| Can I assign individual weights to the variables of an index? | ||||
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Yes, you can. |
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In fact, you can specify weights from -999.000 to +999.000. |
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Weights can be assigned according to a theoretical concept or according to a previous statistical analysis, such as a factor analysis. For instance, one could use factor loadings from a principal component analysis as weights in a corresponding index. |
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| Heilig, G.K. (2004): RAPS-China. A Regional Analysis and Planning System. Laxenburg, Austria |
