Eurostat-OECD Methodological Manual on Purchasing Power Parities (2012 Edition)

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The OECD, Eurostat, and 47 participating countries work together in establishing purchasing power parities, or PPPs, in order to compare the price and volume levels of the GDPs. This programme is called the Eurostat-OECD PPP Programme. The manual gives a complete, detailed and up-to-date description of the functioning of the programme. This includes its organisation, the various surveys carried out by participating countries and the ways PPPs are calculated and disseminated. It also provides guidance on the use of PPPs.


Consumer goods and services

Individual consumption expenditure by households covers the actual and imputed final consumption expenditure incurred by households on the goods and services they require to satisfy their individual needs and wants. It accounts on average for over 60 per cent of GDP and over 85 per cent of actual individual consumption in EU Member States and OECD Member Countries. It is by far the most important of the seven main aggregates that constitute the Eurostat-OECD classification of GDP expenditures and, as such, it is central to the international price and volume comparisons organised by Eurostat and the OECD.


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