Distributional Measures Across Household Groups in a National Accounts Framework

Abstract

Valuable information exists already on household economic resources. The national accounts provide aggregate measures and micro sources (surveys, administrative records, and censuses) can be used to derive measures of the distribution across households groups. Over the years, however, macro and micro statisticians have tended to work separately leading to sometimes divergent results which can cause problem to users. In 2011, the OECD and Eurostat launched a joint Expert Group to carry out a study on the feasibility of compiling measures of the distribution of income, consumption and wealth across household groups that are consistent with national accounts definitions and totals. As part of the Expert Group, national experts from 16 countries performed experimental calculations using all the detailed micro and macro information available at the national level and following the same framework and methodology. The experimental results obtained are presented in this paper. They show disparities in household income and consumption, including Social Transfers in Kind, and in household saving for different groups of households: by income quintile; by main source of income; and by household type. The main methodological issues related to this exercise are described. The paper also illustrates the number of assumptions that are required to produce estimates on distribution across households consistent with national accounts definitions and totals.