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Comparing China's GDP statistics with coincident indicators

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  • Mehrotra, Aaron
  • Pääkkönen, Jenni

Abstract

We use factor analysis to summarize information from various macroeconomic indicators, effectively producing coincident indicators for the Chinese economy. We compare the dynamics of the estimated factors with GDP, and compare our factors with other published indicators for the Chinese economy. The estimated factors and the published coincident indicators match the GDP dynamics well and discrepancies are very short. The largest discrepancies may correspond to shocks affecting the growth process.

Suggested Citation

  • Mehrotra, Aaron & Pääkkönen, Jenni, 2011. "Comparing China's GDP statistics with coincident indicators," Journal of Comparative Economics, Elsevier, vol. 39(3), pages 406-411, September.
  • Handle: RePEc:eee:jcecon:v:39:y:2011:i:3:p:406-411
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    1. repec:zbw:zewexp:162730 is not listed on IDEAS
    2. Holz, Carsten A., 2014. "The quality of China's GDP statistics," China Economic Review, Elsevier, vol. 30(C), pages 309-338.
    3. Pang, Ke & Siklos, Pierre L., 2016. "Macroeconomic consequences of the real-financial nexus: Imbalances and spillovers between China and the U.S," Journal of International Money and Finance, Elsevier, vol. 65(C), pages 195-212.
    4. Holz, Carsten A, 2013. "Chinese statistics: classification systems and data sources," MPRA Paper 43869, University Library of Munich, Germany.
    5. Heiner Mikosch & Ying Zhang, 2014. "Forecasting Chinese GDP Growth with Mixed Frequency Data," KOF Working papers 14-359, KOF Swiss Economic Institute, ETH Zurich.
    6. repec:eee:chieco:v:46:y:2017:i:c:p:261-274 is not listed on IDEAS
    7. Ma, Ben & Song, Guojun & Zhang, Lei & Sonnenfeld, David A., 2014. "Explaining sectoral discrepancies between national and provincial statistics in China," China Economic Review, Elsevier, vol. 30(C), pages 353-369.
    8. Jinshan Zhu & Hui Yao & Yingkai Tang & Liyong Wang, 2015. "An econometric analysis of sub-national Clean Development Mechanism performance in China," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 20(7), pages 1137-1153, October.
    9. repec:spr:jecstr:v:6:y:2017:i:1:d:10.1186_s40008-017-0096-5 is not listed on IDEAS

    More about this item

    Keywords

    Factor models Principal component GDP China;

    JEL classification:

    • C38 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Classification Methdos; Cluster Analysis; Principal Components; Factor Analysis

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