• Proposing a structural equation econometric model to measure and estimate capabilities through a latent variable modelling approach, taking account of the interdependencies among the different capability dimensions and the influence of exogenous social, institutional and demographic factors on them. Illustration using macro-economic data.
• capabilities, functionings
• secondary data
• macro
• UN
• 56 countries
• Health, knowledge, political freedom
• Structural equation model (SEM)