On the Origin and Development of the System of National Accounts

Abstract

The article covers milestones of the system of national accounts (SNA) development. In particular, it is noted that the SNA was developed in response to the need of governments of the major market economies in macroeconomic statistics to guide decision-making for combatting the effects of the Great Economic Depression of 1929–1933. The authors address the SNA evolution in a context of the development of concepts, definitions, and classifications, furnishing the basis for a system of interrelated and mutually agreed measures of economic development at the macro level.Development of the SNA theory and methodology was closely linked with real change in a global economy, reflected the emergence of new forms of organization of economic process, new methods of financing investments, the growing role of foreign investments, globalization.The authors note a valuable contribution of a galaxy of eminent economists of the last century to the SNA theory and methodology elaboration. The article discusses at some length the role of international organizations in the development of theoretical and methodological foundations of the SNA. After the Second World War, these organizations released several critical documents with recommendations on the SNA compilation, recognized as international standards. The authors analyze the current international standard – the SNA 2008. In particular, the new treatment of expenditures on research and development and weapons systems. This treatment introduces a very noticeable adjustment in understanding important structural characteristics of the modern economy in many countries.The final part of the article considers issues of developing the SNA in national statistics, previously focused on the balance of the national economy (BNH). There are specific features of the transition from the world’s first developed system of interrelated macroeconomic indicators, the BNH, to the international standard, the SNA, adapted to modern realities of unctioning of market economy in Russia.