Why Growth Rates Do Differ
M.W. Bell
(University of Aston Management Centre)
M.S. Silver
(University of Aston Management Centre)
S.J. Stray
(University of Aston Management Centre)
74
Abstract
This article identifies serious weaknesses in various commonly used methods of measuring “average” growth rates over several time periods. An alternative method is proposed which satisfies two essential criteria: firstly it smoothes the data to remove “exceptional variation” in the time series, and secondly, it incorporates a compounding process which, it is suggested, is an essential requirement of a “correct” average growth rate.
Citation
Bell, M.W., Silver, M.S. and Stray, S.J. (1982), "Why Growth Rates Do Differ", Journal of Economic Studies, Vol. 9 No. 2, pp. 51-67. https://doi.org/10.1108/eb002540
Publisher
:MCB UP Ltd
Copyright © 1982, MCB UP Limited