FOR WIRE TRANSMISSION: 8:30 A.M. EST, FRIDAY, NOVEMBER 28, 1997 Tracey D. Schlitzer: (202) 606-5301 (Personal Income) BEA 97-36 Greg Key: 606-5302 (Personal Outlays) Recorded message: 606-5303 PERSONAL INCOME AND OUTLAYS: OCTOBER 1997 Personal income increased $35.2 billion, or 0.5 percent, and disposable personal income (DPI) increased $28.7 billion, or 0.5 percent, in October, according to the Commerce Department's Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $28.8 billion, or 0.5 percent. In September, personal income increased $23.3 billion, or 0.3 percent, DPI increased $20.3 billion, or 0.3 percent, and PCE increased $18.8 billion, or 0.3 percent, based on revised estimates. 1997 June July Aug. Sept. Oct. (Percent change from preceding month) Personal income, current dollars . . . 0.6 0.2 0.6 0.3 0.5 Disposable personal income: Current dollars . . . . .5 .2 .5 .3 .5 Chained (1992) dollars. .4 .0 .4 .2 .3 Personal consumption expenditures: Current dollars . . . . .5 1.2 .2 .3 .5 Chained (1992) dollars. .4 1.0 .1 .2 .4 Wages and salaries Private wage and salary disbursements increased $22.1 billion in October, compared with an increase of $7.6 billion in September. In October, employment and average hourly earnings increased; average weekly hours were unchanged. Goods-producing industries' payrolls increased $8.9 billion in October, compared with an increase of $4.0 billion in September; manufacturing payrolls increased $7.9 billion, compared with an increase of $2.7 billion. Distributive industries' payrolls increased $5.2 billion, in contrast to a decrease of $1.2 billion. Service industries' payrolls increased $7.9 billion, compared with an increase of $4.8 billion. Government wage and salary disbursements increased $1.9 billion, compared with an increase of $2.5 billion. Other personal income Proprietors' income increased $3.6 billion in October, compared with an increase of $2.3 billion in September. Farm proprietors' income decreased $0.4 billion, compared with a decrease of $1.9 billion. Nonfarm proprietors' income increased $4.0 billion, compared with an increase of $4.3 billion. Transfer payments increased $3.4 billion in October, compared with an increase of $5.2 billion in September. Personal interest income increased $3.2 billion, compared with an increase of $3.3 billion. Personal dividend income increased $2.0 billion, compared with an increase of $2.1 billion. Personal taxes and disposable personal income Personal tax and nontax payments increased $6.5 billion in October, compared with an increase of $3.0 billion in September. Disposable personal income (DPI) -- personal income less personal tax and nontax payments -- increased $28.7 billion, or 0.5 percent, in October, compared with an increase of $20.3 billion, or 0.3 percent, in September. Personal outlays and personal saving Personal outlays -- PCE, interest paid by persons, and personal transfer payments to the rest of the world (net) -- increased $29.7 billion in October, compared with an increase of $20.1 billion in September. PCE increased $28.8 billion, compared with an increase of $18.8 billion. Personal saving -- DPI less personal outlays -- was $213.3 billion in October, compared with $214.2 billion in September. Personal saving as a percentage of disposable personal income was 3.6 percent in October, the same as in September. Chained (1992) dollar estimates Real DPI -- DPI adjusted to remove price changes -- increased 0.3 percent in October, compared with an increase of 0.2 percent in September. Real PCE -- PCE adjusted to remove price changes -- increased 0.4 percent in October, compared with an increase of 0.2 percent in September. Purchases of durable goods decreased 0.2 percent in October, the same decrease as in September. Purchases of nondurable goods increased 0.2 percent in October, compared with an increase of 0.1 percent in September. Purchases of services increased 0.6 percent, compared with an increase of 0.3 percent. Revisions Estimates have been revised for July through September. Changes in personal income, current-dollar and chained (1992) dollar DPI, and current-dollar and chained (1992) dollar PCE for August and September -- revised and as published in last month's release -- are shown below. Revisions for July were small. Change from preceding month August September Previous Revised Previous Revised Previous Revised Previous Revised (Dollars) (Percent) (Dollars) (Percent) Personal income: Current dollars . . 41.2 40.1 0.6 0.6 25.5 23.3 0.4 0.3 Disposable personal income: Current dollars . . 