Challenges of Globalization in the Measurement of National Accounts

This insightful book addresses the challenges globalization poses to national accounts measurement, exploring complexities in GDP and productivity calculations.

In Challenges of Globalization in the Measurement of National Accounts, the authors delve into the intricate relationship between globalization and economic measurement. Over the past thirty years, the complexity of global supply chains has significantly increased, posing challenges to traditional national income account aggregates. This collection provides a comprehensive analysis of how these evolving production arrangements can lead to distortions in conventional calculations of GDP and productivity.

The volume features a range of chapters that explore various multinational business activities, examining their implications for economic measurement. It highlights the difficulties global supply chains introduce in interpreting traditional trade statistics and discusses innovative measurement techniques that can shed light on contemporary global production dynamics. The authors emphasize the importance of adapting our measurement frameworks to better capture the realities of a globalized economy.

Additionally, the book investigates the role of intangible capital in global production, including the contributions of factoryless goods producers and the challenges of measuring research and development in a global context. By proposing methods to enhance national accounts through improved data collection and updated measurement standards, Challenges of Globalization in the Measurement of National Accounts ultimately aims to provide valuable insights for policymakers and researchers navigating the complexities of modern economic measurement.