Inderscience Publishers

A study of multi-dimension business climate index approach and its application

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This paper proposes a multi-dimension business climate index, which is constructed theoretically grounded on the FHLR method and involves the vector space approach and probability analysis of multi-dimension impact point for analysing the business climate index from the multi-dimension. The proposed index improves the celebrated leading indicator in that it considers the presence of multi-reference cycles due to the economic complexity. An empirical study based on the proposed index concerning Chinese multi-dimension business climate index provides valid results.

Keywords: business climate index, multi-dimension index, multi-dimension analysis, China, economic indicators, FHLR

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