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Project Citation: 

Deaton, Angus, and Heston, Alan. Replication data for: Understanding PPPs and PPP-Based National Accounts. Nashville, TN: American Economic Association [publisher], 2010. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E114185V1

Project Description

Summary:  View help for Summary We provide an overview of the theory and practice of constructing PPPs. We focus on four practical areas: how to handle international differences in quality; the treatment of urban and rural areas of large countries; how to estimate prices for government services, health, and education; and the effects of the regional structure of the latest International Comparison Program for 2005. We discuss revisions of the Penn World Table, and their effects on econometric analysis, and include health warnings. Some international comparisons are close to impossible, even in theory, and in others, the practical difficulties make comparison exceedingly hazardous. (JEL C43, E01, E31, O57).

Scope of Project

JEL Classification:  View help for JEL Classification
      C43 Index Numbers and Aggregation; Leading indicators
      E01 Measurement and Data on National Income and Product Accounts and Wealth; Environmental Accounts
      E31 Price Level; Inflation; Deflation
      O57 Comparative Studies of Countries


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