This function computes the prody index of industries from (incidence) regions - industries matrices, as proposed by Hausmann, Hwang & Rodrik (2007). The index gives an associated income level for each industry. It represents a weighted average of per-capita GDPs (but GDP can be replaced by R&D, education...), where the weights correspond to the revealed comparative advantage of each region in a given industry (or sector, technology, ...).
An incidence matrix with regions in rows and industries in columns
A vector that gives GDP, R&D, education or any other relevant regional attribute that will be used to compute the weighted average for each industry
Pierre-Alexandre Balland email@example.com
Balassa, B. (1965) Trade Liberalization and Revealed Comparative Advantage, The Manchester School 33: 99-123
Hausmann, R., Hwang, J. & Rodrik, D. (2007) What you export matters, Journal of economic growth 12: 1-25.
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