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Could you recommend an introductory reference to index decomposition analysis, including

  • different methods (e.g. methods linked to the Laspeyre index and methods linked to the Divisa index)
  • properties of decomposition methods which can be used to compare the different methods
  • implementations of methods, e.g. in R

? Any hint appreciated.

(could not tag as index-decomposition due to missing reputation)

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This thesis may be a starting place: A Comparative Analysis of Index Decomposition Methods, by Frédéric Granel. It should serve as a basic introduction to IDA and the Laspeyre index, but it does not include the Divisa index or any code implementing the methods.

For more detail, including the Divisa index, you might try Properties and linkages of some index decomposition analysis methods. As for implementations in R, there seems to be no package for IDA specifically, but micEcon and micEconAids have parts of it, by way of demand analysis.

Best of luck.

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Just for reference, an implementation of two index decomposition methods is now available.

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