Summary
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Monthly indicators are available to help economists monitor developments in many components of aggregate demand (consumption, business fixed investments, residential construction and net exports).
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With non-farm inventories, matters are more complicated. The reason is that monthly statistics provide information on book value whereas economic analysts want to know about inventory investment. The difference between the two measures is referred to as the inventory valuation adjustment.
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In Canada, the inventory valuation adjustment is very sensitive to wide fluctuations in energy prices and, even more so, to sharp movements in the exchange rate.