33.3 32.3 .6 .5 22.3 20.3 .4 .3 Chained (1992) dollars 24.3 22.9 .5 .4 10.9 9.3 .2 .2 Personal consumption expenditures: Current dollars . . 14.7 11.9 .3 .2 11.7 18.8 .2 .3 Chained (1992) dollars 8.1 5.3 .2 .1 2.2 8.5 .0 .2 * * * BEA's major national, regional, and international estimates, selected articles from the Survey of Current Business, and BEA news releases are available on BEA's web site: http://www.bea.gov STAT-USA maintains an electronic bulletin board (EBB) and an Internet site, which contain BEA estimates, BEA news releases, and the Survey of Current Business. The information available through STAT-USA is often more detailed and more timely than that available from other sources. 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Second class mail: Annual subscription $35.00 domestic, $43.75 foreign; single issue $11.00 domestic, $13.75 foreign. * * * Next release -- Personal Income and Outlays for November will be released on December 24, at 8:30 A.M. EST. Release dates in 1998 for Personal Income and Outlays Release covering Release date December 1997 February 2 January 1998 March 2 February 1998 March 27 March 1998 May 1 April 1998 May 29 May 1998 June 26 June 1998 August 3 July 1998 August 28 August 1998 September 25 September 1998 November 2 October 1998 November 25 November 1998 December 24 Table 1. -- Personal Income [Billions of dollars] -------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ----------------------------------------------------------- 1995 1996 May 97 June 97 July 97r Aug. 97r Sep. 97r Oct. 97p -------------------------------------------------------------------------------------------------------------------------- Personal income..................... 6,150.8 6,495.2 6,822.8 6,863.5 6,874.2 6,914.3 6,937.6 6,972.8 Wage and salary disbursements..... 3,429.5 3,632.5 3,835.1 3,867.6 3,869.9 3,902.2 3,912.4 3,936.3 Private industries.............. 2,806.5 2,989.9 3,173.1 3,204.5 3,204.6 3,234.5 3,242.1 3,264.2 Goods-producing industries.... 864.4 909.1 953.7 954.5 955.5 962.0 966.0 974.9 Manufacturing............... 648.4 674.7 700.3 701.2 701.5 706.5 709.2 717.1 Distributive industries....... 783.1 823.3 865.0 872.9 872.2 883.7 882.5 887.7 Service industries............ 1,159.0 1,257.5 1,354.5 1,377.1 1,376.8 1,388.9 1,393.7 1,401.6 Government...................... 623.0 642.6 661.9 663.1 665.4 667.7 670.2 672.1 Other labor income................ 406.8 407.6 415.3 415.6 416.6 417.6 418.9 420.1 Proprietors' income with IVA and CCAdj........................... 488.9 520.3 543.6 546.5 546.5 545.7 548.0 551.6 Farm............................ 23.4 37.2 43.8 44.0 42.8 40.3 38.4 38.0 Nonfarm......................... 465.5 483.1 499.8 502.4 503.7 505.3 509.6 513.6 Rental income of persons with CCAdj........................... 132.8 146.3 148.9 147.8 147.6 148.6 148.3 147.6 Personal dividend income.......... 251.9 291.2 318.3 320.3 322.4 324.5 326.6 328.6 Personal interest income.......... 718.9 735.7 766.0 768.9 772.2 775.7 779.0 782.2 Transfer payments to persons...... 1,015.0 1,068.0 1,116.6 1,119.7 1,122.2 1,125.2 1,130.4 1,133.8 Old-age, survivors, disability, and health insurance benefits. 507.8 537.6 564.8 565.9 567.3 570.4 570.4 571.9 Government unemployment insurance benefits............ 21.4 22.0 21.9 21.9 21.8 21.6 21.9 21.9 Other........................... 485.7 508.4 529.9 531.9 533.1 533.2 538.1 540.0 Less: Personal contributions for social insurance................ 293.1 306.3 320.9 323.0 323.1 325.2 325.9 327.4 -------------------------------------------------------------------------------------------------------------------------- p Preliminary. r Revised. IVA Inventory valuation adjustment CCAdj Capital consumption adjustment Source: U.S. Department of Commerce, Bureau of Economic Analysis. Table 2. -- The Disposition of Personal Income [Billions of dollars] -------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ------------------------------------------------------ 1995 1996 May 97 June 97 July 97r Aug. 97r Sep. 97r Oct. 97p -------------------------------------------------------------------------------------------------------------------------- Personal income....................... 6,150.8 6,495.2 6,822.8 6,863.5 6,874.2 6,914.3 6,937.6 6,972.8 Less: Personal tax and nontax payments........................... 795.1 886.9 978.3 988.9 990.9 998.6 1,001.6 1,008.1 Equals: Disposable personal income... 5,355.7 5,608.3 5,844.5 5,874.5 5,883.4 5,915.7 5,936.0 5,964.7 Less: Personal outlays............... 