As the scope for increasing productivity growth is usually more limited in the non-traded goods sector, a general increase in wages as a result of productivity gains in the traded goods sector will raise the cost of producing non-traded goods and services. This leads to higher relative price increases for non-traded goods and services.
This trend can be reversed once we have UTIs in place, along with Unique Product Identifiers, which will be briefly discussed as well today. For then a trade report will be suitable for use by various regulators as well as for micro- and macroprudential analyses. High quality data are independent of jurisdictions.