Multilateral Index Number Systems for International Price Comparisons: Properties, Existence and Uniqueness
Gholamreza Hajargasht () and
D.S. Prasada Rao
No WP032019, CEPA Working Papers Series from University of Queensland, School of Economics
Over the past five decades a number of multilateral index number systems have been proposed for spatial and cross-country price comparisons. These multilateral indexes are usually expressed as solutions to systems of linear or nonlinear equations. In this paper, we provide general theorems that can be used to establish necessary and sufficient conditions for the existence and uniqueness of the Geary-Khamis, IDB, Neary and Rao indexes as well as potential new systems including two generalized systems of index numbers. One of our main results is that the necessary and sufficient conditions for existence and uniqueness of solutions can often be stated in terms of graph-theoretic concepts and a verifiable condition based on observed quantities of commodities.
Keywords: purchasing power parities; international prices; nonlinear Perron-Frobenius problem; connected graphs; DAD problem; generalized mean (search for similar items in EconPapers)
JEL-codes: E31 C19 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Journal Article: Multilateral index number systems for international price comparisons: Properties, existence and uniqueness (2019)
Working Paper: Multilateral Index Number Systems for International Price Comparisons: Properties, Existence and Uniqueness (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:qld:uqcepa:133
Access Statistics for this paper
More papers in CEPA Working Papers Series from University of Queensland, School of Economics Contact information at EDIRC.
Bibliographic data for series maintained by SOE IT ().