5,101.1 5,368.8 5,592.7 5,623.5 5,687.9 5,701.7 5,721.8 5,751.5 Personal consumption expenditures... 4,957.7 5,207.6 5,422.4 5,451.9 5,516.5 5,528.4 5,547.2 5,576.0 Interest paid by persons............ 128.5 145.2 152.7 154.0 153.9 155.6 157.0 157.9 Personal transfer payments to the rest of the world (net)........... 14.8 15.9 17.6 17.6 17.6 17.6 17.6 17.6 Equals: Personal saving.............. 254.6 239.6 251.8 251.0 195.4 214.0 214.2 213.3 Addenda: Disposable personal income: Chained (1992) dollars 1/........... 4,964.2 5,076.9 5,198.7 5,218.3 5,216.9 5,239.8 5,249.1 5,266.6 Per capita: Current dollars................... 20,349 21,117 21,845 21,941 21,957 22,059 22,117 22,207 Chained (1992) dollars............ 18,861 19,116 19,431 19,490 19,469 19,539 19,558 19,608 Population (thousands).............. 263,194 265,579 267,541 267,741 267,952 268,171 268,390 268,592 Personal saving as a percentage of disposable personal income ......... 4.8 4.3 4.3 4.3 3.3 3.6 3.6 3.6 -------------------------------------------------------------------------------------------------------------------------- p Preliminary. r Revised. 1/ Disposable personal income in chained (1992) dollars equals the current-dollar figure divided by the implicit price deflator for personal consumption expenditures. Source: U.S. Department of Commerce, Bureau of Economic Analysis. Table 3. -- Personal Income and Its Disposition, Change From Preceding Period [Billions of dollars] -------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ------------------------------------------------------ 1995 1996 May 97 June 97 July 97r Aug. 97r Sep. 97r Oct. 97p -------------------------------------------------------------------------------------------------------------------- Personal income....................... 359.0 344.4 21.9 40.7 10.7 40.1 23.3 35.2 Wage and salary disbursements........ 188.8 203.0 13.0 32.5 2.3 32.3 10.2 23.9 Private industries................ 168.0 183.4 11.9 31.4 0.1 29.9 7.6 22.1 Goods-producing industries...... 40.0 44.7 3.4 0.8 1.0 6.5 4.0 8.9 Manufacturing................. 27.6 26.3 0.8 0.9 0.3 5.0 2.7 7.9 Distributive industries......... 41.7 40.2 1.9 7.9 -0.7 11.5 -1.2 5.2 Service industries.............. 86.3 98.5 6.8 22.6 -0.3 12.1 4.8 7.9 Government........................ 20.8 19.6 1.0 1.2 2.3 2.3 2.5 1.9 Other labor income.................. 1.8 0.8 0.9 0.3 1.0 1.0 1.3 1.2 Proprietors' income with IVA and CCAdj............................. 17.3 31.4 2.7 2.9 0.0 -0.8 2.3 3.6 Farm.............................. -13.5 13.8 0.8 0.2 -1.2 -2.5 -1.9 -0.4 Nonfarm........................... 30.8 17.6 1.9 2.6 1.3 1.6 4.3 4.0 Rental income of persons with CCAdj............................. 8.4 13.5 -0.4 -1.1 -0.2 1.0 -0.3 -0.7 Personal dividend income............ 47.1 39.3 2.0 2.0 2.1 2.1 2.1 2.0 Personal interest income............ 50.8 16.8 2.6 2.9 3.3 3.5 3.3 3.2 Transfer payments to persons........ 60.3 53.0 2.0 3.1 2.5 3.0 5.2 3.4 Old-age, survivors, disability, and health insurance benefits... 34.8 29.8 2.4 1.1 1.4 3.1 0.0 1.5 Government unemployment insurance benefits.............. -2.2 0.6 -0.1 0.0 -0.1 -0.2 0.3 0.0 Other............................. 27.5 22.7 -0.3 2.0 1.2 0.1 4.9 1.9 Less: Personal contributions for social insurance.................. 15.6 13.2 0.8 2.1 0.1 2.1 0.7 1.5 Less: Personal tax and nontax payments............................ 56.0 91.8 7.9 10.6 2.0 7.7 3.0 6.5 Equals: Disposable personal income.... 303.0 252.6 14.0 30.0 8.9 32.3 20.3 28.7 Less: Personal outlays................ 259.0 267.7 0.4 30.8 64.4 13.8 20.1 29.7 Personal consumption expenditures... 240.7 249.9 0.4 29.5 64.6 11.9 18.8 28.8 Interest paid by persons............ 17.6 16.7 0.0 1.3 -0.1 1.7 1.4 0.9 Personal transfer payments to the rest of the world (net)........... 0.6 1.1 0.0 0.0 0.0 0.0 0.0 0.0 Equals: Personal saving............... 44.0 -15.0 13.6 -0.8 -55.6 18.6 0.2 -0.9 Addenda: Disposable personal income, chained (1992) dollars.......... 159.1 112.7 13.2 19.6 -1.4 22.9 9.3 17.5 -------------------------------------------------------------------------------------------------------------------- ----------------------------------------- p Preliminary. r Revised. IVA Inventory valuation adjustment CCAdj Capital consumption adjustment Source: U.S. Department of Commerce, Bureau of Economic Analysis. Table 4. -- Personal Consumption Expenditures by Major Type of Product ------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates --------------------------------------------------------- 1995 1996 May 97 June 97 July 97r Aug. 97r Sep. 97r Oct. 97p ------------------------------------------------------------------------------------------------------------------------- Billions of current dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 4,957.7 5,207.6 5,422.4 5,451.9 5,516.5 5,528.4 5,547.2 5,576.0 Durable goods....................... 