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A composite indicator is formed when individual indicators are compiled into a single index, on the basis of an underlying model of the multi-dimensional concept that is being measured (e.g. competitiveness, e-trade or environmental quality).

Composite measures are used when single indicators cannot adequately capture such multi-dimensional concepts. Ideally, a composite indicator should be based on a theoretical framework / definition, which allows individual indicators / variables to be selected, combined and weighted in a manner which reflects the dimensions or structure of the phenomena being measured.

Composite Indicators in the Area of Gender Equality

In the area of gender equality, several composite indicators have been proposed:

References

OECD, 2004, “The OECD-JRC Handbook on Practices for Developing Composite Indicators”, paper presented at the OECD Committee on Statistics, 7-8 June 2004, OECD, Paris.

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