<p>Base rates account for the change in value of a currency that happens overtime because of inflation.</p>
<p>Not only do the base rates need to be the same, but if you are including all of these in the same panel, then the currencies need to be in the same unit as well, otherwise, the different country GDP's are not comparable.</p>
<p>Fortunately, most of the big international databases with GDP time series usually have multiple versions, with different base years, and converted to common currencies (usually USD) that you can use to assemble what you need.  Just a few places to start you off:</p>
<p><a href="https://fred.stlouisfed.org/" rel="nofollow noreferrer">FRED</a></p>
<p><a href="https://databank.worldbank.org/source/world-development-indicators" rel="nofollow noreferrer">World Bank WDI</a></p>
<p><a href="https://data.oecd.org/" rel="nofollow noreferrer">OECD Data</a></p>
<p><em>Note</em>: for GDP data, these sites often present data from the same sources</p>

CC BY-SA 4.0
2020-11-27T10:00:40.563Z
Just the answer I needed! I also appreciate the links. Thank you anguyen.
NeR0
CC BY-SA 4.0
2020-11-25T16:17:39.603Z
2020-11-25T16:24:30.540Z
2020-11-25T16:24:30.540Z
anguyen1210
<p>I'm trying to run a small project using time series in panel data. One of the variables used is the GDP per capita for a few countries (the countries are the cross-sections). Is there a problem if the base year for a few countries is different? Say for example, Spain's series has 2005 as base year while Germany's series 2010 as base year. Does this cause any sort of problems?</p>
<p>Thank you in advance.</p>

<gdp><time-series><paneldata><base-year>
GDP per Capita in Panel Data: Must the base year be the same for all cross-sections?
NeR0
# GDP per Capita in Panel Data: Must the base year be the same for all cross-sections?

(Asked by: username_0 on 2020-11-24)

I'm trying to run a small project using time series in panel data. One of the variables used is the GDP per capita for a few countries (the countries are the cross-sections). Is there a problem if the base year for a few countries is different? Say for example, Spain's series has 2005 as base year while Germany's series 2010 as base year. Does this cause any sort of problems?

Thank you in advance.

**Tags:** gdp, time-series, paneldata, base-year


---

## 1 answers

### Answer by username_1 on 2020-11-25. Score: 1 | Accepted answer

Base rates account for the change in value of a currency that happens overtime because of inflation.

Not only do the base rates need to be the same, but if you are including all of these in the same panel, then the currencies need to be in the same unit as well, otherwise, the different country GDP's are not comparable.

Fortunately, most of the big international databases with GDP time series usually have multiple versions, with different base years, and converted to common currencies (usually USD) that you can use to assemble what you need. Just a few places to start you off:

[FRED](https://fred.stlouisfed.org/)

[World Bank WDI](https://databank.worldbank.org/source/world-development-indicators)

[OECD Data](https://data.oecd.org/)

*Note*: for GDP data, these sites often present data from the same sources

> **Comments:**
> **username_0**: Just the answer I needed! I also appreciate the links. Thank you anguyen.  

---

