In connection with the forthcoming revision of the United Nations' A System of National Accounts (SNA), a question has arisen about whether the definition of the residents of an economy,1 given in the 1968 version of the SNA and in the 1977 edition of the IMF's Balance of Payments Manual (BPM) can continue to serve as the basis for compiling national accounts and balance of payments statistics that provide the users of these statistics—the central authorities of the compiling economy and the international organizations—the information they need for policy purposes. That question is discussed in Section I of this chapter. The concept underlying the definition given there is virtually the same as that underlying the definition of residents in the 1968 version of the SNA. Therefore, measures of gross domestic product (GDP) and gross national product (GNP) based on the definition given in Section I should be similar, if not the same, as those based on the 1968 definition of the residents of an economy. The continuity of the existing time series would thus be maintained.

Author: Vicente Galbis