Socioeconomic Index - This index is an aggregate measurement of the socioeconomic status of each municipality. It is determined by six (6) critical variables that characterize each locality: per capita income, median family income, families below the poverty level, labor force unemployment rate, population education level and illiteracy. Of these, the first three variables measure the economic status of families and individuals who reside within the geographical boundaries of each municipality. The fourth is a broad indicator of the economic health of these. The latter two provide a general measure of the level of social advancement of their community. To obtain the index, each of the municipality’s variables were divided by the corresponding value for Puerto Rico. Thus, a relative measure of each municipality in relation to the insular value for the same variables was obtained. Three of these variables (per capita income, median family income and education level), as its value increases, indicates economic progress. On the other hand, the remaining three variables (families under poverty, illiteracy, and unemployment rate), as its value increases, indicates socioeconomic decline. Therefore, we used these three variables to the inverse of the ratio of the value of the municipality on Puerto Rico. Hence, all components of the index represent an improvement if the values increase.
Concentration Index of the Commercial and Industrial Activity - This index is an aggregate measure used for the evaluation of the concentration of industrial and commercial activity of each municipality and its relation to the activity island wide. The index is composed by the population size and the number of establishments, commercial and industrial, of each municipality in relation to Puerto Rico.