In this paper an empirical comparison of a number of alternative multilateral indexnumber formulae is undertaken. The magnitude of the effect of choosing one formula over another is ascertained using an appropriate cross-sectional data set constructed under the auspices of the Eurostat-OECD Purchasing Power Parity Programme. To this end, a new indicator is proposed that facilitates the measurement of the difference between two sets of bloc consumption shares, each computed using a different multilateral comparison method.

Additional Metadata
Journal Canadian Journal of Economics
Armstrong, K. G. (2001). What impact does the choice of formula have on international comparisons?. Canadian Journal of Economics, 34(3), 697–718.