Glossary

Procedure for estimating Federal government purchases by multiplying the delivered quantity by the price paid.

Total after-tax income received by persons; it is the income available to persons for spending or saving.

Receipts received by U.S. residents of dividends from foreign corporations plus earnings distributed by unincorporated foreign affiliates to their U.S. parents.

Payments in cash or other assets, excluding the corporation's own stock, made by corporations located in the United States and abroad to stockholders who are U.S. residents.

Technique for estimating real value added by industry in the gross domestic product (GDP)-by-industry accounts. Under this procedure, an industry's gross output and its intermediate inputs are deflated separately-hence, the term "double deflation." Real value added is then estimated as the difference between deflated, or real, gross output and real intermediate inputs.

Tangible products that can be stored or inventoried and that have an average life of at least three years.

Contributions consisting of employer payments (including payments-in-kind) to private pension and profit-sharing plans, publicly administered government employee retirement plans, private group health and life insurance plans, privately administered workers' compensation plans, and supplemental unemployment benefit plans, formerly called other labor income.

A classification system for U.S. exported and imported merchandise based on principal use rather than the physical characteristics of the merchandise.

A business, service, or membership organization consisting of one or more establishments under common, direct or indirect, ownership or control. It is the highest level of establishment aggregation. An enterprise may vary in composition, ranging from a single- establishment company to a complex family of parent and subsidiary companies (firms under common ownership or control).

Investment in equipment and software consists of capital account purchases of new machinery, equipment, furniture, vehicles, and computer software; dealers' margins on sales of used equipment; and net purchases of used equipment from government agencies, persons, and the rest of the world. Own-account production of computer software is also included.

Equity capital increases and decreases. Equity capital increases consist of payments by parent companies to third parties abroad for the purchase of capital stock or other equity interests when they acquire an existing business, payments made to acquire additional ownership interests in their affiliates, and capital contributions to their affiliates. Equity capital decreases are funds that parent companies receive (except from distributions of earnings) when they reduce their equity interest in their affiliates.

An economic unit–business or industrial–at a single geographic location, where business is conducted or where services or industrial operations are performed. An establishment is not necessarily identical to an enterprise or company, which may consist of one or more establishments.

Goods and services sold by U.S. residents to foreign residents.

Labor and property earnings from current production. In national income, it is the incomes accruing to labor and property of U.S. residents, which include compensation of employees (received), proprietors' income, rental income of persons, and corporate profits.

Demand of final uses.

The third estimate of gross domestic product (GDP) and its components for a quarter. It is released 85-90 days after the end of the quarter, and it is based on source data that are more detailed and comprehensive than the preliminary estimate. The final estimate is still subject to later revisions.

Final-demand components for goods and services, which consist of personal consumption expenditures (PCE); gross private fixed investment; change in private inventories; exports of goods and services; imports of goods and services, and government consumption expenditures and gross investment.

Record of transactions between U.S. residents and foreign residents resulting in changes in the level of international claims or liabilities, such as in deposits, ownership of portfolio investment securities, and direct investment.

Deposits, stocks, bonds, notes, currencies, and other instruments that possess value and give rise to claims, liabilities, or equity investment. Financial assets include bank loans, direct investments, and official private holdings of debt and equity securities and other instruments. When the holder resides in a country that is different from the issuer of the instrument, it is included in the international investment position of both countries.

The geometric mean of the Laspeyres and Paasche price indexes. The Fisher index is superior to either the Laspeyres or the Paasche index if the structure of relative prices in the economy changes between the base period and the current period.

Produced assets that are used repeatedly, or continuously, in processes of production for an extended period of time. They consist of equipment, structures (including, by convention, owner-occupied housing) and intellectual property products, but exclude consumer durables

Consists of purchases of residential and nonresidential structures, equipment and intellectual property products by private businesses, by nonprofit institutions, and by governments in the United States. (Owner-occupied housing is treated like a business in the NIPAs.)

A foreign business enterprise in which there is U.S. direct investment–that is, in which a U.S. person, or entity, owns or controls 10 percent or more of the voting securities of an incorporated foreign business enterprise or an equivalent interest in an unincorporated foreign business enterprise.

Ownership or control, directly or indirectly, by one foreign person, or entity, of 10 percent or more of the voting securities of an incorporated U.S. business enterprise or an equivalent interest in an unincorporated U.S. business enterprise.

The first person, or entity, outside the United States in a U.S. affiliate's ownership chain that has a direct investment interest in the affiliate.