Definition: Expected obsolescence

National accounts

Expected obsolescence is the loss in value on an asset through obsolescence that the purchaser was expecting to occur when the asset was acquired. It is a synonym for “foreseen” obsolescence and is included in consumption of fixed capital.

Source:
Organisation for Economic Co-operation and Development (OECD), "Measuring Capital - OECD Manual: Measurement of Capital Stocks, Consumption of Fixed Capital and Capital Services", Annex 1: Glossary of technical terms used in the Manual, Paris, 2001

Created:
2005-02-28

Updated:
2019-05-10