National Institute of Statistics and Census of Argentina
Encyclopedia
National Statistics and Censuses Institute is the Argentine
government
agency responsible for the collection and processing of statistical data. The institute also analyses economic and social indicators such as inflation rate
, consumer price index
and unemployment
, among others.
The INDEC coordinates the Sistema Estadístico Nacional (National Statistics' System, SEN) through which the national, provincial and local statistical services work together. Each provincial government has a statistics bureau called Dirección de Estadística, that collects and processes information.
The Argentine Constitution does not provide for a national census. These were conducted only generationally until 1947 then roughly every decade since then. National censuses have been taken in 1869, 1895, 1914, 1947, 1960, 1970, 1980, 1991, 2001 and 2010.
Demographic and economic information is permanently updated with off-year censuses, such as the Economic and Agricultural Censuses, and the sampled
surveys published in Encuesta Permanente de Hogares (Permanent Survey of Households); which are delivered every 6 months. Monthly releases include figures on inflation, employment, trade balances, industrial production, construction, retail sales, and GDP.
The bureau's headquarters are located in a downtown, rationalist building designed by Arturo Dubourg, commissioned by President Juan Perón
for use as the Ministry of Labour, and completed in 1956.
replaced Graciela Bevacqua, the Consumer Prices Indicator director (Índice de Precios al Consumidor - IPC). Bevacqua is reported to have arrived at a consumer price increase figure of almost 2.0% for January 2007 from internal data but the rate officially reported to the public was 1.1%.
The head of INDEC resigned in March, and a new board of directors led by Ana María Edwin was installed by the Ministry of Economy; the board would operate under the supervision of Commerce Secretary Guillermo Moreno
. A group of employees protested publicly at what they saw as a violation of INDEC's autonomy, and an attempt by the Economy Ministry under Felisa Miceli
to illegally keep inflation indicators under one percent a month.
Prosecutors gathered evidence that high government officials had inquired repeatedly of statistical staff how to get lower inflation numbers, and that in early 2007 managers of the price indexes had excluded products whose prices had risen more than 15% in the survey and changed price data after it came in from the field workers.
Since then, INDEC's headline inflation statistics have been substantially lower than estimates from analysts in the private sector and also lower than INDEC's implicit private consumption price index which is incorporated in the measurement of real GDP.
Taken from the first quarter of 2007, each index (from the same quarter the year before) has read as follows:
The discrepancy has led to exchanged accusations of politically-motivated statistical legerdemain between the ruling party
and most of the political opposition, on both left and right. Officials facing election have an incentive to understate the headline CPI figure. Opposition figures frequently relied on estimates made by figures such as Orlando Ferreres (a former Bunge y Born
agribusiness executive and Economic Planning Secretary for a leading opponent, former President Carlos Menem
).
The practice yielded the ruling party no political benefit, and helped contribute to their loss in the October 2009 mid-term elections
. An alternative explanation for the policy could rest on government finances: the national government has issued around US$100 billion in government bonds. Payments on almost US$50 billion of this are indexed to inflation. Other government bonds are tied in value to GDP growth. A 7-point underestimate in inflation could save the Central Bank of Argentina US$3 billion in inflation-indexed interest payments, while higher economic growth would cost added interest on bonds tied to GDP; hence, there is a short-run financial benefit to the government from a discrepancy between the two inflation readings in the table.
Argentina
Argentina , officially the Argentine Republic , is the second largest country in South America by land area, after Brazil. It is constituted as a federation of 23 provinces and an autonomous city, Buenos Aires...
government
Government of Argentina
The government of Argentina, functioning within the framework of a federal system, is a presidential representative democratic republic. The President of Argentina is both head of state and head of government. Executive power is exercised by the President. Legislative power is vested in both the...
agency responsible for the collection and processing of statistical data. The institute also analyses economic and social indicators such as inflation rate
Inflation rate
In economics, the inflation rate is a measure of inflation, the rate of increase of a price index . It is the percentage rate of change in price level over time. The rate of decrease in the purchasing power of money is approximately equal.The inflation rate is used to calculate the real interest...
, consumer price index
Consumer price index
A consumer price index measures changes in the price level of consumer goods and services purchased by households. The CPI, in the United States is defined by the Bureau of Labor Statistics as "a measure of the average change over time in the prices paid by urban consumers for a market basket of...
and unemployment
Unemployment
Unemployment , as defined by the International Labour Organization, occurs when people are without jobs and they have actively sought work within the past four weeks...
, among others.
Functions
The INDEC is supervised by different federal agencies, and is under the direct oversight of the Secretaría de Programación Económica y Regional (Secretariat of Economic and Regional Planning) of the Ministerio de Economía y Producción (Ministry of Economy and Production, MECON).The INDEC coordinates the Sistema Estadístico Nacional (National Statistics' System, SEN) through which the national, provincial and local statistical services work together. Each provincial government has a statistics bureau called Dirección de Estadística, that collects and processes information.
The Argentine Constitution does not provide for a national census. These were conducted only generationally until 1947 then roughly every decade since then. National censuses have been taken in 1869, 1895, 1914, 1947, 1960, 1970, 1980, 1991, 2001 and 2010.
