Download Methods used by OECD Countries to Estimate the Stock

Methods used by OECD Countries to
Estimate the Stock of Land
Working Party on National Accounts
3-5 October 2007
Charles Aspden, OECD
Balance sheet
• Assets
• Liabilities
– Non-financial
• Produced
– Fixed
– Inventories
– Valuables
• Non-produced
– Tangible
» Land
» Sub-soil
– Intangible
– Financial
• Net worth
Balance sheets
• Nominal
• Revaluation account
– Neutral holding gains/losses
– Real holding gains/losses
• Real or volume terms
• Changes in net worth
Some uses of Balance Sheets
• Assessment of a nation’s wealth, its
disposition, and changes over time
• As a numeraire – to put things in perspective
• Explanator of behaviour – e.g. household
saving and consumption
Balance sheet
• Assets
• Liabilities
– Non-financial
• Produced
– Fixed
– Inventories
– Valuables
• Non-produced
– Tangible
» Land
» Sub-soil
– Intangible
– Financial
• Net worth
Survey of methods used to
estimate stock of land
• 14 OECD countries responded, of which 9
reported that they derive estimates:
• Australia, Canada, Czech Republic, Japan,
Korea, Slovak Republic, US (by sector by
different types of land use)
• Finland (intermittently)
• New Zealand (rural land only)
Survey of methods used to
estimate stock of land
• Results are provisional
• Paper to be re-written with more information
Survey of methods used to
estimate stock of land cont.
• Methods used fall into 4 major categories:
•
•
•
•
Surveys
Cadastres
Population census
Land-to-structure ratios
Survey of methods used to
estimate stock of land cont.
• Surveys: Czech Republic, Slovak Republic , US,
• Used by Canada, NZ, Japan for agricultural
land
• Land areas from survey multiplied by price per hectare
• Price per hectare based on transactions
Survey of methods used to
estimate stock of land cont.
• Cadastre (a database maintained by a government
agency in order to value land for tax and/or other
administrative purposes): Australia, Finland, Japan
and Korea
• Comprehensive but values can be understated.
Australia and Korea report that they make
adjustments
Survey of methods used to
estimate stock of land cont.
• Population census: a model based on
population census data used to determine
value of land under dwellings: Australia, Czech
Republic
• Australia:
– Value (D+L) = Dwelling count x unit price
– Value (L) = Value (D+L) – Value (D)
Survey of methods used to
estimate stock of land cont.
• Czech Republic: flats for example
– Value (FL) = (Value (2001)/Total area of flats) x
Area per flat(2001) x Number of flats x Price index
Survey of methods used to
estimate stock of land cont.
• Land-to-structure ratios: Canada
• At a very detailed level LSRs are calculated as
– LSR= (APV-BPV)/BPV, where
– APV is total value of residential unit
– BPV is permit value for structure
• Aggregated to total economy level
• V(DL) = LSR(D) x V(D)
• Similar approach for non-residential