TY - BOOK ID - 11262531 TI - The Hedonic Country Product Dummy Method and Quality Adjustments for Purchasing Power Parity Calculations AU - Silver, Mick. AU - International Monetary Fund. PY - 2009 SN - 1451918321 1452785376 128284458X 9786612844584 1451874162 1462362826 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Purchasing power parity. KW - Purchasing power. KW - Current purchasing power KW - Law of one price KW - One price, Law of KW - Parity, Purchasing power KW - Consumption (Economics) KW - Currency question KW - Money KW - Prices KW - Cost and standard of living KW - Income KW - Money illusion KW - Foreign exchange KW - Investments: Metals KW - Foreign Exchange KW - Macroeconomics KW - Public Finance KW - National Government Expenditures and Related Policies: Infrastructures KW - Other Public Investment and Capital Stock KW - Labor Economics: General KW - Metals and Metal Products KW - Cement KW - Glass KW - Ceramics KW - Price Level KW - Inflation KW - Deflation KW - Currency KW - Public finance & taxation KW - Labour KW - income economics KW - Investment & securities KW - Purchasing power parity KW - Public investment and public-private partnerships (PPP) KW - Labor KW - Silver KW - Price adjustments KW - Public-private sector cooperation KW - Labor economics KW - United States KW - Income economics UR - https://www.unicat.be/uniCat?func=search&query=sysid:11262531 AB - The 2005 International Comparison Program's (ICP) estimates of economy-wide purchasing power parity (PPP) are based on parity estimates for 155 basic expenditure headings, mainly estimated using country product dummy (CPD) regressions. The estimates are potentially inefficient and open to omitted variable bias for two reasons. First, they use average prices across outlets as the left-hand-side variable. Second, quality-adjusted prices of non-comparable replacements, required when products in outlets do not match the required specifications, cannot be effectively included. This paper provides an analytical framework based on panel data and hedonic CPD regressions for ameliorating these sources of bias and inefficiency. ER -