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National and subnational purchasing power parity: a review

Author

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  • Amita Majumder

    (Indian Statistical Institute)

  • Ranjan Ray

    (Monash University)

Abstract

The measurement of prices is an important area of research in economics since prices play a central role in welfare analysis and macroeconomic comparisons across time and space. While accurate figures on inflation and cost of living are required in temporal comparisons of standard of living in a country and in adjusting poverty lines over time, such information is also essential in spatial comparisons of prices within and across countries. This paper presents a review of the literature on various aspects of price comparisons through purchasing power parity.

Suggested Citation

  • Amita Majumder & Ranjan Ray, 2020. "National and subnational purchasing power parity: a review," DECISION: Official Journal of the Indian Institute of Management Calcutta, Springer;Indian Institute of Management Calcutta, vol. 47(2), pages 103-124, June.
    • Handle: RePEc:spr:decisn:v:47:y:2020:i:2:d:10.1007_s40622-020-00245-7
    DOI: 10.1007/s40622-020-00245-7
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