The Incidence of Culture, Governance, and Economics on the Countries’ Development through an Analysis of Coupled Networks
This paper introduces an innovative methodology that combines industry level information (exports, HA 4-digits) with indicators at the country level, to analyze which social capabilities are important to explain the observed patterns of structural...
| Main Authors: | , |
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| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2017
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/618201487589776878/World-development-report-2017-the-incidence-of-culture-governance-and-economics-on-the-countries-development-through-an-analysis-of-coupled-networks http://hdl.handle.net/10986/26192 |
| Summary: | This paper introduces an innovative
methodology that combines industry level information
(exports, HA 4-digits) with indicators at the country level,
to analyze which social capabilities are important to
explain the observed patterns of structural transformation.
The authors consider several indicators to characterize
three dimensions: cultural, governance, and economic, plus
only one indicator (polity) for a political dimension.
Through the use of the product space, a measure of density
that identifies the proximity of non-developed products to
the countries’ export profile, and a system of coupled
networks where densities are adjusted in terms of social
affinities, the authors find the following main results: (i)
countries can be competitive in certain industries even if
they do not have a high value in some of these indicators;
(ii) the governance dimension is closely related on how the
countries’ export profiles are positioned in the product
space; and (iii) all of these dimensions, but not all the
indicators, help explain the observed process of structural
transformation and the widening of the gap between poor and
rich countries. |
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