Revision of PPP time series
PPPs are compiled on an annual basis. Twice a year, in June and December, the most recent price survey results and national accounts data are incorporated into the calculation. The PPPs, PLIs and volume indices for GDP, its main sub-aggregates and a selected number of categories are published in Eurostat's dissemination database.
PPPs for a given year (t) are published in four steps:
- After t+6 months: First preliminary results, based on extrapolations from year t-1 and on the new data for year t that are available at that time;
- After t+12 months: Preliminary results, incorporating all new price and expenditure data of year t;
- After t+24 months: Revised, preliminary results, incorporating the most recent expenditure estimates;
- After t+36 months: Final results for year t. These results are "final" in the sense that there will be no further updates when countries revise their National Accounts estimates.
- Purchasing power parities (PPPs) scaled to the sum of expenditures of the EU Member States expressed in euro. This means that the PPP of one particular country indicates how many units of national currency one would need in that country in order to maintain the purchasing power of one euro in the EU.
- Price level indices (PLIs), defined as the PPPs divided by the respective nominal exchange rates, and multiplied with 100. PLIs provide a measure of the relative price levels of each country.
- Nominal expenditure in national currency, as extracted from each country's national accounts
- Nominal expenditure as percentage of GDP
- Real expenditure, defined as nominal expenditure divided by the PPP
- Real expenditure per inhabitant
- Volume indices of real expenditure per inhabitant
- The convergence indicators, defined as the coefficient of variation of the price level indices (PLIs) and per capita volume indices (VIs) of gross domestic product (GDP), actual individual consumption (AIC) and household final consumption expenditure (HFCE). It measures the price and volume convergence across countries.
The above indicators are published at the level of 61 categories (see excel file below) which include the main National Accounts aggregates.
The years covered are 1995 and onwards. However, the availability of data depends on the country and the aggregate (see reference metadata for details).
In addition, PPPs and real expenditures are available from the national accounts domain of Eurostat's website. While the PPPs at the level of GDP are identical in the two domains, there are some important differences between the two sets of volume indicators. Whereas the expenditure data in the PPP domain is updated twice a year (in June and December), the national accounts domain is updated continuously as countries provide revised NA updates. For this reason, the national accounts domain provides the most up-to-date indicators of GDP and GDP per capita in PPS.
On the other hand, the volume indicators in the price domain are based on aggregate-specific PPPs, while the national accounts domain uses the PPP for GDP to deflate not only GDP, but all sub-aggregates as well. This means that the volume indicators in the price domain are more suitable for aggregate-specific analyses than the data in the NA domain.