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Producer services and the ‘mixed‐market’ problem: some empirical evidence
Author(s) -
Wernerheim C. Michael,
Sharpe Christopher A.
Publication year - 1999
Publication title -
area
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.958
H-Index - 82
eISSN - 1475-4762
pISSN - 0004-0894
DOI - 10.1111/j.1475-4762.1999.tb00178.x
Subject(s) - service (business) , supply and demand , empirical evidence , economics , econometrics , business , industrial organization , microeconomics , marketing , philosophy , epistemology
Summary A derived‐demand approach to decomposing the service content of official statistics is developed and implemented on Canadian input‐output data. Our principal finding is that the fundamental problem of separating consumer services from producer services (the ‘mixed‐market’ problem) causes conventional supply‐orientated methodologies substantially to overestimate the economic contribution of producer services to GDP.