A FACTOR ANALYSIS METHOD APPLIED IN DEVELOPMENT FIELD

Abstract

Both processes of development and globalization, refers to the nation’s economy and people welfare from all over the world, being subjects of present interest for different organizations. The economic reality and people living status can be described through a batch of variables. The problem appears when the number of variables is significant, and appears the need of handle this great volume of information. A solution to this problem can be the application of a factor analysis method, so called Principal Components Analysis, with the final goal of establishing and analyzing, those variables, which influence in a meaningful way, the human development.

Keywords

• Principal Components Analysis
• National Institute of Statistics
• United Nations Development Program.