Explanatory
Notes on Main Statistical Indicators
Gross Domestic Product An aggregate measure of production equal
to the sum of the gross values added of all resident institutional units
engaged in production (plus any taxes, and minus any subsidies, on products not
included in the value of their outputs). The sum of the final uses of goods and
services (all uses except intermediate consumption) measured in purchasers'
prices, less the value of imports of goods and services, or the sum of primary
incomes distributed by resident producer units. It is calculated without making
deductions for depreciation of fabricated assets or for depletion and
degradation of natural resources.
Gross Domestic Product at
Current Price is GDP at prices of
the current reporting period. Also known as nominal GDP
Gross Domestic Product at
Constant Price refers to the volume
level of GDP. Constant price estimates of GDP are obtained by expressing values
in terms of a base period. In theory, the price and quantity components of a
value are identified and the price in the base period is substituted for that
in the current period. Two main methods are adopted in practice.
Expenditure-based GDP is total final
expenditure at purchasers’ prices (including final consumption expenditure,
gross fixed capital formation, changes in inventories, valuables and f.o.b.
value of exports of goods and services), less the f.o.b. value of imports of
goods and services.
Income-based GDP is compensation of
employees, plus taxes less subsidies on production and imports, plus gross
mixed income, plus gross operating surplus.
Output-based GDP is the sum of the
gross values added of all resident producers at basic prices, plus all taxes
less subsidies on products. Describes the generation of gross value added by
industrial classification of economic activities according to the International
Standard Industrial Classification (ISIC Rev 3.1) .
GDP at Market Prices is the sum of the
gross values added of all resident producers at market prices, plus taxes less
subsidies on imports.
GDP per capita is gross domestic
product divided by midyear population. Data are in current U.S. dollars.
Gross National Income is GDP less net
taxes on production and imports, less compensation of employees and property
income payable to the rest of the world plus the corresponding items receivable
from the rest of the world (in other words, GDP less primary incomes payable to
non- resident units plus primary incomes receivable from non-resident units).
An alternative approach to measuring GNI at market prices is as the aggregate
value of the balances of gross primary incomes for all sectors (note that gross
national income is identical to gross national product (GNP) as previously used
in national accounts generally). GNI, calculated in national currency, is
usually converted to U.S. dollars at official exchange rates for comparisons
across economies, although an alternative rate is used when the official
exchange rate is judged to diverge by an exceptionally large margin from the
rate actually applied in international transactions. To smooth fluctuations in
prices and exchange rates, a special Atlas method of conversion is used by the
World Bank. This applies a conversion factor that averages the exchange rate
for a given year and the two preceding years, adjusted for differences in rates
of inflation between the country, and through 2000, the G-5 countries (
GNI per Capita in PPP GNI per capita based
on purchasing power parity (PPP). PPP GNI is gross national income (GNI)
converted to international dollars using purchasing power parity rates. An
international dollar has the same purchasing power over GNI as a U.S. dollar
has in the
Gross Value Added is the value of
output less the value of intermediate consumption; it is a measure of the
contribution to GDP made by an individual producer, industry or sector; gross
value added is the source from which the primary incomes of the SNA are
generated and is therefore carried forward into the primary distribution of
income account.
Gross Value Added at Basic Prices Output valued at basic
prices less intermediate consumption valued at purchasers prices. The basic
price is the amount receivable by the producer from the purchaser for a unit of
a good or service produced as output minus any tax payable, and plus any
subsidy receivable, on that unit as a consequence of its production or sale; it
excludes any transport charges invoiced separately by the producer.
Gross Value Added at Factor Cost is GVA at market
prices less any indirect taxes plus any subsidies.
Gross Value Added at
Producers Prices is output valued at producers prices less intermediate
consumption valued at purchasers of prices.
Three Strata of Industry The origin is
determined by the International Standard Industrial Classification (ISIC),
revision 3.
Primary Industry named as agriculture, corresponds to ISIC divisions 1-5
and includes forestry, hunting, and fishing, as well as cultivation of crops
and livestock production.
Secondary Industry corresponds to ISIC divisions 10-45 and includes
manufacturing (ISIC divisions 15-37). It comprises value added in mining,
manufacturing (also reported as a separate subgroup), electricity, gas and
water supply, construction.
Tertiary Industry named as services, corresponds to ISIC divisions 50-99.
They include value added in wholesale and retail trade (including hotels and
restaurants), transport, and government, financial, professional, and personal
services such as education, health care, and real estate services. Also
included are imputed bank service charges, import duties, and any statistical
discrepancies noted by national compilers as well as discrepancies arising from
rescaling.
Gross Capital Formation is the total value
of the gross fixed capital formation, changes in inventories and acquisitions
less disposals of valuables.
Capital Formation Rate namely investment rate,
refers to gross capital formation as percentage of gross domestic product.
Consumption Expenditure is the sum of
household final consumption expenditure and general government final
consumption expenditure. This estimate includes any statistical discrepancy in
the use of resources relative to the supply of resources.
Consumption Rate refers to final
consumption expenditure as percentage of gross domestic of product.
General Government Final
Consumption Expenditure includes all government current expenditures for
purchases of goods and services (including compensation of employees). It also
includes most expenditure on national defense and security, but excludes
government military expenditures that are part of government capital formation.
Household Final Consumption Expenditure is the market value
of all goods and services, including durable products (such as cars, washing
machines, and home computers), purchased by households. It excludes purchases
of dwellings but includes imputed rent for owner-occupied dwellings. It also
includes payments and fees to governments to obtain permits and licenses. Here,
household consumption expenditure includes the expenditures of nonprofit
institutions serving households, even when reported separately by the country.
Operating Surplus
measures the surplus or deficit accruing from production
before taking account of any interest, rent or similar charges payable on
financial or tangible non-produced assets borrowed or rented by the enterprise,
or any interest, rent or similar receipts receivable on financial or tangible
non-produced assets owned by the enterprise (for unincorporated enterprises
owned by households, this component is called mixed income).