Text Analytics Can Predict Contract Fairness, Transparency and Applicability

There is a growing attention, in the research communities of political economics, onto the potential of text analytics in classifying documents with economic content. This interest extends the data analytics approach that has been the traditional base for economic theory with scientific perspective. To devise a general method for prediction applicability, we identify some phases of a methodology and perform tests on a large well-structured repository of resource contracts containing documents related to resources. The majority of these contracts involve mining resources. In this paper we prove that, by the usage of text analytics measures, we can cluster these documents on three indicators: fairness of the contract content, transparency of the document themselves, and applicability of the clauses of the contract intended to guarantee execution on an international basis. We achieve these results, consistent with a gold-standard test obtained with human experts, using text similarity based on the basic notions of bag of words, the index tf-idf, and three distinct cut-off measures.