Purchasing power

About: Purchasing power is a research topic. Over the lifetime, 2714 publications have been published within this topic receiving 36866 citations. The topic is also known as: adjusted for inflation.

Method and system for electronic commerce user purchasing power classification

Abstract: The invention discloses a method and system for electronic commerce user purchasing power classification. The method includes the steps that based on price and sale volume distribution, the level of commodities of the same type is determined to be the high level, the level of other commodities of the same type is determined to be the non-high level, and the commodities at the non-high level are divided into x levels from high to low sequentially according to the price from high to low, wherein x is a preset natural number larger than or equal to 1; the ratio of the commodities at each level in overall commodities purchased by each user is calculated, the ratios are vectorized based on all the users, purchasing power vectors of all the users are acquired and are x+1 dimension vectors, and each dimension corresponds to one level; the purchasing power vectors are clustered, x+1 point clusters related to the purchasing power vectors are acquired, each point cluster corresponds to one level, and the level corresponding to the point cluster where the corresponding purchasing power vector of each user is located serves as the purchasing power level of the user. By the adoption of the method and system, user purchasing power classification is more accurate.

Financial counterparts of saving and investment and inconsistency in some simple macro models

Abstract: Financial assets play two roles in the economy. They provide wealth-holders with assets which relieve the saver of having to own and operate real capital, and they serve to transfer purchasing power from surplus- to deficit-spending decision units. Macroeconomic theory until recently has concentrated almost exclusively on the portfolio role of financial assets (including money), leaving implicit their role in financing expenditure.1

Endogenous Growth and Trade Liberalization Between Small and Large Countries

Abstract: The paper combines insight from new trade theory and R&D-based endogenous growth models to argue that there are ambiguous growth effects of trade liberalization between countries that differ in terms of the size of their home markets. In particular, trade liberalization may reduce R&D incentives in countries with low purchasing power without invoking parallel increases in countries with high purchasing power. The paper also considers the case of imperfect international knowledge spillovers, and demonstrates that complete trade liberalization may affect the growth rate negatively.

Volume and comparative advantage in East-West trade

Abstract: The volume and commodity structure of EU trade with the transition countries in central and eastern Europe (CEECs) is estimated on the assumption that it will follow the pattern of trade among market economies. A gravity-type approach at the level of product groups is used, combining geography and factor-proportions theory of international trade. It is shown that there is still considerable potential for a further rise in East-West trade if the CEECs' national product is valued at purchasing power parities, instead of market exchange rates. Considering divergent income levels and distance between East and West, the EU's comparative advantages are in specialised-supplier, scale-intensive and science-based goods, whereas the CEECs' comparative advantages are in labour-intensive and resource-intensive goods. The intersectoral specialisation pattern will become "flatter" and the share of intra-industry trade will grow when the income differentials decrease.