IFPRI--Trade and Macroeconomics: Model References (Cluster Analysis)

Cluster Analysis
In analyzing cross-country data, we have started using cluster analysis. Cluster analysis seeks to maximize the homogeneity within each cluster, while also maximizing heterogeneity between different clusters, as reflected in the variables selected. It is a form of data dimensionality reduction that compacts information from an entire population or sample into information about specific, smaller groups.

Clustering methods:

  • agglomerative hierarchical
  • k-means
  • fuzzy
Publications

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