FREE BOOKS

Author's List




PREV.   NEXT  
|<   7   8   9   10   11   12   13   14   15   16   17   18   19   20   21   22   23   24   25   26   27   28   29   30   31  
32   33   34   35   36   37   38   39   40   41   42   43   44   45   46   47   48   49   50   51   52   53   54   55   56   >>   >|  
ed worldwide in a given year. GNP/GDP methodology: In the "Economy'' section, GNP/GDP dollar estimates for the OECD countries, the former Soviet republics, and the East European countries are derived from purchasing power parity (PPP) calculations rather than from conversions at official currency exchange rates. The PPP method normally involves the use of international dollar price weights, which are applied to the quantities of goods and services produced in a given economy. In addition to the lack of reliable data from the majority of countries, the statistician faces a major difficulty in specifying, identifying, and allowing for the quality of goods and services. The division of a PPP GNP/GDP estimate in dollars by the corresponding estimate in the local currency gives the PPP conversion rate. One thousand dollars will buy the same market basket of goods in the US as one thousand dollars--converted to the local currency at the PPP conversion rate-- will buy in the other country. GNP/GDP estimates for the LDCs, on the other hand, are based on the conversion of GNP/GDP estimates in local currencies to dollars at the official currency exchange rates. Because currency exchange rates depend on a variety of international and domestic financial forces that often have little relation to domestic output, use of these rates is less satisfactory for calculating GNP/GDP than the PPP method. Furthermore, exchange rates may suddenly go up or down by 10% or more because of market forces or official fiat whereas real output has remained unchanged. One additional caution: the proportion of, say, defense expenditures as a percent of GNP/GDP in local currency accounts may differ substantially from the proportion when GNP/GDP accounts are expressed in PPP terms, as, for example, when an observer estimates the dollar level of Russian or Japanese military expenditures; similar problems exist when components are expressed in dollars under currency exchange rate procedures. Finally, as academic research moves forward on the PPP method, we hope to convert all GNP/GDP estimates to this method in future editions of The World Factbook. Growth rate (population): The annual percent change in the population, resulting from a surplus (or deficit) of births over deaths and the balance of migrants entering and leaving a country. The rate may be positive or negative. Illicit drugs: There are five categories of illicit drugs--narcotics, stimulants,
PREV.   NEXT  
|<   7   8   9   10   11   12   13   14   15   16   17   18   19   20   21   22   23   24   25   26   27   28   29   30   31  
32   33   34   35   36   37   38   39   40   41   42   43   44   45   46   47   48   49   50   51   52   53   54   55   56   >>   >|  



Top keywords:

currency

 

exchange

 
dollars
 

estimates

 

method

 

conversion

 

official

 

dollar

 

countries

 

expressed


services
 
forces
 
domestic
 

market

 

international

 

country

 
population
 

accounts

 

proportion

 

estimate


thousand
 

output

 

percent

 

expenditures

 

military

 

similar

 

Japanese

 

Russian

 

differ

 

unchanged


additional
 

remained

 

caution

 

defense

 

substantially

 

observer

 

deaths

 

balance

 

migrants

 

entering


births
 

resulting

 

surplus

 

deficit

 

leaving

 
categories
 

illicit

 

narcotics

 

stimulants

 

positive