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Sin2x | 3 years ago

People and industries do not generally operate at nighttime, especially in more conservative societies. How exactly could this be an indicator of economic efficiency?

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zhdc1|3 years ago

They do, though. Many factories, railways, transportation hubs, ports, &c operate 24x7. Particularly in countries where manufacturing is the predominant industry.

You can also use nighttime light data to learn about levels and patterns of urban growth. Compare VIIRS imagery for India in 2013 with 2022.

The issue is whether there's a strong correlation between GDP and nighttime light data in all regions. There's a weak correlation (a lot has been published on this) and it's a good tool if you want to identify sharp, short term changes one way or the other. It's arguable, though, whether it's an appropriate proxy for a lot of different regions/countries with different economic models.