. Francesco Tajani & Maria Rosaria Guarini & Francesco Sica & Rossana Ranieri & Debora Anelli, 2022. "Multi-Criteria Analysis and Sustainable Accounting. Defining Indices of Sustainability under Choquet’s Integral," Sustainability, MDPI, vol. 14(5), pages 1-15, February.
    4. Stefania Capecchi & Rosaria Simone, 2019. "A Proposal for a Model-Based Composite Indicator: Experience on Perceived Discrimination in Europe," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(1), pages 95-110, January.
    5. Bertolini, Paola & Pagliacci, Francesco, 2017. "Quality of life and territorial imbalances. A focus on italian inner and rural areas," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 6(2), September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:fosoec:v:45:y:2016:i:2-3:p:213-229. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RFSE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.