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CDP Background Paper No. 59 By Matthias Bruckner Export concentration has long been recognized as a key indicator of the development progress of least developed countries (LDCs). This paper presents the refined export concentration index recently included in the criteria used for identifying LDCs. The refined index is a Theil index that covers both concentration in the basket of exported products and concentration in the set of export markets, thereby capturing two dimensions of vulnerability due to undiversified export structures. The paper shows that relative to other developing countries, LDCs are less diversified both in terms of export products and export markets, contributing to their… Measuring export concentration for identifying least developed countries
CDP Background Paper Series Archive The CDP Background Papers are preliminary documents circulated in a limited number of copies and posted on this website, to stimulate discussion and critical comment on the broad range of economic, social and environmental issues associated with the issues dealt with by the Committee for Development Policy. Readers are invited to submit their comments directly to the authors. The views and opinions expressed herein do not necessarily reflect those of the United Nations Secretariat. The designations and terminology employed may not conform to United Nations practice and do not imply the expression of any opinion whatsoever on the part of the Organization.… CDP Background Paper Series Archive