ABSTRACT

Chapter 10 examines the reasons for using indices and techniques used to combine indicators to form a single measure. Combining variables to measure a concept can give a more accurate and full picture of the phenomenon being researched. The single resulting measure is an index. Chapter 10 discusses common methods for developing indices and the principles and procedures researchers should consider when developing an index. These include the importance of defining the concept to be measured, selecting items for the index, combining the items, and weighting them properly. Weighting the items requires the researcher to ensure that any one item does not have undue influence in the index.

The chapter discusses as examples various indices used in public administration. These include indices used to measure community hardship and development and social conditions. The concept of factor analysis and its use as an index is discussed, as are common economic index numbers, such as the Consumer Price Index (CPI).