Incremental capital-output ratio,ICOR

Formula or Equation

Incremental capital-output ratio,ICOR formula,equation,calculator
ICOR for the total economy or for a countryIncremental capital-output ratio,ICOR
Gross investment in time period t Itgross investment,GI
GDPtgross domestic product,GDP
GDPt-1gross domestic product,GDP

Formula or Equation Note

The incremental capital output ratio (ICOR) is defined as the ratio between investment in some previous period(s) and the growth in output in the subsequent period. Needless to say, ICOR calculation is based on constant price data.

Calculator(how to use calculator?)

Incremental capital-output ratio,ICOR formula,equation,calculator
Gross investment (Gross investment in time period t It)
Gross domestic product (GDPt)
Gross domestic product (GDPt-1)
Incremental capital-output ratio (ICOR for the total economy or for a country)
Precision

References

  1. Wikipedia article: Incremental capital-output ratio.
  2. Incremental Capital-Output Ratio (ICOR).

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