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International comparisons of productivity: the current and constant PPP approach

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  • Sumit Dey-Chowdhury

    (Office for National Statistics)

Abstract

Explains the differences between the two approaches, outlining the context in which they should be used.The purpose of this article is to explain the differences between the current and constant purchasing power parity (PPP) approaches to producing estimates of international comparisons of productivity. This aims to outline and explain the context in which the respective approaches should be used. The Office for National Statistics (ONS) recommends that, for assessing differences in productivity levels, the current PPP approach should be used. For comparing differences in productivity growth across countries, the constant PPP approach should be used. This article marks the first time that ONS has produced volume growth rates for these productivity data using the constant PPP approach. These are presented towards the end of this article. Economic & Labour Market Review (2007) [1], 33–39; doi:10.1057/palgrave.elmr.1410123

Suggested Citation

  • Sumit Dey-Chowdhury, 2007. "International comparisons of productivity: the current and constant PPP approach," Economic & Labour Market Review, Palgrave Macmillan;Office for National Statistics, vol. 1(8), pages 33-39, August.
    • Handle: RePEc:pal:ecolmr:v:1:y:2007:i:8:p:33-39
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    Cited by:

    1. Martin Schneider, 2014. "Labor Productivity Developments in Austria in an International Perspective," Monetary Policy & the Economy, Oesterreichische Nationalbank (Austrian Central Bank), issue 3, pages 13-35.
    2. Gabor Oblath & Eva Palocz & David Popper & Akos Valentinyi, 2015. "Economic convergence and structural change in the new member states of the European Union Convergence in volumes, prices and the share of services, with implications for wage convergence: an expenditu," CERS-IE WORKING PAPERS 1544, Institute of Economics, Centre for Economic and Regional Studies.

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