Misplaced Pages

Private product remaining

Article snapshot taken from Wikipedia with creative commons attribution-sharealike license. Give it a read and then ask your questions in the chat. We can research this topic together.
Economic indicator
The topic of this article may not meet Misplaced Pages's general notability guideline. Please help to demonstrate the notability of the topic by citing reliable secondary sources that are independent of the topic and provide significant coverage of it beyond a mere trivial mention. If notability cannot be shown, the article is likely to be merged, redirected, or deleted.
Find sources: "Private product remaining" – news · newspapers · books · scholar · JSTOR (February 2014) (Learn how and when to remove this message)
This article needs additional citations for verification. Please help improve this article by adding citations to reliable sources. Unsourced material may be challenged and removed.
Find sources: "Private product remaining" – news · newspapers · books · scholar · JSTOR (January 2010) (Learn how and when to remove this message)

Private Product Remaining or PPR is a means of national income accounting similar to the more commonly encountered GNP. Since government is financed through taxation and any resulting output is not (usually) sold on the market, what value is ascribed to it is disputed (see calculation problem), and it is counted in GNP. Murray Rothbard developed the GPP (Gross Private Product) and PPR measures. GPP is GNP minus income originating in government and government enterprises. PPR is GPP minus the higher of government expenditures and tax revenues plus interest received.

P P R = C + I − G + ( X − M ) {\displaystyle PPR=C+I-G+(X-M)\,}

  • C is the private consumption
  • I is the Investments
  • G is Government Spending
  • X is Exports
  • M is Imports

For example, in an economy in which the private expenditures total $1,000 and government expenditures total $200, the GNP would be $1,200, GPP would be $1,000, and PPR would be $800.

See also

References

  1. Rothbard, Murray N. (2006). Power & market : government and the economy (4th ed.). Auburn, Ala.: Ludwig von Mises Institute. ISBN 1933550058. OCLC 312753342.

External links


Stub icon

This article related to macroeconomics is a stub. You can help Misplaced Pages by expanding it.

Categories: