# A new metric for countries’ fitness and products’ complexity

A. Tacchella, M. Cristelli, G. Caldarelli, A. Gabrielli, L. Pietronero

*Scientific Reports* 2, 723 (2012)

#economiccomplexity#networktheory#innovation

A snapshot of the bipartite network for the most important countries; size of vertices is the fitness and the complexity

Classical economic theories prescribe specialization of countries industrial production. Inspection of the country databases of exported products shows that this is not the case: successful countries are extremely diversified, in analogy with biosystems evolving in a competitive dynamical environment. The challenge is assessing quantitatively the non-monetary competitive advantage of diversification which represents the hidden potential for development and growth. Here we develop a new statistical approach based on coupled non-linear maps, whose fixed point defines a new metrics for the country Fitness and product Complexity. We show that a non-linear iteration is necessary to bound the complexity of products by the fitness of the less competitive countries exporting them. We show that, given the paradigm of economic complexity, the correct and simplest approach to measure the competitiveness of countries is the one presented in this work. Furthermore our metrics appears to be economically well-grounded.

#### Physicists make 'weather forecasts' for economies

A new metric for countries’ fitness and products’ complexity

Nature, 2015-02-23

#### A Better Way to Make Economic Forecasts

A new metric for countries’ fitness and products’ complexity

Bloomberg View, 2017-10-01

#### Phase transition creates the geometry of the continuum from discrete space

R. Farr, T. Fink

*Physical Review E*

#### The statistical physics of real-world networks

G. Cimini, T. Squartini, F. Saracco, D. Garlaschelli, A. Gabrielli, G. Caldarelli

*Nature Reviews Physics*

#### On defining the Hamiltonian beyond quantum theory

D. Branford, O. Dahlsten, A. Garner

*Foundations of Physics*

#### Reconstructing grain-shape statistics from electron back-scatter diffraction microscopy

R. Farr, Z. Vukmanovic, M. Holness, E. Griffiths

*Physical Review Materials*

#### Tackling information asymmetry in networks: a new entropy-based ranking index

P. Barucca, G. Caldarelli, T. Squartini

*Journal of Statistical Physics*

#### Eigenvalues of subgraphs of the cube

B. Bollobás, J. Lee, S. Letzter

*European Journal of Combinatorics*

#### Maximum one-shot dissipated work from Rényi divergences

N. Halpern, A. Garner, O. Dahlsten, V. Vedral

*Physical Review E *

123 / 123 papers