Introduction (business meeting)

Second Consortium Meeting, 9-11 June 2005, Helsinki

Bart van ArkGroningen Growth and Development Centre

University of Groningen

This project is funded by the European Commission, Research Directorate General as part of the 6th Framework Programme, Priority 8, "Policy Support and Anticipating Scientific and Technological Needs".

2

Introduction

• Aims of 2nd consortium meeting in light of EU KLEMS project

• Progress over past 8 months (since October 2004 meeting in London)

• Next steps (up to April 2006)

• Administrative issues

• Questions

3

Main aspects of EU KLEMS database

• EU KLEMS project is 3-year statistical and analytical research project funded by 6th Framework Programme

• Purpose is to create a database on productivity by industry for EU member states with a breakdown into contributions from capital (K), labour (L), energy (E), materials (M) and service inputs (S)

• Full coverage of “old” EU-15 plus 5 new member states (PL, SK, HU, CZ and SI)

• Limited coverage of GR and PT and other 5 new member states (CY, MT, LT, LV and EE)

• Also comparisons with U.S. and Japan (and Canada)

• Time coverage: 1970-2005, with greatest detail on revision period

• 14 research institutes across Europe, led by GGDC and NIESR

4

Main aspects of analytical research

• Conduct out a number of analytical research projects in areas of:

• analysis of productivity, prices, industry structures, technology and innovation indicators

• labour markets and skills

• technological progress and innovation

• link to productivity research using firm level databases

5

Setup of project: Workpackages

WP1 ResearchInter-industry papers

accounts

WP2 ResearchLabour papers

accounts

WP3 ResearchCapital flow papers

accounts

WP4 ResearchRelative papers

price levels

Progress andInnovation

LinkagesWP10

with Firm-

W

P7:

An

aly

sis

of

LP,

TF

P,

pri

ces a

nd

str

uctu

reLevel Data-Bases

WP 11: Communication and Dissemination

WP9

WP6: Statistical Roadmap and Statistical Implementation Planin consultation with Eurostat and National Statistical Institutes

WP8Labour Markets

W

P5:

Data

base d

evelo

pm

en

t

Technological

andSkill Formation

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• Consortium meeting on 26-27 October

• Administrative matters

• Methodological papers

• Data collection:

• Data availability questionnaire in January/February

• 2nd Data Co-ordination group meeting on 25 February (Amsterdam)

• Decisions about concepts

• Identification of problem areas

follow up requests today’s agenda

• Contacts & meetings with NSI’s

• Visited most NSI’s three status positions

• Data delivery schedules

• Statistical vs. analytical modules

• Data base management

• Workshop of Database Management (DM) group on 18 & 19 January

• Acquisition and installation of SAS software

• Some problem areas (Saturday)

Progress November 04 – May 05 (I)

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Co-operation with NSIs is important for project

• Three status positions:

• Subcontracting: Statistics Finland, ISTAT, Statistics Netherlands

• Participatory status: Statistics Sweden, STATEC (Luxembourg), ONS

• Observer status: INSEE, Statistics Denmark, Statistisches Bundesamt, Institute of National Statistics (Belgium), Statistics Austria, Statistics Ireland, INE, Statistical Office Slovakia, Statistical Office Poland, CSO Hungary

• Contacts under development:

• New member countries covered by project: Czech Republic, Slovenia

• Contacts to be developed (through EPROS): Greece, Portugal, Lithuania, Latvia, Estonia, Cyprus, Malta

• Also contacts with:

• USA (Harvard University, BEA, BLS)

• Japan (RIETI, Hitotsubashi)

• Canada (Statistics Canada)

8

Statistical vs. analytical modules of database

• Statistical module of the database:• Data consistent with those published by NSIs

• According to rules and conventions on national accounts, supply and use tables, commodity flow methods, etc. (SNA 1993, ESA 1995)

• Data meet statistical standards of NSI's and Eurostat and can eventually be incorporated in their present statistical practices.

• Analytical module of the database• Developed parallel to the Statistical module

• Produces additional data and fills gaps using alternative techniques (e.g. growth accounting) which presently will go beyond the ESA95 and SNA93 or do not (yet) meet statistical standards

• Consider alternative or pioneering assumptions regarding statistical conventions on, for example, the output and price measurement of ICT goods and non-market services, measurement of skill levels, construction of capital stock and capital services, or capitalization of intangible assets.

