Recent Developments In The International Comparison Of Prices And Real Output

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Recent Developments In The International Comparison Of Prices And Real Output

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Hill, Robert J.
Hill, T. Peter

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Robert J. Hill

Abstract

Three important current areas of research in the field of international comparisons are the construction of price indexes at the basic heading level, price indexes at higher levels of aggregation, and the linking of comparisons across regions. We consider recent innovations in each of these areas. These innovations have largely arisen out of International Comparisons Program (ICP) 2005, and hence we discuss them in this context. We give particular emphasis to the construction of price indexes at the basic heading level, because we believe it is here that the biggest problems lie. For example, the apparently anomalous results obtained for China and India in ICP 2005 can be traced back to problems at the basic heading level. We also highlight some inconsistencies in current ICP methodology and some promising areas for future research that warrant closer scrutiny in the next round of ICP.

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Article provided by Cambridge University Press in its journal Macroeconomic Dynamics.

Volume (Year): 13 (2009)
Issue (Month): S2 (September)
Pages: 194-217
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Handle: RePEc:cup:macdyn:v:13:y:2009:i:s2:p:194-217_09

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Barnett, William A. & Diewert, W. Erwin & Zellner, Arnold, 2009. "Introduction to Measurement with Theory," MPRA Paper 14868, University Library of Munich, Germany. [Downloadable!]
Other versions:
- William Barnett & W. Erwin Diewert & Arnold Zellner, 2009. "Introduction to Measurement with Theory," WORKING PAPERS SERIES IN THEORETICAL AND APPLIED ECONOMICS 200906, University of Kansas, Department of Economics, revised Apr 2009. [Downloadable!]
- Barnett, William A. & Diewert, W. Erwin & Zellner, Arnold, 2009. "Introduction To Measurement With Theory," Macroeconomic Dynamics, Cambridge University Press, vol. 13(S2), pages 151-168, September. [Downloadable!]

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This page was last updated on 2009-12-9.

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