Demographic and economic information is permanently updated with off-year censuses, such as the Economic and Agricultural Censuses, and the sampled
Sampling (statistics)
In statistics and survey methodology, sampling is concerned with the selection of a subset of individuals from within a population to estimate characteristics of the whole population....
surveys published in Encuesta Permanente de Hogares (Permanent Survey of Households); which are delivered every 6 months. Monthly releases include figures on inflation, employment, trade balances, industrial production, construction, retail sales, and GDP.
History
The first national statistics' centre was the Dirección General de Estadística (General Directorate of Statistics), established in 1894 as a division of the Ministry of Public Finances. Fifty years later, in 1944, the Consejo Nacional de Estadística y Censos (National Council of Statistics and Censuses) was created, with dependencies on both the Ministry of the Interior and the National Presidential Office. Other agencies were later formed in 1950, 1952, and 1956 before the final creation of the Instituto Nacional de Estadística y Censos in 1968 by Law 17622 and Decrees 3110/70 and 1831/93.The bureau's headquarters are located in a downtown, rationalist building designed by Arturo Dubourg, commissioned by President Juan Perón
Juan Perón
Juan Domingo Perón was an Argentine military officer, and politician. Perón was three times elected as President of Argentina though he only managed to serve one full term, after serving in several government positions, including the Secretary of Labor and the Vice Presidency...
for use as the Ministry of Labour, and completed in 1956.
Controversy
Controversy arose when the government of President Néstor KirchnerNéstor Kirchner
Néstor Carlos Kirchner was an Argentine politician who served as the 54th President of Argentina from 25 May 2003 until 10 December 2007. Previously, he was Governor of Santa Cruz Province since 10 December 1991. He briefly served as Secretary General of the Union of South American Nations ...
replaced Graciela Bevacqua, the Consumer Prices Indicator director (Índice de Precios al Consumidor - IPC). Bevacqua is reported to have arrived at a consumer price increase figure of almost 2.0% for January 2007 from internal data but the rate officially reported to the public was 1.1%.
The head of INDEC resigned in March, and a new board of directors led by Ana María Edwin was installed by the Ministry of Economy; the board would operate under the supervision of Commerce Secretary Guillermo Moreno
Guillermo Moreno (Argentine politician)
Guillermo Moreno is an Argentine politician. He currently serves as Secretary of Domestic Trade in President Cristina Fernández de Kirchner's administration, and was appointed in that post by her husband and predecessor, Néstor Kirchner.-Biography:Moreno was an active member of the Peronist Youth...
. A group of employees protested publicly at what they saw as a violation of INDEC's autonomy, and an attempt by the Economy Ministry under Felisa Miceli
Felisa Miceli
Felisa Miceli is an Argentine economist, and a former Minister of Economy and Production of Argentina...
to illegally keep inflation indicators under one percent a month.
Prosecutors gathered evidence that high government officials had inquired repeatedly of statistical staff how to get lower inflation numbers, and that in early 2007 managers of the price indexes had excluded products whose prices had risen more than 15% in the survey and changed price data after it came in from the field workers.
Since then, INDEC's headline inflation statistics have been substantially lower than estimates from analysts in the private sector and also lower than INDEC's implicit private consumption price index which is incorporated in the measurement of real GDP.
Taken from the first quarter of 2007, each index (from the same quarter the year before) has read as follows:
EWLINE
|
The discrepancy has led to exchanged accusations of politically-motivated statistical legerdemain between the ruling party
Kirchnerism
Kirchnerism is a term used to refer to the political philosophy and supporters of Néstor Kirchner, president of Argentina from 2003 to 2007, and of his wife Cristina Fernández de Kirchner, President from 2007...
and most of the political opposition, on both left and right. Officials facing election have an incentive to understate the headline CPI figure. Opposition figures frequently relied on estimates made by figures such as Orlando Ferreres (a former Bunge y Born
Bunge y Born
Bunge y Born was a multinational corporation based in Buenos Aires, Argentina, whose diverse interests included food processing and international trade in grains and oilseeds...
agribusiness executive and Economic Planning Secretary for a leading opponent, former President Carlos Menem
Carlos Menem
Carlos Saúl Menem is an Argentine politician who was President of Argentina from 1989 to 1999. He is currently an Argentine National Senator for La Rioja Province.-Early life:...
).
The practice yielded the ruling party no political benefit, and helped contribute to their loss in the October 2009 mid-term elections
Argentine legislative election, 2009
Legislative elections were held in Argentina for half the seats in the Chamber of Deputies and a third of the seats in the Senate on 28 June 2009, as well as for the legislature of the City of Buenos Aires and other municipalities.-Background:...
. An alternative explanation for the policy could rest on government finances: the national government has issued around US$100 billion in government bonds. Payments on almost US$50 billion of this are indexed to inflation. Other government bonds are tied in value to GDP growth. A 7-point underestimate in inflation could save the Central Bank of Argentina US$3 billion in inflation-indexed interest payments, while higher economic growth would cost added interest on bonds tied to GDP; hence, there is a short-run financial benefit to the government from a discrepancy between the two inflation readings in the table.