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Issues in co-operation with NSI’s requires continuous contacts on bilateral basis

• EU KLEMS needs organize working schedules around individual NSI’s programmes, but flexibility on both sides is needed to make it work

• Access to unpublished data and sharing between consortium partners requires specific arrangements with NSI’s

• Assistance and advice in using greater (unpublished) detail from Supply & Use tables as well as historical (pre-revision) SUTs.

• In principle use integrated labour and national accounts for labour quantity data as default, but alternative sources (including micro data, where possible) are also important

• Dilemma of not using “not so reliable” data on industry-by-asset tables or using estimation methods

• Use of unpublished data for development of analytical module of database needs to be carefully monitored

10

Database management

• Use of SAS for central management of international EU KLEMS databases

• Advantages of SAS

• Relational database

• High flexibility

• Experience with Productivity Research Data System (PRDS) developed by ESI

• Problems of SAS

• Not all consortium members have it

• Interchange SAS – STATA

• Maintenance rights between consortium members

• Co-ordination

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Stylistic view of database structure

Output

Raw Data EU KLEMSstatistical

raw data for Meta Input at Input at moduleindividual data Country Internationalcountries Level Level EU KLEMS

analyticalmodule

Input

12

Which procedures

here?

Which procedures

here?

13

Consortium members EU KLEMS database management

14

Consortium members EU KLEMS database management

WP2 will require much work at country level for data input

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Consortium members EU KLEMS database management

WP3 can be mostly handled at international level for data input

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Consortium members EU KLEMS database management

WP1 depends on detail of information & expertise of consortium partners or inputs from NSOs

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Time line of project (Oct 04 - Oct 05)

oct 04 - jan 05 feb 05 feb 05 - june 05 june 05 july 05 - oct 05 oct 05

Database (1-5,9) contribution to DC meeting data consortium data DC meetingStatistical Roadmap collection meeting collection

Methodological DC meeting methodological consortium methodological DC meetingResearch (1-5,9) research meeting research

Analytical consortium survey papers meeting withResearch (7-10) meeting Commission

Communication Establish Draft of Obtain data Final Obtain data methodological(publications, cooperation with Statistical from NSI's Statistical from NSI's workingNSI's & website) NSI's Roadmap Roadmap & papers(6 & 11) draft meth.

working papers

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Time line of project (Oct 05 - Oct 06)

oct 05 - dec 05 jan 06 jan 06 - april 06 april 06 april 06 - oct 06 oct 06

Database (1-5,9) data transfer to preliminary feedback on DC & consortium finalization & 1st version databasecentral hubs database database meeting update database & conference

Methodological final phase conferenceResearch (1-5,9) meth. research

Analytical survey papers feedback on consortium analytical conferenceResearch (7-10) survey papers meeting research

Communication Obtain data restricted feedback from Draft EUKLEMS feedback from EUKLEMS Manual,(publications, from NSI's database NSI's & Eurostat; Manual NSI's & Eurostat 1st productivity reportNSI's & website) access & feedback from Roadmap & on database and drafts of(6 & 11) draft survey Commission & draft working & EUKLEMS analytical research

papers experts papers Manual papers

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Time line of project (Oct 06 - Sep 07)

oct 06 - april 07 april 07 april 07 - sep 07 sep 07

Database (1-5,9) update database consortium update database 2nd version database& implementation meeting & implementation & final conference

MethodologicalResearch (1-5,9)

Analytical analytical consortium analytical final conferenceResearch (7-10) research meeting research

Communication Work with NSI's Draft feedback from Final version Statistical(publications, on Statistical Implementation NSI's & Eurostat on Implementation Plan,NSI's & website) Implementation Plan & Statistical 2nd productivity report,(6 & 11) Plan draft working Implementation working papers

papers Plan and final publication

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Upcoming activities

• Continuation of data collection

• Database construction (country level and EU level)

• End 2005/early 2006: release of preliminary version EU KLEMS database

• Conferences and Workshops

• OECD Workshop on Productivity Programmes of NSI’s (October 2005)

• Data Co-ordination group meeting on preliminary database (Nov 2005) ?

• EU KLEMS Workshop on Eastern Europe, WIIW, Vienna (Dec 2005)

• Conference on Technology Indicators (WP9), together with DIME and TEG (late 2005)

• Next consortium meeting in April 2006?

• Workshops on individual WPs?

• Workshops in individual countries?

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Administrative Issues

• Record activities (workshops, visits to NSO’s, etc.) it all counts for the EU KLEMS output and for your auditor

• Provide notes but above all EU KLEMS Working Papers and publish where possible in refereed journals

• Get your auditor involved soon in your accounts: 21 September is drop[deadline

• OTHER QUESTIONS?