Constructing GDP Estimates by the Output Approach, Malaya 1900-1939

The primary objective of this article is to overview the basic concepts and methodologies employed to estimate Malaya’s Historical GDP series by the production approach for the period 1900-1939. The Malayan GDP was estimated by the expenditure approach. for the period 1895-1939 but no single work for GDP estimates by the output approach and income approach is available for the period prior to 1947. In this study, therefore, an alternative approach, the production (value added) approach is attempted. The System of National Accounts (SNA) - a multi-purpose system designed by the United Nations for economic analysis, growth modeling and policy-making - is implemented in this study to meet international standards and guidelines for comparative purposes. The major tasks involve, firstly, the collection and evaluation of data and subsequently making estimates by employing several methodologies while at the same time ensuring that the concepts and definitions as outlined in the System of National Account (SNA) for each component of GDP. Refining methodology itself, particularly concerning measurement and interpretation, has been another major field of research. By and large, the outcome of this study provides a new dataset of historical GDP estimates by industrial origins to serve as a basic indicator of macroeconomic performance over time.