Publication: Purchasing Power Parities and Real Expenditures of World Economics : A Comprehensive Report of the 2011 International Comparison Program
Loading...
Date
2015
ISSN
Published
2015
Author(s)
Editor(s)
Abstract
The International Comparison Program (ICP) is a large and highly complex worldwide statistical program conducted under the charter of the United Nations Statistical Commission (UNSC). The ICP is designed to provide globally comparable economic aggregates in national accounts that can be used by individual researchers, analysts, and policy makers at the national and international levels and by international organizations such as the European Union, International Monetary Fund, Organization for Economic Co-operation and Development (OECD), United Nations, and World Bank. Over its lifetime, the ICP has become the principal source of data on the purchasing power parities (PPPs) of currencies, measures of real per capita income, and measures of real gross domestic product (GDP) and its main components from the expenditure side, including private consumption, government expenditures, and gross fixed capital formation. Indeed, since its inception in 1970, successive rounds of the ICP have produced valuable data for international economic analyses of economic growth and the catch-up and convergence of incomes among nations; productivity levels and trends; analyses of systematic patterns in national price levels and trends; construction of the Human Development Index by the United Nations; measures of regional and global inequality in incomes and consumption; and estimates of the incidence of absolute poverty using World Bank developed yardsticks such as the US$1 a day and $2 a day poverty lines.
Link to Data Set
Citation
“World Bank. 2015. Purchasing Power Parities and Real Expenditures of World Economics : A Comprehensive Report of the 2011 International Comparison Program. © http://hdl.handle.net/10986/20526 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Preferences, Purchasing Power Parity, and Inequality(World Bank, Washington, DC, 2015-08)This paper makes analytical, methodological and empirical contributions to the literature on purchasing power parity. Purchasing power parities are required in a host of cross-country welfare comparisons, such as poverty rates and gross domestic product. The subject has recently generated much interest in the wake of the release of the final results of the 2011 International Comparison Program. This paper introduces a preference-based analytical framework that departs from the conventional Balassa-Samuelson framework in deriving empirically verifiable propositions on the link between purchasing power parity and exchange rates, and between purchasing power parity and inequality. The paper also provides an alternative methodology for calculating purchasing power parities that are benchmarked against the 2011 International Comparison Program purchasing power parities. As this study shows, the alternative methodology is capable of easy implementation on readily available data sets. The benchmarking exercise suggests that the 2011 International Comparison Program generally understates purchasing power parity and overstates gross domestic product, and that the purchasing power parities vary across expenditure percentiles. The study reports regional variation in the direction of the difference between the two purchasing power parities. The empirical evidence is supportive of the positive association between inequality and purchasing power parity derived in the paper.Publication South Africa Economic Update : Fiscal Policy and Redistribution in an Unequal Society(Washington, DC, 2014-11)The global economic recovery remains uneven, as growth in the United States is gaining momentum but appears to be at risk of stalling in the Euro Area and Japan. U.S. growth is expected to gain pace over the rest of the year and into 2015 as employment prospects boost real income growth and confidence. Following the Euro Area s exit from recession in 2013, GDP was flat in 2014, and preliminary data for the third quarter suggest slowing growth momentum amid weak domestic demand, ongoing balance sheet adjustments, a fragmented banking sector, and rising geopolitical risks. In Japan, a sales tax hike in April caused a more significant contraction in activity than expected, while exports failed to pick up.Publication Indonesia Economic Quarterly, July 2014 : Hard Choices(Washington, DC, 2014-07)The Indonesia Economic Quarterly (IEQ) has two main objectives. First, it reports on the key developments over the past three months in Indonesia's economy, and places these in a longer term and global context. Based on these developments, and on policy changes over the period, the IEQ regularly updates the outlook for Indonesia's economy and social welfare. Second, the IEQ provides a more in-depth examination of selected economic and policy issues, and analysis of Indonesia s medium-term development challenges. It is intended for a wide audience, including policymakers, business leaders, financial market participants, and the community of analysts and professionals engaged in Indonesia's evolving economy. As Indonesians await the results of a presidential election on July 9, 2014 and plan for the upcoming inauguration of a new president in October, they face hard policy choices. The past decade of solid growth has contributed to considerable development progress. Indonesia now has the world's tenth largest economy in purchasing power parity-adjusted terms; however, there remains a clear risk that the recent moderation in economic growth could intensify. Against a backdrop of weakening revenue growth and rising energy subsidy spending, this would further constrain development expenditures in critical areas such as infrastructure, social protection and health. The new government will face an evolving global environment, which is expected to pick up speed later this year. The price of Indonesia's top six exports, accounting for 50 percent of total export revenues, continues to soften, falling by 8.6 percent in 2014 through June, led by coal (down 15.2 percent). The recent volatility of oil prices, due in part to the turmoil in Iraq, highlights the ongoing vulnerability of Indonesia's fiscal position to higher international oil prices. Real GDP growth in Indonesia moderated to 5.2 percent year-on-year and 4.3 percent quarter-on-quarter at a seasonally-adjusted annualized rate in the first quarter of 2014. Safeguarding hard-fought poverty reduction and social protection progress in Indonesia also calls for enhancing the management of disaster risks. This edition of the IEQ examines one such disaster risk: forest and land fires.Publication The Poverty and Distributional Impact of Macroeconomic Shocks and Policies : A Review of Modeling Approaches(World Bank, Washington, DC, 2005-08)The importance of distributional issues in policymaking creates a need for empirical tools to assess the social impact of economic shocks and policies. This paper reviews some of the modeling approaches that are currently in use at the World Bank and other international financial institutions. The specification of these models is dictated by the issues at stake, the knowledge about the nature of the process involved, and the availability and reliability of relevant data. Furthermore, shocks and policies have macroeconomic, structural, and distributional implications. This creates interdependence between such policy issues. Finally, the distributional impact of shocks and policies hinges on the heterogeneity of socioeconomic agents with respect to endowments and behavior. In the end, each modeling approach should be judged on how well it handles the interdependence between policy issues and the heterogeneity of the stakeholders, given other constraints.Publication Indonesia Economic Quarterly, June 2011(Washington, DC, 2011-06)Indonesia's economic performance through mid-2011 has been positive. Solid growth has been accompanied by further portfolio capital and foreign direct investment inflows. Public and financial sector balance sheets remain strong. However, events over the past quarter serve as a reminder of a number of Indonesia's ongoing policy challenges. At the same time, the launch of the government's master plan 2011-2025 has focused attention on the investments and policy reforms which can help Indonesia reach its future growth potential. Finally, heightened international risk aversion originating from the Greek debt crisis, and the potential market implications of any haircut, were it to occur, are a reminder of the external shocks which could prompt reversals of short-term capital flows to Indonesia. However, events over the past quarter are a reminder of the current challenges which are faced and the need to put in place, and implement, the policies and investments necessary for Indonesia to reach its potential as a leading global growth driver of the next few decades.
Users also downloaded
Showing related downloaded files
No results found.