The Assessment of Political Risks in the Selected Countries: Multivariate Statistical Methods


The paper deals with the data were obtained from the set of variables published in the International Country Risk Guide. The variables were as follows: Government Stability, Socio-economic Conditions, Investment Profile, Internal Conflict, External Conflict, Corruption, and Military in Politics, Religious Tensions, Law and Order, Ethnic Tensions, Democratic Accountability, Bureaucracy Quality. To analyse the current situation in selected 140 countries, authors employ multivariate statistical techniques. They classify the analysed countries by means of cluster analysis to prove the existence of differentiated groups. The results were evaluated with the help of a dendrogram. The conclusions indicate that traditional NATO member countries achieve above-average values in the selected variables.

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