Economic complexity of prefectures in Japan

• DOI: 10.1371/journal.pone.0238017
• Publication Date: 2020-08-27T17:30:46Z
• Authors: Abhijit Chakraborty; Hiroyasu Inoue; Yoshi Fujiwara
• Keywords: Per capita income

Every nation prioritizes the inclusive economic growth and development of all regions. However, we observe that activities are clustered in space, which results a disparity per-capita income among different A complexity-based method was proposed by Hidalgo Hausmann [PNAS 106, 10570-10575 (2009)] to explain large gaps across countries. Although there have been extensive studies on countries' complexity using international export data, at regional level relatively less studied. Here, study industrial sector prefectures Japan based basic information more than one million firms. We aggregate data as bipartite network sectors. decompose prefecture-prefecture sector-sector network, reveals relationships them. Similarities sectors measured metric. From these similarity matrices, cluster minimal spanning tree technique. The computed index from structure shows high correlation with macroeconomic indicators, such gross prefectural product per person. argue this reflects present performance hidden potential for future growth.