608.5 634.5 643.5 647.0 670.8 666.3 664.2 661.8 Nondurable goods.................... 1,475.8 1,534.7 1,577.1 1,582.6 1,597.6 1,599.8 1,606.3 1,610.6 Services............................ 2,873.4 3,038.4 3,201.8 3,222.3 3,248.0 3,262.3 3,276.7 3,303.6 -------------------------------------------------------------------------------- Billions of chained (1992) dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 4,595.3 4,714.1 4,823.2 4,842.9 4,891.5 4,896.8 4,905.3 4,923.3 Durable goods....................... 583.6 611.1 628.1 633.0 657.6 655.7 654.3 653.3 Nondurable goods.................... 1,412.6 1,432.3 1,449.1 1,454.7 1,466.1 1,464.8 1,466.9 1,470.0 Services............................ 2,599.6 2,671.0 2,745.5 2,755.0 2,769.8 2,777.7 2,785.1 2,800.4 -------------------------------------------------------------------------------- Implicit price deflators (Index numbers, 1992 = 100) -------------------------------------------------------------------------------- Personal consumption expenditures..... 107.89 110.47 112.42 112.58 112.78 112.90 113.09 113.26 Durable goods....................... 104.27 103.83 102.45 102.22 102.00 101.61 101.51 101.30 Nondurable goods.................... 104.48 107.15 108.83 108.79 108.97 109.22 109.51 109.56 Services............................ 110.53 113.76 116.62 116.96 117.27 117.45 117.65 117.97 ------------------------------------------------------------------------------------------------------------------------- Change from preceding period ------------------------------------------------------------------------------------------------------------------------- Billions of current dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 240.7 249.9 0.4 29.5 64.6 11.9 18.8 28.8 Durable goods....................... 29.0 26.0 0.6 3.5 23.8 -4.5 -2.1 -2.4 Nondurable goods.................... 47.4 58.9 0.1 5.5 15.0 2.2 6.5 4.3 Services............................ 164.3 165.0 -0.3 20.5 25.7 14.3 14.4 26.9 -------------------------------------------------------------------------------- Billions of chained (1992) dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 109.3 118.8 1.0 19.7 48.6 5.3 8.5 18.0 Durable goods....................... 22.4 27.5 2.2 4.9 24.6 -1.9 -1.4 -1.0 Nondurable goods.................... 22.7 19.7 2.8 5.6 11.4 -1.3 2.1 3.1 Services............................ 64.1 71.4 -3.6 9.5 14.8 7.9 7.4 15.3 __________________________________________________________________________________________________________________________ Table 5. -- Percent Change From Preceding Period in Selected Series -------------------------------------------------------------------------------------------------------------------------- 1995 1996 May 97 June 97 July 97r Aug. 97r Sep. 97r Oct. 97p -------------------------------------------------------------------------------------------------------------------------- Based on current dollars --------------------------------------------------------------------------------- Personal income....................... 6.2 5.6 0.3 0.6 0.2 0.6 0.3 0.5 Disposable personal income............ 6.0 4.7 0.2 0.5 0.2 0.5 0.3 0.5 Personal consumption expenditures..... 5.1 5.0 0.0 0.5 1.2 0.2 0.3 0.5 Durable goods....................... 5.0 4.3 0.1 0.6 3.7 -0.7 -0.3 -0.4 Nondurable goods.................... 3.3 4.0 0.0 0.3 0.9 0.1 0.4 0.3 Services............................ 6.1 5.7 0.0 0.6 0.8 0.4 0.4 0.8 --------------------------------------------------------------------------------- Based on chained (1992) dollars --------------------------------------------------------------------------------- Disposable personal income............ 3.3 2.3 0.3 0.4 0.0 0.4 0.2 0.3 Personal consumption expenditures..... 2.4 2.6 0.0 0.4 1.0 0.1 0.2 0.4 Durable goods....................... 4.0 4.7 0.3 0.8 3.9 -0.3 -0.2 -0.2 Nondurable goods.................... 1.6 1.4 0.2 0.4 0.8 -0.1 0.1 0.2 Services............................ 2.5 2.7 -0.1 0.3 0.5 0.3 0.3 0.6 -------------------------------------------------------------------------------------------------------------------------- ---------------------------------------- p Preliminary. r Revised. Source: U.S. Department of Commerce, Bureau of Economic Analysis.