You ask a good question David.
However, I don't believe that prices are factored by including output otherwise we would have no need to report productivity separately. I don't present myself to be enough of a "wonk" to claim I understand how all the data is put together. For that reason, I think prices are prices, with data collected from various retail data points, and that productivity is a factor of manufacturing and business output divided by hours worked (as reported by W-2 earnings statements).
As for the move to forming a global marketplace, I believe you are right that there is a certain fear of this event, since international accounting standards, as well as securities regulation, are quite different from US standards.
But then again, the NYSE is scared crapless that their specialist trading system is due to be "overcome by events" with the increasing presence of online trading and ECNs.
Which really has nothing to do with the price of gold, btw.
Inflation data and productivity have EVERYTHING to do with the price of gold.
Regards,
Ron |
