§ 24. Mr. Meacher
asked the Secretary of State for Industry what is the level per head of manufacturing investment in the United Kingdom compared with the Federal Republic of Germany, France and the United States of America.
§ Mr. Michael Marshall
The following information is given on the basis of exchange rates and purchasing power parities (implied for GDP) prepared by the Statistical Office of the European Communities. Exchange rates do not provide a satisfactory basis for converting manufacturing investment in other national currencies to £ sterling since they do not necessarily reflect the relative purchasing power of national currencies in terms of 410W goods and services available in the countries being compared. It is generally recognised that a more realistic assessment of relative levels of investment can be made through the use of purchasing power parities. Estimates for the latest year for which data for all countries is available on at least one of the bases are given in the table, although the French figures axe not strictly comparable because they cover a wider definition of industry.
GROSS FIXED CAPITAL FORMATION PER HEAD (£) IN MANUFACTURING INDUSTRY, 1976 Based on exchange rates Based on purchasing power parities United Kingdom 537 537 Federal Republic of Germany 1,075 740 France* 1,689 1,233 United States of America 1,755 n.a. n.a. = Not available. * Also includes mining and quarrying, electricity, gas and water.
Source: National Accounts of OECD countries, 1960–1977, vol. II; Eurostat National Accounts ESA Aggregates 1960–1977; Labour Force Statistics 1966–1977, OECD.