1. UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION The main outcome of the 2012 survey on a potential revision of COICOP Norbert Rainer, Statistics Austria Agenda Item: Need for a revision of COICOP Expert Group Meeting on International Statistical Classifications, New York, 13-15 May 2013

2. System of Purpose Classifications  Classification of Individual Consumption According to Purpose (COICOP)  Classification of Functions of Government (COFOG)  Classification of the Purposes of Non- Profit Institutions serving Households (COPNI)  Classification of the Outlays of Produces According to Purpose (COPP) 2 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION

3. Common socio-economic objectives Purpose of expenditureCOICOPCOPNICOFOGCOPP Health XXXX Recreation XXXX Culture XXXX Education XXXX Social protection XXXX Environmental protection -XXX Research and development -XXX Housing XXX- Transport X-XX Communication X-XX Disaster relief -XX- Economic aid abroad -XX- Religion -XX- Source: Classification of Expenditure according to Purpose, Statistical Papers, Series M, No. 84, United Nations, New York 2000 3 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION

4. COICOP  Three hierarchical levels: Division (or two-digit level) 14 Divisions Group (or three-digit level) 58 Groups Class (or four-digit level)157 Classes  Categorization of products: Services Non-durables Semi-Durables Durables 4 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION

5. Global survey  Structure of the questionnaire A. Conceptual and structural issues B.Cross-cutting issues C.Content and boundary issues D.Other issues  74 responses from 68 countries and four international organisations (Eurostat, OECD, ILO and World Bank) 5 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION

6. Main outcome of the survey on COICOP (1)  Structure at the highest level Problematic divisions 08, 09 and 12  Level of detail Five-digit level supported  Link to CPC Viewed useful, but not a goal per se Issue of many-to-many links Harmonisation with other relevant classifications 6 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION

7. Main outcome of the survey on COICOP (2)  Separation between goods and services (at class or sub-class level) Viewed as useful and important distinction Bundled products as one of the limits of such distinction  Categorisation of products according to durability Should be kept and maybe even more important  Treatment of bundled products No clear majority for either solutions: introduction of separate items or keeping current rules (case-by-case analysis with no requirement for splitting) 7 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION

8. Main outcome of the survey on COICOP (3)  Other content and boundary issues Ready-made meals Communication equipment and services Video on demand Download of music, films or electronic books Apps Borderline between medical and beauty treatment Electricity for electric cars  In general: more guidelines and recommendations would by useful and help to improve international comparability 8

9. UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION Questions to the Expert Group 1)Need for a review of COICOP  update / revision 2)Stepwise procedure: first clarification (case law) within the current structure 3)Update versus revision 4)Introduction of a five-digit level 5)Harmonisation with other classifications 6)Recommendations on basic conceptual issues 7)Organisation of review work 9

10. Thank you for your attention! 10 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE STATISTICAL DIVISION