Indirect and Chain Indices

G. Stuvel
Additional contact information
G. Stuvel: All Souls College

Chapter 5 in The Index-Number Problem and Its Solution, 1989, pp 55-73 from Palgrave Macmillan

Abstract: Abstract Having dealt with binary comparisons in Part I, we now move on to consider multiple comparisons, i.e. comparisons involving more than two years. The main problem here is how to ensure that all possible binary comparisons between a set of N years are consistent with each other. The value, quantity and price relatives for single commodities all meet this requirement of being consistent with each other, because they all multiply according to the transitive law. Thus for commodity i and any three years r, s and t, we find that (5.1) V s i V r i × V t i V t i = V t i V r i ( r , s , t = 1 , … , N ) $$\frac{{V_s^i}}{{V_r^i}} \times \frac{{V_t^i}}{{V_t^i}} = \frac{{V_t^i}}{{V_r^i}}\quad \left( {r,s,t = 1, \ldots ,N} \right)$$ (5.2) Q s i Q r i × Q t i Q s i = Q t i Q r i ( r , s , t = 1 , … , N ) $$\frac{{Q_s^i}}{{Q_r^i}} \times \frac{{Q_t^i}}{{Q_s^i}} = \frac{{Q_t^i}}{{Q_r^i}}\quad \left( {r,s,t = 1, \ldots ,N} \right)$$ and (5.3) P s i P r i × P t i P s i = P t i P r i ( r , s , t = 1 , … , N ) $$\frac{{P_s^i}}{{P_r^i}} \times \frac{{P_t^i}}{{P_s^i}} = \frac{{P_t^i}}{{P_r^i}}\quad \left( {r,s,t = 1, \ldots ,N} \right)$$

Keywords: Index Number; Price Structure; Volume Development; Binary Comparison; Single Commodity (search for similar items in EconPapers)
Date: 1989
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-10816-9_5

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349108169

DOI: 10.1007/978-1-349-10816-9_5

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().