National Statistics Online - Articles - Experimental Constant Price Input-Output Supply-Use Balances: An approach to improving the quality of the national accounts
Articles Database
Experimental Constant Price Input-Output Supply-Use Balances: An approach to improving the quality of the national accounts
Gives background to the development of constant price supply-use tables in the UK, outlines their benefits, and explains some conceptual issues on deflation.
Constant Price Input-Output Supply and Use tables are increasingly receiving international recognition as the best way in which to balance the constant price national accounts and produce constant price GDP. A number of countries, including the Netherlands, Canada and Denmark, already balance their accounts in this way.
Since late 1996 the ONS has been investigating the feasibility of producing constant price input-output supply and use tables for the UK. This article begins by giving some background to the development of constant price supply-use tables in the UK, together with their benefits. Some conceptual issues on deflation are explained, followed by a description of the Office’s plans for integrating constant price supply-use tables into the National Accounts’ annual balancing process.
The article ends by describing how experimental constant price supply-use tables, produced earlier this year, for 1996 in 1995 prices, have quantified inconsistencies in the national accounts, between the Index of Production for manufacturing and current price input-output tables, together with our plans for resolving them.
Download
