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Net versus gross national income and product

By Frits Bos


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).

Topics: E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, Macroeconomic Policy, and General Outlook, C8 - Data Collection and Data Estimation Methodology; Computer Programs
Year: 1990
DOI identifier: 10.2139/ssrn.1033315
OAI identifier:

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