Home > News Release: Gross Domestic Product for Guam
EMBARGOED UNTIL RELEASE AT 7:30 P.M. EDT, SUNDAY, JUNE 13, 2010
BEA 10-27
Aya Hamano:
(202) 606-9683   (BEA)
Wali Osman:
(202) 208-4292   (OIA)
THE BUREAU OF ECONOMIC ANALYSIS (BEA) RELEASES ESTIMATES OF THE MAJOR COMPONENTS OF GROSS DOMESTIC PRODUCT FOR GUAM

HAGATNA, GUAM (June 14, 2010) – Today, the Bureau of Economic Analysis (BEA) is releasing its first set of estimates of the major components of gross domestic product (GDP) for Guam.1

Objectively gauging changes in economic activity is difficult in the absence of comprehensive economic metrics, such as the GDP. Until now, a framework did not exist to estimate the GDP of Guam. The Statistical Improvement Program, funded by the Office of Insular Affairs (OIA) of the U.S. Department of the Interior, has made it possible for BEA to develop formal methodologies for measuring the GDP of Guam.

On May 5, 2010, BEA released estimates of total GDP for American Samoa, the Commonwealth of the Northern Mariana Islands, Guam, and the U.S. Virgin Islands. The estimates for Guam showed that from 2002 to 2007, real GDP -- GDP adjusted to remove price changes -- grew at an average annual rate of 1.8 percent.2 (For comparison, the average annual growth rate for the United States (excluding the territories) was 2.8 percent over this period.)

The estimates released today supplement the estimates of total GDP for Guam that were released in May. The accompanying tables present estimates for the major components of GDP, including consumer spending, private fixed investment, net exports, and government spending.3 Also included in this release are estimates of the major components of gross domestic income.

The estimates of the major components of Guam’s GDP show that changes in consumer spending, in government spending (including spending for construction), and in exports of services accounted for much of the year-to-year volatility in real GDP growth.

In constructing the estimates for Guam, BEA used methodologies consistent with the methods used to estimate U.S. GDP. Information from the Economic Census of Island Areas was used to establish levels of GDP for the years 2002 and 2007. Annual series were then developed and used to estimate GDP for the intervening years. Because Guam is not included in most of the major surveys used by BEA to estimate U.S. GDP, the support of government leaders in Guam and the assistance provided by the Guam Bureau of Statistics and Plans, the Guam Department of Revenue and Taxation, the Guam Bureau of Labor Statistics, and the Guam Bureau of Budget and Management Research were critical to the successful production of the estimates presented in this release.

Moving forward, the agreement between OIA and BEA will extend and improve the estimates of GDPfor Guam. BEA currently plans to release estimates for both 2008 and 2009 in the spring of 2011.

1 These estimates are based on limited source data and are subject to revision.

2 Summary GDP statistics for Guam are presented on page 3 of this news release.

3 “Consumer spending” refers to “personal consumption expenditures” and “government spending” refers to “government consumption expenditures and gross investment.”

BEA’s national, international, regional, and industry statistics; the Survey of Current Business; and BEA news releases are available without charge on BEA’s Web site at www.bea.gov. By visiting the site, you can also subscribe to receive free e-mail summaries of BEA releases and announcements.

Guam

From 2002 to 2007, real GDP of Guam grew at an average annual rate of 1.8 percent. Year-to-year fluctuations in economic growth reflected changes in construction activity and in tourism. Guam's economy was significantly affected by a number of economic shocks over this period, including Typhoon Pongsona, the SARS epidemic, the outbreak of avian flu, and the financial downturn in Asia.

Summary Statistics for Guam
  2002 2003 2004 2005 2006 2007 2002-2007
AAGR 1
GDP (millions of dollars) 3,568 3,542 3,846 4,100 4,176 4,280 3.7%
Real GDP (millions of chained 2005 dollars) 3,651 3,643 3,936 4,100 3,959 3,988 1.8%
Population 2 161,057 163,593 166,090 168,564 171,019 173,456 1.5%
Real GDP per capita (chained 2005 dollars) 22,669 22,269 23,698 24,323 23,149 22,991 0.3%
1. Average annual growth rate. 2. Source: U.S. Census Bureau, International Database.        

Percentage change of Real GDP Growth for Guam 2002-2007

From 2002 to 2007, the population of Guam increased at an average annual rate of 1.5 percent, and real GDP per capita increased at an average annual rate of 0.3 percent.

