23. THE ATLAS OF
M A P P I N G P A T H S
ECONOMIC COMPLEXITY
T O P R O S P E R I T Y
Hausmann, Hidalgo et al.
24. FIGURE 2.1:
Graphical explanation of diversity and ubiquity.
DiversityY(kc,0): :
DIVERSIT
Diversity is related to the number of X-RAY MACHINES
Diversity is related a country is connected
products that
to the number of NETHERLANDS (NLD)
products that ato. This is equal to the number of
country is connected to.
This is equal tolinks that this country has that
the number of links in the
network. In this example, using a
this country hasof the 2009 data, the In this
subset in the network. diversity
example, using a subset ofisthe 2009 data,
of Netherlands 5, that of Argentina
is 3, and that of Gana is 1.
the diversity of Netherlands is 5, that of
Argentina is 3, and that of Gana is 1. MEDICAMENTS
ARGENTINA (ARG) CREAMS AND POLISHES
CHEESE
Ubiquity (kp,0):
GHANA (GHA) Ubiquity is is :related to the number of
UBIQUITY
Ubiquity is is related to the number of
FROZEN FISH countries that a product is connected to.
countries that a product is connected to.
Thisisis equalthe number of linksof links that
This equal to to the number that
thisproduct hashas innetwork. In this In this
this product in the the network.
example, using a subset of the 2009 data,
example, using a subset of the 2009 data,
the ubiquity of Cheese is 2, that of Fish is
the ubiquity of Cheese is 2, that of Fish is 3
3 and that of Medicaments is 1.
25. Table 2.2.1 and Table 2.2.2 show respectively the products that rank highest products, on the other hand, are raw minerals or simple agricultural products.
and lowest in the complexity scale. The difference between the world’s most The economic complexity of a country is connected intimately to the com-
and less complex products is stark. The most complex products are sophistica- plexity of the products that it exports. Ultimately, countries can only increase
ted chemicals and machinery that tend to emerge from organizations where a their score in the Economic Complexity Index by becoming competitive in an
large number of high skilled individuals participate. The world’s least complex increasing number of complex industries.
TA B L E 2 . 2 . 1 : T O P 5 P R O D U C T S B Y C O M P L E X I T Y
Product Code (SITC4) Product Name Product Community Product Complexity Index
7284 Machines & appliances for specialized particular industries Machinery 2.27
8744 Instrument & appliances for physical or chemical analysis Chemicals & Health 2.21
7742 Appliances based on the use of X-rays or radiation Chemicals & Health 2.16
3345 Lubricating petrol oils & other heavy petrol oils Chemicals & Health 2.10
7367 Other machine tools for working metal or metal carbide Machinery 2.05
TA B L E 2 . 2 . 2 : B O T T O M 5 P R O D U C T S B Y C O M P L E X I T Y
Product Code (SITC4) Product Name Product Community Product Complexity Index
3330 Crude oil Oil -3.00
2876 Tin ores & concentrates Mining -2.63
2631 Cotton, not carded or combed Cotton, Rice, Soy & Others -2.63
3345 Cocoa beans Tropical Agriculture -2.61
7367 Sesame seeds Cotton, Rice, Soy & Others -2.58
26. across countries.
1.5 SVN
Income per capita controlling for initial income and proportion
1
FRA CHE
of natural resource exports per capita in logs [2008]
DOM NLD
ITA AZE
GRC QAT ESP IRL DEU
USA AUT JPN
KWT LBN GBR COG
MWI LBY BEL NOR FIN SAU
ARE CRI DNK SWE
.5
PRT AGO SGP KOR
BGD OMN JOR HRV HUN
NZL KHM TUR HKG SVK CZE
AUS CAN SRB
MUS EST ROU
GAB URY LVA LTU POL ISR
PRY TTO
LKA KAZ MDA PAN THA
DZA SLV BLR
0
VEN ARG BRA
CHL RUS CHN
CUB TKM BWA
ALBZAF MEX
IRN MKD SENCOL BGR MYS
MAR PHL BIH
PER ECU
JAM PAK NAM UKR
O GTM PNG
HND GEO MNG KEN TUN
NGA BOL
-.5
CIV MRT EGY IDN
SYR IND
NCC YEM MDG
SDN UGA GIN
CMR GHA ETH ZMB
LAO UZB VNM
MLI KGZ
TJK
TZA R2 = 0.73
-1
MOZ LBR
ZWE
-2 -1 0 1 2
Economic Complexity Index controlling for initial income and proportion
of natural resource exports per capita in logs [2008]
