Health Accounts Meeting

1
Developing Activity and Product Classifications
for the Modern EconomyWhat about health
services?

• Isaac Lagnado
• OECD Statistics Directorate

2
ISIC and CPC

• What is ISIC?
• proposed ISIC rev 4 structure and health services
• What is CPC?
• current CPC v 1.1 for health
• Process and timing

3
What is ISIC?

• International Standard Industrial Classification
  of All Economic Activities (ISIC)
• To be a standard classification of productive
  economic activities
• To classify economic units according to the
  principal activity they carry out

4
Why do we need a new ISIC

• Improve international comparability
• convergence of regional classifications e.g.
  NAICS/NACE/JSIC/ANZSIC
• engage more countries and regions in ISIC design
• target is to obtain international comparability
  at least at 2 digit level
• Improve relevance
• Information sector, internet, Telecoms
• OECD ICT definition
• environmental services
• new technologies
• growing business service sector
• health services
• Tourism
• Agriculture

5
Whats new?

• New groupings are proposed
• Information and communication sector
• water supply, sewerage, waste management and
  remediation
• More tabulation categories for services
• professional technical, and business services
• administrative and support services
• real estate, rental and leasing services
• art, entertainment and recreation
• More divisions ( to increase international
  comparability)
• for new groupings and growing services
• in manufacturing and construction
• human health services

6
Professional, scientific and technical activities

• 64 legal and accounting activities
• 641 legal642 accounting
• 65 holding companies, management and management
  consultancy activities
• 651 holding companies 652 head offices 653
  management and management consultancy
• 66 architecture and engineering activities
• 67 scientific research and development
• N.B. 6711 research and experimental development
  in biotech
• 68 advertising and market research
• 69 photographic and other prof, scient, and
  technical activities
• 70 veterinary activities (formerly with health
  and social work)

7
Human health and social work

• 77 human health activities
• 771 hospital activities
• 772 medical and dental practices
• 779 other human health activities (includes
  paramedic activities and medical testing)
• 78 residential care services
• 781 nursing care facilities
• 782 residential mental health and related
  services
• 783 community care facilities for the elderly
• 789 social work activities with accommodation
• 79 social work activities without accommodation

8
ISIC revision mechanism
9
ISIC Revision 4 Consultationapproximate timetable

• Worldwide consultation closes November 2004
• TSG meet spring 2005
• Revised draft goes to UN Expert Group June 2005
• Final draft goes to UNSC December 2005 for
  approval
• Prepare full publication
• Publish early 2007

10
What about Regional Activity Classifications?
(relate to ISIC to varying extents)

• NAICS minor revision 2007
• NACE plans to remain derived from ISIC
• ANZSIC 06- a version of NAICS
• JSIC introduced IC sector in 2002 converged with
  ISIC and NAICS but constrained by ministries-
• expect convergence to continue after next
  revision
• Others? China, India, Mercosur, Russia

11
What are the ISIC issues for OECD?

• international comparability
• reflect modern economy
• continuity of time series
• analytically useful groupings
• Information and Communication Technologies (ICT)
• Health
• High-tech
• New Trade links

12
Revision of CPC

• Central Product Classification developed in 1980s
  and 90s principally to provide the first
  internationally agreed product list for goods and
  services.
• Adopted by UN officially in 1998
• Designed for goods less detailed than trade
  products in Harmonised System
• Used indirectly to help build economic statistics
  on output, prices and trade
• Currently on CPC version 1.1 agreed in 2002
• Plan to revise CPC for 2007

13
CPC version 1.1 and Health Services

• 93 Health and social services
• 931 human health services
• 9311 - Hospital services
• 9312 - Medical and dental services
• 93121 - General medical services
• 93122 - Specialized medical services
• 93123 - Dental services
• 9313 - Other human health services
• 932 veterinary services
• 933 social services
• 9331- Social services with accommodation
• 9332 - Social services without accommodation
• (For full descriptions go to UNSD or Ramon
  Classification webpages)

14
Detailed Classification Webpages

• UNSD http//unstats.un.org/unsd/cr/registry/regcs
  .asp?Cl16Lg1Co933
• Eurostat Ramon
• http//europa.eu.int/comm/eurostat/ramon/

15
CPC issues for OECD

• Updating of services descriptions
• More detail on services generally
• ICT services
• Health services links to health accounting
• Links with industry, trade and price
  classifications
• Make use regional product classifications such as
• North American Product Classification System
  (NAPCS)
• Australia and New Zealand ANZSPC
• Europe CPA
• Facilitate future analytical work
• Improve infrastructure of industry and services
  statistics

16
Approximate CPC revision timetable

• Proposals for new CPC products to UNSD 10 October
  2004!
• UN TSG produces draft of new CPC winter 2004
• Draft sent for worldwide consultation in 2005
• Finalise in 2006
• Submission to UNSC for final approval 2007

17
Over to you
Any questions or comments? Proposals and
comments to STD.servstat_at_oecd.org so that we can
advise the UN Thank you for your attention