Chained (2005) dollars Per Capita Real GDP Guam 2002-2007



Guam
Table 1. Gross Domestic Product
Line
[Millions of dollars]
2002 2003 2004 2005 2006 2007
Gross domestic product
1 3,568 3,542 3,846 4,100 4,176 4,280
 
Personal consumption expenditures 2 2,359 2,189 2,366 2,589 2,660 2,783
 
Private fixed investment 3 95 130 126 122 140 180
 
Net exports 4 -368 -444 -363 -453 -507 -690
  Exports 5 611 544 741 839 812 814
   Goods 6 50 43 53 52 53 91
   Services 7 561 501 688 788 759 723
  Imports 8 979 988 1,103 1,292 1,318 1,504
   Goods 9 958 966 1,076 1,263 1,288 1,463
   Services 10 21 22 28 30 31 41
 
Government consumption
 expenditures and gross investment
11 1,482 1,668 1,717 1,842 1,883 2,006
 Federal 12 861 993 1,031 1,080 1,077 1,142
 Territorial 13 620 675 686 762 806 864


Guam
Table 2. Real Gross Domestic Product, Chained Dollars
Line
[Millions of chained (2005) dollars]
2002 2003 2004 2005 2006 2007
Gross domestic product
1 3,651 3,643 3,936 4,100 3,959 3,988
 
Personal consumption expenditures 2 2,503 2,293 2,455 2,589 2,554 2,601
 
Private fixed investment 3 111 148 135 122 131 164
 
Net exports 4 -657 -571 -451 -453 -557 -703
 Exports 5 736 628 801 839 761 744
  Goods 6 58 48 56 52 51 83
  Services 7 677 580 745 788 710 662
 Imports 8 1,393 1,199 1,252 1,292 1,318 1,448
  Goods 9 1,372 1,176 1,223 1,263 1,288 1,408
  Services 10 22 24 29 30 30 39
 
Government consumption
 expenditures and gross investment
11 1,653 1,763 1,797 1,842 1,830 1,923
 Federal 12 958 1,055 1,069 1,080 1,026 1,084
 Territorial 13 694 708 728 762 805 841


Guam
Table 3. Percent Change From Preceding Year in Real Gross Domestic Product
  Line
[Percent]
2003 2004 2005 2006 2007
Gross domestic product
1 -0.2 8.1 4.2 -3.4 0.7
 
Personal consumption expenditures 2 -8.4 7.0 5.5 -1.3 1.8
 
Private fixed investment 3 32.9 -8.5 -9.5 7.0 24.9
 
Net exports 4          
  Exports 5 -14.6 27.4 4.8 -9.4 -2.1
   Goods 6 -16.9 15.5 -7.3 -2.0 63.6
   Services 7 -14.4 28.5 5.8 -9.9 -6.8
 Imports 8 -13.9 4.4 3.2 2.0 9.9
   Goods 9 -14.3 4.0 3.2 2.0 9.3
   Services 10 5.8 21.6 3.6 -1.0 32.2
 
Government consumption
 expenditures and gross investment 11 6.7 2.0 2.5 -0.6 5.1
 Federal 12 10.0 1.4 1.0 -5.0 5.6
 Territorial 13 2.0 2.9 4.6 5.7 4.4


Guam
Table 4. Contributions to Percent Change in Real Gross Domestic Product
Line  
2003 2004 2005 2006 2007
Percent change:
  Gross domestic product 1 -0.2 8.1 4.2 -3.4 0.7
Percentage points:
Personal consumption expenditures 2 -5.60 4.36 3.38 -0.83 1.18
 
Private fixed investment 3 0.89 -0.32 -0.32 0.21 0.84
 
Net exports 4 1.64 3.08 -0.02 -2.54 -3.56
 Exports 5 -2.57 4.35 0.96 -1.94 -0.41
   Goods 6 -0.24 0.19 -0.10 -0.03 0.82
   Services 7 -2.33 4.15 1.06 -1.91 -1.23
 Imports 8 4.21 -1.27 -0.98 -0.60 -3.15
   Goods 9 4.24 -1.13 -0.96 -0.61 -2.91
   Services 10 -0.03 -0.14 -0.03 0.01 -0.24
 
Government consumption
  expenditures and gross investment 11 2.85 0.93 1.11 -0.27 2.28
  Federal 12 2.50 0.39 0.27 -1.30 1.43
  Territorial 13 0.36 0.54 0.84 1.03 0.85


Guam
Table 5. Percent Change From Preceding Year in Prices for Gross Domestic Product
and Price Indexes for Gross Domestic Product
Line
2002
2003
2004
2005
2006
2007
[Percent]
    Gross domestic product 1 …….. -0.5 0.5 2.4 5.5 1.7
Personal consumption expenditures 2 …….. 1.2 1.0 3.7 4.1 2.8
[Index numbers, 2005=100]
  Gross domestic product 3 97.7 97.2 97.7 100.0 105.5 107.3
Personal consumption expenditures 4 94.3 95.4 96.4 100.0 104.1 107.0


Guam
Table 6. Gross Domestic Income
Line
[Millions of dollars]
2002 2003 2004 2005 2006 2007
  Gross domestic income 1 3,568 3,542 3,846 4,100 4,176 4,280
Compensation of employees 2 1,879 2,096 2,123 2,204 2,293 2,409
Taxes on production and imports less subsidies 3 94 127 154 163 165 194
Gross operating surplus 4 1,595 1,320 1,568 1,733 1,718 1,677