Joint UNECE/EUROSTAT/OECD Meeting on National Accounts

1
Joint UNECE/EUROSTAT/OECD Meeting on National
Accounts

• Business Register and Globalization
• Statistics Canada

2
The Business Register as a Basis for Dealing with
Measurement Issues Related to Globalization

• Increasing complexity of production processes
• Free trade zones agreements
• FDI shift from horizontal to vertical
  integration
• Partitioning of production
• International contractual arrangements of
  production to capture gains from trade

3
Challenge

• Keeping track of increasingly complex economic
  processes
• While
• Keeping coherence between production accounts
  (establishment-based) and income/capital/financial
  accounts (enterprise-based)

4
Current BR in Canada

• 4 structures
• LE, Operating, CE, Statistical
• LE only relate to domestic legal context
• Updates not synchronized
• Other databases on ownership/control are not
  linked to BR

5
New BR in Canada

• Inserting other databases - BOP registry
• Full legal structure
• External children of parent companies
• Ultimate country of control
• Ownership links with parents or other companies
  abroad
• Include ownership/control relationship gt10
• Build around LE and operating structure

6
New BR in Canada

• Continue to use business accounting to define
  enterprises, establishments and ancillary units
• Investment Center Enterprise
• Profit centre Establishment
• Cost centre Establishment - Ancillary units

7
Expected Benefits

• Better classification of units (location)
• Will help regional accounts
• Facilitate enterprise-establishments allocation
• Better coverage of ancillary units
• BOP/Enterprise surveys Better coverage because
  more information on ownership/control for all
  legal entities
• Help monitor foreign direct investment
• Inward and outward
• Will help strengthen trade in services data

8
Worth mentioning

• EPM Enterprise Portfolio Program
• Operating surplus statistics
• BR Administrative data Powerful tool
• Geography
• Labour income
• Coherence