MEASURING SERVICES IN NATIONAL ACCOUNTS NATIONAL

Transcript:MEASURING SERVICES IN NATIONAL ACCOUNTS NATIONAL:
MEASURING SERVICES IN NATIONAL ACCOUNTS NATIONAL ACCOUNTS DIVISION CSO NEW DELHI, INDIA MEASURING GVA OF SERVICES Services are the fastest growing sector. Estimation of output and prices entails various theoretical and practical difficulties Economic characteristics of services - intangibility and heterogeneity. Challenges in measuring volumes or output and value added at constant prices COVERAGE VALUE ADDED SHARES * Quasi corporations are unincorporated enterprises maintaining accounts and source of data is the NSS enterprises survey. VALUE ADDED SHARES Sources of data ESTIMATING GVA ( Non –Financial Services) Market producers : output in nominal terms is measured from the books of accounts broadly as sum of sales and changes in inventories. Non-market producers : output is measured at nominal prices on the basis of input cost approach, as sum of inputs, compensation of employees and consumption of fixed capital(CFC) CFC is compiled following the procedure of Perpetual Inventory method. Household sector Bench Mark Year estimate : Estimated Labour Input and the value added per worker (VAPW) in the activity. For subsequent years, the GVA is estimated by extrapolation using appropriate indicators relevant to the economic activity Effective LI method used for compiling estimates in some sectors to address the issue of differential labour productivity by assigning weights to different categories of workers engaged in an economic activity based on their productivity. Nested Cobb-Douglas function has been used for computing the weights of different categories of workers. INDICATORS USED INDICATORS USED INDICATORS USED Classification of financial corporations Financial corporations sector are divided into nine subsectors according to its activity in the market and the liquidity of its liabilities Central Bank Deposit taking corporations except the central bank Money Market Fund Non-Money market investment fund Other financial intermediaries except insurance corporations and pension funds Financial auxiliaries Captive financial institutions and money lenders Insurance corporations Pension Funds ESTIMATES AT CURRENT PRICES Central Bank (RBI) - Cost method on the entire operations of the RBI. Deposit taking corporations except the central bank- All nationalized banks, regional rural banks, other scheduled commercial banks including private and foreign banks, Cooperative credit societies etc.( financial intermediaries ) Financial intermediaries Reference Rate (RR) approach Output = FISIM (financial intermediation services indirectly measured) + AR (actual receipts) FISIM = (LR-RR)* average stock of loans + (RR-DR) * average stock of deposits. RR = harmonic mean of lending rate(LR) and deposit rate (DR) for the banking sector Intermediate Consumption (IC) = Management