Modelling macroeconomics of quality
by Birhanu Beshah; Ephrem Gidey; Assefa Leta
International Journal of Productivity and Quality Management (IJPQM), Vol. 16, No. 1, 2015

Abstract: Due to the availability of numerous microeconomic models of quality, organisations widely measure and control cost of quality in their day-to-day activities. Quality of products and services is no more the issue of producers only because the consequences of poor quality are diverse. Quality also concerns nations, regions and the world in general. There are sporadic investments to minimise the supply of poor quality products/services either for local or international consumers. Up to now however, there is limited or no attempt to model the macroeconomics of quality. The aim of this paper is to develop a model on how to measure and control cost of quality at national level. The new model is found to be the aggregation of production, export, import and market related cost items which will then help to understand the consequences of poor quality products/services and will give rationale to the public investment on national quality infrastructure. In addition, the model will help to correctly understand the macroeconomics of a nation which basically does not consider cost of quality of the national production in its measurement. This will also pave a way to future researchers on diagnosing the health of a nation's economy.

Online publication date: Mon, 29-Jun-2015

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Productivity and Quality Management (IJPQM):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com