Country Classification Based on Labour Market- Related Characteristics
Journal of Social and Economic Statistics, vol. 2, nr. 1, pg. 51-69, 2013
19 Pages Posted: 11 Nov 2012 Last revised: 1 Jan 2018
Date Written: November 11, 2012
Abstract
This paper attempts to come up with a classification of countries that participated in a survey based on the labour-related values prevalent in their societies. Using data from the World Values Survey, wave 4, an attempt is made to create country clusters based on four classes of values that are relevant to labour market behaviour: 1) values important to the society as a whole, 2) societal perceptions, attitudes and behaviours 3) attitudes toward work, and 4) economic and political environment. After using principal component analysis to reduce dimensionality of the data on the last three dimensions, we ran cluster analysis on a mix of variables and factors obtained for highly correlated variables. Our findings are partially consistent to the existing classifications of countries . Some results appear to challenge some of the existing classifications, as we found some less expected associations that appear to be correct, given the fact that they occur for several classes of values. Other findings have little credibility and require either further research, or an assessment of the impact of the shortcomings of cluster analysis.
Keywords: cultural clusters, labour market characteristics, societal values, cluster analysis, principal components analysis
JEL Classification: A13, J01, Z10
Suggested Citation: Suggested Citation