Regionalization Based on Socio-Economic Development Indicators in Bosnia and Herzegovina – Example of Federation of Bosnia and Herzegovina

Abstract This study classifies local self-government units (local communities) in the Federation of Bosnia and Herzegovina (FBIH) according to socio-economic characteristics by applying following multivariate methods: principal component analysis (PCA), regression cluster analysis. The selection variables was based on literature adjusted FBIH specifics, covering four hypothetical dimensions regional differentiation: macroeconomic, demographic, infrastructural socio-cultural indicators. PCA has identified five components: productivity component, demographic economic activity potential, spatial employment component. Further showed that all factors are significant predictors communities’ development, measured development index. resulted with clusters differences level. Considering municipalities administrative government classification is dimensions, correspond NUTS principles.