Net versus gross national income and product

Frits Bos

MPRA Paper from University Library of Munich, Germany

Abstract: From a conceptual point of view, for most purposes net figures of Domestic Product and National Income are to be preferred to gross figures. Nevertheless, in practice gross figures are most often used on the ground of various arguments. In this paper, these arguments are challenged. To this end, attention is paid to the reliability of capital consumption estimates and the quantitative importance of employing net instead of gross figures. A sensitivity analysis is conducted for six OECD-countries (Netherlands, Germany, USA, Japan, UK and Sweden).

Keywords: measurement in economics; measurement bias; productivity; use of national accounts statistics; concepts of income (search for similar items in EconPapers)
JEL-codes: C8 E6 (search for similar items in EconPapers)
Date: 1990
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Citations: View citations in EconPapers (1)

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