The GDPs of all nations around the world are from Summers, Robert and Heston, Alan, “A whole new List of Worldwide Comparisons of Real Products and Cost Level Estimates for 130 Countries, 1950–1985,” Review of Revenue and Prosperity 34 (03 1988), pp. one–26CrossRefGoogle Scholar. These estimates are based on purchasing power parities (PPPs), which are not only a lot more stable than exchange prices in the years after the Bretton Woods technique but may also be theoretically preferable mainly because they point out the level of a international currency necessary to invest in the amount of goods and solutions that could be ordered in America for one particular dollar. Specially, the chain index of actual domestic product (1980 base calendar year) was employed because the index amount difficulty is the very least extreme with its use. The army expenditures of your NATO nations were transformed into U.S. pounds using the PPPs linked to this index. Ideally, PPPs especially for military services goods would've been employed; but they're not readily available apart from a couple of nations around the world inside of a couple of years. See United Nations, Reduction of Military Budgets
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