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How the U.S. Census Bureau e-commerce figures overestimate output and online sales

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  • Betancourt, Roger R.

Abstract

I identify biases in the definition of e-commerce employed by the Census Bureau. They arise from using a concept based on the role of ICT in a transaction that is measured empirically on the basis of sales/revenues. I quantify this bias as a measure of output growth in the retail sector for the most important e-commerce retail sector at the NAICS 4-digit level (4541). In addition, a range of estimates for the bias as a measure of the growth of actual online sales in this sector is derived. Potential solutions are provided in a concluding section.

Suggested Citation

  • Betancourt, Roger R., 2018. "How the U.S. Census Bureau e-commerce figures overestimate output and online sales," Economics Letters, Elsevier, vol. 172(C), pages 157-159.
    • Handle: RePEc:eee:ecolet:v:172:y:2018:i:c:p:157-159
    DOI: 10.1016/j.econlet.2018.09.004
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    More about this item

    Keywords

    E-commerce definition; Bias as output measure; Bias as online sales measure; Purchase process; Omni behavior; Channel customer/user distinction;
    All these keywords.

    JEL classification:

    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
    • L8 - Industrial Organization - - Industry Studies: Services
    • M3 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising

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