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CPC revision 2007. Ralf Becker UNSD. CPC 2007. What are the main issues to consider? Scope of CPC Aggregation structure Links to other product classifications Review of detail. CPC – Scope. Purpose, scope and coverage : Primarily designed to be used in statistical programmes OR
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CPC revision 2007 Ralf Becker UNSD
CPC 2007 • What are the main issues to consider? • Scope of CPC • Aggregation structure • Links to other product classifications • Review of detail
CPC – Scope • Purpose, scope and coverage: • Primarily designed to be used in statistical programmes OR • Central link to other existing product classifications, universal application
CPC – Scope • “CPC presents categories for all products that can be the object of domestic or international transactions or that can be entered into stocks.” (CPC introduction) • Output of production • Produced assets • Non-produced assets • Unintended by-products (+ used goods)
=CPC? CPC - Scope
CPC – Aggregation • Industry of origin approach • Pros: • Increased ease of use for some purposes • SNA, Supply and Use tables • Identify industry through products (??)
CPC – Aggregation • Industry of origin approach • Cons: • Does not always reflect real production patterns (industry code vs. activity) • Conflict with value added principle for main activity • Different purposes may need different aggregations
CPC – Aggregation • Demand-based approach • No experience with a full demand-based structure available yet • Will be independent of industry classification • Use COICOP (+COPNI, COPP) to develop structure or • Use NAPCS development work or ?
CPC - Aggregation • Elaborate demand based and industry of origin based structure simultaneously (using a double coding system)? • Create standardized aggregations for different purposes? • Industry of origin structure can be quickly created based on existing ISIC-CPC links • Demand-based structure would require more time; 2007 would be too early -> status quo for 2007
CPC - Links • CPC – goods • Based on Harmonized System (HS) • CPC – services • Based on Balance of payments (BOP/EBOPS) • CPC – assets • Based on classification of assets
CPC – Links (HS) • CPC generally follows HS revisions • HS is designed for international trade (tariffs) • Additional detail may be necessary in agriculture, waste products • Products produced, but not traded • Break HS links in these cases?
CPC – Links (BOP) • Request: Line up top-level categories of CPC and BOP/EBOPS • Problem: Scope of BOP is different • Partial links to sales • Excludes repair etc. • Most top categories are close (few exceptions) -> BOP – CPC(2/3-digit) possible • EBOPS breakdown often differs from CPC • Consider matching of mid-level building blocks
CPC – Detail • Need for detail depends on use of the classification (prices etc.) • Is goods and services detail adequate? • For some goods (agriculture, waste) detail has to be better than HS • FAOSTAT2 • Basel convention list
CPC – Questions • What are CPC applications in countries now? • What aggregation structures are being used? • Are activity links used / important? • Is the CPC detail sufficient? • Prices etc., existing product lists