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      Measuring economic complexity of countries and products: which metric to use?

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          Quality Ladders in the Theory of Growth

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            Is Open Access

            The Product Space Conditions the Development of Nations

            Economies grow by upgrading the type of products they produce and export. The technology, capital, institutions and skills needed to make such new products are more easily adapted from some products than others. We study the network of relatedness between products, or product space, finding that most upscale products are located in a densely connected core while lower income products occupy a less connected periphery. We show that countries tend to move to goods close to those they are currently specialized in, allowing nations located in more connected parts of the product space to upgrade their exports basket more quickly. Most countries can reach the core only if they jump over empirically infrequent distances in the product space. This may help explain why poor countries have trouble developing more competitive exports, failing to converge to the income levels of rich countries.
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              Leaders in Social Networks, the Delicious Case

              Finding pertinent information is not limited to search engines. Online communities can amplify the influence of a small number of power users for the benefit of all other users. Users' information foraging in depth and breadth can be greatly enhanced by choosing suitable leaders. For instance in delicious.com, users subscribe to leaders' collection which lead to a deeper and wider reach not achievable with search engines. To consolidate such collective search, it is essential to utilize the leadership topology and identify influential users. Google's PageRank, as a successful search algorithm in the World Wide Web, turns out to be less effective in networks of people. We thus devise an adaptive and parameter-free algorithm, the LeaderRank, to quantify user influence. We show that LeaderRank outperforms PageRank in terms of ranking effectiveness, as well as robustness against manipulations and noisy data. These results suggest that leaders who are aware of their clout may reinforce the development of social networks, and thus the power of collective search.
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                Author and article information

                Journal
                The European Physical Journal B
                Eur. Phys. J. B
                Springer Nature America, Inc
                1434-6028
                1434-6036
                November 2015
                November 9 2015
                November 2015
                : 88
                : 11
                Article
                10.1140/epjb/e2015-60298-7
                f04b6fd4-a14e-4939-b86f-d4d8b117e290
                © 2015
                History

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