Countries' economic segmentation using k-means clustering for the year 2021

Abstract EN

The wealth of nations was previously measured by the increase in GDP, but after the inclusion of the social and environmental axes in the measurement of sustainable development, this is no longer the case.

this wealth is no longer seen as the sole economic view, but that does not prevent it from remaining the most important axis for measuring the wealth of nations.

the objectives of this study were to : (i) do value-segmentation of countries for economic axis and (ii) classify them based on collected data patterns and give their characteristics.

in this paper, we have summarized the results of the study that aims to break down countries into several distinct groups using data mining clustering algorithms.

this behavioral-based value-segmentation was done using k-means as a data mining clustering algorithm using GDP, GDP per capita, and GDP per area.

this analysis classified countries into five value segments using k-means and selected GDP per capita as the best metric to measure the economic axis.