11.43. The Economist magazine5 developed a qualityof-lifc index for nations as the predicted value obtained by regressing...

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11.43. The Economist magazine5 developed a qualityof-lifc index for nations as the predicted value obtained by regressing an average of lifesatisfaction scores from several surveys on gross domestic product (GDP, per capita, in dollars), life expectancy (in years), an index of political freedom (from 1 = completely free to 7 = unfree), the percentage unemployed, the divorce rate (on a scale of 1 for lowest rates to 5 for highest), latitude (to distinguish between warmer and cold climes), a political stability measure, gender equality defined as the ratio of average male and female earnings, and community life (1 if country has high rate of church attendance or trade-union membership, 0 otherwise). Table 11.21 shows results ofthe model fit for 74 countries, for which the multiple correlation is 0.92. The study used the prediction equation to predict the quality of life in 2005 for 111 nations. The top 10 ranks were for Ireland, Switzerland, Norway, Luxembourg. Sweden, Australia, Iceland, Italy, Denmark, and Spain. Other ranks included 13 for the U.S., 14 for Canada, 15 for New Zealand, 16 for Netherlands, and 29 for the U.K.

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