annex C

         A full-fledged implementation of an integrated set of capital measures may be beyond the capacity of some statistical offices when, as a consequence of resourcing the statistical system, only the most basic information is available. This Annex presents a ‘minimum’ version of capital measures. Its objective is to sketch out a simplified method for capital measurement when the information basis is limited.          Investment series. Full implementation of the perpetual inventory method requires relatively long time series of gross fixed capital formation, broken down by type of asset and institutional sector or industrial activity. Such a data set may not be available. At a minimum, the following two-way classification for investment should be sought: sectoral dimension: GFCF carried out by government and by private sector and asset dimension: GFCF in machinery and equipment and in residential and non-residential structures.      

Measuring Capital - OECD Manual 2009: Second edition

annex C

Simplified perpetual inventory method