National Accounting System
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Publicado: 25 de octubre de 2012
Equipo 8
UNIT IV
NATIONAL ACCOUNTING SYSTEM
History
Important historical events such as wars, economic crises and revolutions have always called the need for good quantitative data on the economy at the macro level, and have therefore contributed considerably to the development of national accounting. A look into the early history teaches us that a need for such data for policyanalysis formed the reason for the first estimates of national income.
They were made respectively by Sir William Petty and Gregory King in 1665 and 1696 for United Kingdom. Petty tried to show that the state could raise a much larger amount of taxes to finance the war expenditure than it actually did, and that the way of collecting taxes could be much improved. Moreover, Petty wanted to show thatthe United Kingdom was not ruined by its revolutions and by the wars with the foreign enemies, and that it could compare itself with the Netherlands and France with respect to the amount of trade and military potential.
The original motivation for the development of national accounts and the systematic measurement of employment, was the need for accurate measures of aggregate economicactivity. This was made more pressing by the Great Depression and as a basis for Keynesian macroeconomic stabilization policy and wartime economic planning. The first efforts to develop such measures were undertaken in the late 1920s and 1930s, notably by Colin Clark and Simon Kuznets. Richard Stone of the U.K. led later contributions during World War II and thereafter.
The first formal nationalaccounts were published by the United States in 1947. Many European countries followed shortly thereafter, and the United Nations published A System of National Accounts and Supporting Tables in 1952. International standards for national accounting are defined by the United Nations System of National Accounts, with the most recent version released in 2008. In Europe the worldwide System of NationalAccounts has been adapted in the European System of Accounts (ESA), which is applied by members of the European Union and many other European countries.
National accounting system
National accounts or national account systems (NAS) are the implementation of complete and consistent accounting techniques for measuring the economic activity of a nation (more broadly termed, social accounts).These include detailed underlying measures that rely on double-entry accounting. By construction such accounting makes the totals on both sides of an account equal even though they each measure different characteristics, for example production and the income from it. As a method, the subject may be termed national accounting or social accounting. While sharing many common principles with businessaccounting, national accounts are based on economic concepts.
National accounts broadly present output, expenditure, and income activities of the economic actors (corporations, government, and households) in an economy, including their relations with other countries' economies, and their wealth. They present both flows during a period and stocks at the end of a period, ensuring that the flows arefully reconciled with the stocks. National accounts also include measures of the stocks and flows of financial assets and liabilities (commonly called "financial accounts" or "flow of funds" accounts).
There are a number of aggregate measures in the national accounts, notably including gross domestic product or GDP, perhaps the most widely cited measure of aggregate economic activity. Ways ofbreaking down GDP include as types of income (wages, profits, etc.) or expenditure (consumption, investment/saving, etc.). Measures of these are examples of macro-economic data. Such aggregate measures and their change over time are generally of strongest interest to economic policymakers, although the detailed national accounts contain a rich source of information for economic analysis, for...
UNIT IV
NATIONAL ACCOUNTING SYSTEM
History
Important historical events such as wars, economic crises and revolutions have always called the need for good quantitative data on the economy at the macro level, and have therefore contributed considerably to the development of national accounting. A look into the early history teaches us that a need for such data for policyanalysis formed the reason for the first estimates of national income.
They were made respectively by Sir William Petty and Gregory King in 1665 and 1696 for United Kingdom. Petty tried to show that the state could raise a much larger amount of taxes to finance the war expenditure than it actually did, and that the way of collecting taxes could be much improved. Moreover, Petty wanted to show thatthe United Kingdom was not ruined by its revolutions and by the wars with the foreign enemies, and that it could compare itself with the Netherlands and France with respect to the amount of trade and military potential.
The original motivation for the development of national accounts and the systematic measurement of employment, was the need for accurate measures of aggregate economicactivity. This was made more pressing by the Great Depression and as a basis for Keynesian macroeconomic stabilization policy and wartime economic planning. The first efforts to develop such measures were undertaken in the late 1920s and 1930s, notably by Colin Clark and Simon Kuznets. Richard Stone of the U.K. led later contributions during World War II and thereafter.
The first formal nationalaccounts were published by the United States in 1947. Many European countries followed shortly thereafter, and the United Nations published A System of National Accounts and Supporting Tables in 1952. International standards for national accounting are defined by the United Nations System of National Accounts, with the most recent version released in 2008. In Europe the worldwide System of NationalAccounts has been adapted in the European System of Accounts (ESA), which is applied by members of the European Union and many other European countries.
National accounting system
National accounts or national account systems (NAS) are the implementation of complete and consistent accounting techniques for measuring the economic activity of a nation (more broadly termed, social accounts).These include detailed underlying measures that rely on double-entry accounting. By construction such accounting makes the totals on both sides of an account equal even though they each measure different characteristics, for example production and the income from it. As a method, the subject may be termed national accounting or social accounting. While sharing many common principles with businessaccounting, national accounts are based on economic concepts.
National accounts broadly present output, expenditure, and income activities of the economic actors (corporations, government, and households) in an economy, including their relations with other countries' economies, and their wealth. They present both flows during a period and stocks at the end of a period, ensuring that the flows arefully reconciled with the stocks. National accounts also include measures of the stocks and flows of financial assets and liabilities (commonly called "financial accounts" or "flow of funds" accounts).
There are a number of aggregate measures in the national accounts, notably including gross domestic product or GDP, perhaps the most widely cited measure of aggregate economic activity. Ways ofbreaking down GDP include as types of income (wages, profits, etc.) or expenditure (consumption, investment/saving, etc.). Measures of these are examples of macro-economic data. Such aggregate measures and their change over time are generally of strongest interest to economic policymakers, although the detailed national accounts contain a rich source of information for economic analysis, for...
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