Definition: Base-country invariance

Purchasing power parities

The property whereby the relativities between the PPPs (Purchasing power parities), the price level indices and the volume indices of countries are not affected by either the choice of national currency as numéraire or the choice of reference country.
Source:
Eurostat, Organization for Economic Cooperation and Development (OECD), "Eurostat-OECD Methodological Manual on Purchasing Power Parities", Publications Office of the European Union, Luxembourg, 2012
Created:
Updated:

Search box

Search