ABSTRACT

This chapter looks for relationships between the indices and provide some thoughts as to why any relationships may exist, or not. We are often interested in looking for relationships between indices and there is a statistical technique that allows us to do this called the Pearson product-moment correlation coefficient. Regression goes one step further than correlation. For the Environmental Performance Index (EPI), the graph with the raw Gross Domestic Product (GDP)/capita values brings out an interesting and important feature of the relationship. The regression line is based on the data we used to create it and there are no guarantees that the relationship would apply to data that are outside of that range. The dendrogram suggests that there is a cluster of indices comprising GDP/capita, the human development, the EPI, the Happiness Score, the Ecological Footprint and the Corruption Perception Index that all seem to have a strong relationship with each other.