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Measuring Capital - OECD Manual 2009

Second edition

image of Measuring Capital - OECD Manual 2009

Capital - in particular of the physical sort - plays several roles in economic life: it constitutes wealth and it it provides services in production processes. Capital is invested, disinvested and it depreciates and becomes obsolescent and there is a question how to measure all these dimensions of capital in industry and national accounts. This revised Capital Manual is a comprehensive guide to the approaches toward capital measurement. It gives statisticians, researchers and analysts practical advice while providing theoretical background and an overview of the relevant literature. The manual comes in three parts - a first part with a non-technical description with the main concepts and steps involved in measuring capital; a second part directed at implementation and a third part outlining theory and a more complete mathematical formulation of the measurement process.

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Annex B

Implementation of capital estimates using an artificial dataset

This Annex uses the formulae worked out in chapter 19 and presents them in a typical sequence of implementation. An artificial but not unrealistic dataset is used to demonstrate implementation. The purpose of this annex is to document the sequence of implementation, to demonstrate how to aggregate across sectors and industries and to examine the effects of using an ex-ante versus an ex-post approach when measuring user costs. The documented dataset with all the calculations is available in spreadsheet form on [URL here]. The data set has the following features:

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