Economic Performance Evaluation Of Fragile 5 Countries After The Great Recession Of 2008-2009 Using Analytic Network Process And TOPSIS Methods


ÖNDER E. , TAŞ N. , HEPŞEN A.

The Clute Institute International Business & Education Conferences, San Francısco, United States Of America, 3 - 07 August 2014

  • Publication Type: Conference Paper / Full Text
  • City: San Francısco
  • Country: United States Of America

Abstract

Economic performance evaluation problem consists many criteria and sub criteria. Therefore it is
a  kind  of  multi-criteria  decision  making  (MCDM)  problem.  It  is  very  important  for  a  country  to
monitor  performance  parameters  in  order  to  ensure  that  appropriate  and  timely  decisions  and
plans  can  be  made.  Suitable  performance  measures  can  ensure  that  governments  adopt  a  long-term perspective and allocate the country’s resources to the most effective activities. Fragile five
(F5)  countries  namely  Brazil,  Turkey,  India,  Indonesia  and  South  Africa  have  large  and  fast
growing  economies.  These  developing  countries  are  the  members  of  the  G20  countries.  But  F5
countries have also some economic problems such as current account deficit, external credit and
currency.  The  aim  of  this  study  is  to  evaluate  the  economic  performance  model  of  F5  countries
during  2001-2013  periods.  Both  Analytical  Network  Process  (ANP)  and  Technique  for  Order
Preference by Similarity to Ideal Solution (TOPSIS) methodologies are used for the outranking of
countries  using  macroeconomic  indicators  including  gross  domestic  product,  current  account
balance,  general  government  gross  debt,  general  government  revenue,  general  government  total
expenditure,  gross  national  savings,  inflation  (average  consumer  prices),  population,  total
investment,  unemployment  rate,  volume  of  exports  of  goods  and  services,  volume  of  imports  of
goods  and  services.  In  this  study,  subjective  and  objective  opinions  of  economy  expert  turn  into
quantitative form with ANP.
 
Keywords: Fragile Five Countries, Economic Crisis, Macro Economic Parameters, Economic Performance
Evaluation, Analytic Network Process, TOPSIS