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Experience with Different Methodologies for National Income Accounting in Central and Eastern European Countries, 1950-1990

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  • Rossitsa Rangelova

Abstract

During the period of centrally planning in the Central and Eastern European (CEE) countries the officially applied accounting system was the so-called Material Product System (MPS), which has been different from the System of National Accounts (SNA). This hampered the international comparisons of national income (Net Material Product - NMP), which was the basic macro-indicators of the centrally planned economies (CPEs) and Gross Domestic Product (GDP) in the market type economies. In parallel with the official practice in CPEs individual authors (like T. P. Alton and associates, A. Maddison, and others) or/and international organisations derived estimates of these countries’ national income mainly trying to transform NMP into GDP (GNP). The International Comparison Project (ICP), where countries from CEE participated, was of great importance for producing comparable estimates. In this study the known different approaches are presented, their methodological specificity is analysed and estimates of national income and economic growth for the period 1950-1990 are compared.

Suggested Citation

  • Rossitsa Rangelova, 2006. "Experience with Different Methodologies for National Income Accounting in Central and Eastern European Countries, 1950-1990," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 3-33.
    • Handle: RePEc:bas:econst:y:2006:i:3:p:3-33
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    References listed on IDEAS

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    1. Maddison, Angus, 1998. "Measuring the Performance of a Communist Command Economy: An Assessment of the CIA Estimates for the U.S.S.R," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 44(3), pages 307-323, September.
    2. Mr. Grzegorz W. Kolodko, 2000. "Globalization and Catching-Up: From Recession to Growth in Transition Economies," IMF Working Papers 2000/100, International Monetary Fund.
    3. Angus Maddison, 1998. "Measuring The Performance Of A Communist Command Economy: An Assessment Of The Cia Estimates For The U.S.S.R," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 44(3), pages 307-323, September.
    4. G. Kolodko, 2000. "Globalization and Catching-up. From Recession to Growth in Transition Economies," Voprosy Ekonomiki, NP Voprosy Ekonomiki, vol. 10.
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    1. Rossitsa Rangelova, 2010. "GDP as a Measurer of the Economic Growth – Methodological Specifics and Trends," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 3-38.

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    More about this item

    JEL classification:

    • N10 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - General, International, or Comparative
    • P24 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - National Income, Product, and Expenditure; Money; Inflation
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

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