ECON 102 Lecture Notes - Lecture 3: Simon Kuznets, National Accounts, Capital Account
Document Summary
How do we measure facts? (slide deck 3) Many different data sources: national accounting, international comparisons, micro data: national accounting = macro variables for us, nipa tables = measure gdp (+ its factors)/ employment from income/ product accounts. Made in the us by simon kuznets, in the uk by richard stone. Constant development of better measures of economic activity. Elaborated by bea (bureau of economic analysis, agency of us dept of commerce) 7 summary accounts, 299 tables: domestic income (left) = product account (right, private enterprise income account, personal income and outlay account, government receipts and expenditures account, foreign transactions current account, domestic capital account, foreign transactions capital account. > every entry to account needs corresponding/ opposite entry to a different account. > 2 entries = debit (lhs), credit (rhs) >r ecords revenues and expenses when they are incurred, regardless of when cash is exchanged.
