Indicators of development in Wisconsin counties: 1970

Abstract

This research focused on the problem of measuring economic and social ‘development’.

Existing theories of economic and social change were used to select important indicators of development. For each indicator, principal components analysis was used to collapse several related variables into a single index. The indexes were labeled economic base, economic growth, personal economic opportunity, health inputs, health status, educational inputs, and educational attainment. In each case, selection of variables and indexes were constrained by two factors: (1) the data had to be available from secondary sources; (2) the selection of the indicators, and the procedure, had to be easily understood and cheaply and quickly repeatable by state or local agency personnel. In general the indexes were consistent with each other and the variables enter into the indexes with the expected sign. The high correlation among the indexes suggests that they may indeed measure some underlying attribute, development. There is no rigorous or absolute measure of development against which to check the validity of the indexes. However, the results have been judged ‘reasonable’ measures of development by the state agency staff and local development groups which have utilized the indexes.