FOR WIRE TRANSMISSION: 8:30 A.M. EDT, FRIDAY, AUGUST 27, 1999 James E. Rankin: 202 606-5301 (Personal Income) BEA 99-26 Greg Key: 606-5302 (Personal Outlays) Recorded message: 606-5303 PERSONAL INCOME AND OUTLAYS: JULY 1999 Personal income increased $17.3 billion, or 0.2 percent, and disposable personal income (DPI) increased $9.3 billion, or 0.1 percent, in July, according to the Commerce Department's Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $25.3 billion, or 0.4 percent. In June, personal income increased $54.8 billion, or 0.7 percent, DPI increased $46.0 billion, or 0.7 percent, and PCE increased $17.8 billion, or 0.3 percent, based on revised estimates. 1999 Mar. Apr. May June July (Percent change from preceding month) Personal income, current dollars 0.3 0.4 0.3 0.7 0.2 Disposable personal income: Current dollars .4 .4 .2 .7 .1 Chained (1992) dollars .3 -.2 .2 .8 -.1 Personal consumption expenditures: Current dollars .6 .6 .5 .3 .4 Chained (1992) dollars .5 .0 .5 .3 .2 Wages and salaries Private wage and salary disbursements increased $29.6 billion in July, compared with an increase of $20.9 billion in June. Goods-producing industries' payrolls increased $9.1 billion, compared with an increase of $4.7 billion; manufacturing payrolls increased $6.5 billion, compared with an increase of $3.3 billion. Distributive industries' payrolls increased $7.4 billion, compared with an increase of $6.2 billion. Service industries' payrolls increased $13.2 billion, compared with an increase of $10.0 billion. Government wage and salary disbursements increased $2.2 billion, compared with an increase of $1.9 billion. Other personal income Farm proprietors' income decreased $18.7 billion, in contrast to an increase of $17.6 billion. The changes in farm proprietors' income reflect the pattern of disaster relief subsidy payments made to farmers participating in the federal farm program. Federal subsidy payments to farm proprietors decreased $18.7 billion at an annual rate in July, in contrast to an increase of $18.1 billion at an annual rate in June. Excluding subsidy payments, farm proprietors' income was unchanged in July, in contrast to a decrease of $0.5 billion in June. Transfer payments increased $1.5 billion in July, compared with an increase of $2.6 billion in June. Personal interest income increased $2.6 billion, compared with an increase of $2.8 billion. Personal dividend income increased $1.4 billion in July, the same increase as in June. Rental income of persons decreased $4.1 billion in July, in contrast to an increase of $3.0 billion in June. Personal contributions for social insurance -- a subtraction in calculating personal income -- increased $2.1 billion in July, compared with an increase of $1.7 billion in June. Personal taxes and disposable personal income Personal tax and nontax payments increased $7.9 billion in July, compared with an increase of $8.8 billion in June. Disposable personal income (DPI) -- personal income less personal tax and nontax payments -- increased $9.3 billion, or 0.1 percent, in July, compared with an increase of $46.0 billion, or 0.7 percent, in June. Personal outlays and personal saving Personal outlays -- PCE, interest paid by persons, and personal transfer payments to the rest of the world (net) -- increased $27.1 billion in July, compared with an increase of $20.0 billion in June. PCE increased $25.3 billion, compared with an increase of $17.8 billion. Personal saving -- DPI less personal outlays -- was a negative $86.2 billion in July, compared with a negative $68.4 billion in June. Personal saving as a percentage of disposable personal income was a negative 1.4 percent in July, compared with a negative 1.1 percent in June. Chained (1992) dollar estimates Real DPI -- DPI adjusted to remove price changes -- decreased 0.1 percent in July, in contrast to an increase of 0.8 percent in June. Real PCE -- PCE adjusted to remove price changes -- increased 0.2 percent in July, compared with an increase of 0.3 percent in June. Purchases of durable goods increased 0.2 percent, compared with an increase of 0.4 percent. Purchases of nondurable goods decreased 0.2 percent in July, in contrast to an increase of 0.4 percent in June. Purchases of services increased 0.4 percent, compared with an increase of 0.3 percent. Revisions Estimates have been revised for April through June. Changes in personal income, current-dollar and chained (1992) dollar DPI, and current-dollar and chained (1992) dollar PCE for May and June -- revised and as published in last month's release -- are shown below. Revisions for April were small. Change from preceding month May June Previous Revised Previous Revised Previous Revised Previous Revised (Dollars) (Percent) (Dollars) (Percent) Personal income: Current dollars . . 25.1 24.9 0.3 0.3 52.0 54.8 0.7 0.7 Disposable personal income: Current dollars . . 15.5 14.1 .2 .2 42.6 46.0 .7 .7 Chained (1992) dollars 13.6 12.0 .2 .2 39.3 42.4 .7 .8 Personal consumption expenditures: Current dollars . . 34.1 32.2 .6 .5 19.3 17.8 .3 .3 Chained (1992) dollars 29.9 28.0 .6 .5 18.9 17.5 .4 .3 * * * |======================================================================================================| | As announced in the February issue of the Survey of Current Business, the Bureau of | |Economic Analysis plans to release the initial results of its 11th comprehensive, or benchmark, | |revision of the national income and product accounts (NIPA's) on October 28, 1999, along with | |the release of the advance estimates for the third quarter of 1999. The August 1999 issue of the | |Survey presented the first in a series of articles on the comprehensive revision. | |======================================================================================================| BEA's major national, international, regional, and industry estimates; the Survey of Current Business; and BEA news releases are available without charge on BEA's Web site: www.bea.doc.gov STAT-USA maintains an electronic bulletin board (EBB) and an Internet site that contain BEA estimates, the Survey of Current Business, and BEA news releases. The information available through STAT-USA is often more detailed and more timely than that available from other sources. For information about STAT-USA, go to <www.stat-usa.gov>, or call (202) 482-1986. Subscriptions for single-user unlimited access to STAT-USA's Internet information are $50.00 for 3 months or $150.00 for 1 year. Summary BEA estimates are available on recorded messages at the time of public release at the following telephone numbers: (202) 606-5306 Gross domestic product 606-5303 Personal income and outlays 606-5362 U.S. international transactions Most of BEA's estimates and analyses appear in the Survey of Current Business, BEA's monthly journal. The printed Survey of Current Business is available from the Superintendent of Documents, U.S. Government Printing Office, Washington, DC 20402. First class mail: Annual subscription $104.00 domestic. Second class mail: Annual subscription $42.00 domestic, $52.50 foreign; single issue $15.00 domestic, $18.75 foreign. Next release -- Personal Income and Outlays for August will be released on October 1, 1999, at 8:30 A.M. EDT. Table 1. -- Personal Income [Billions of dollars] -------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ----------------------------------------------------------- 1997 1998 Feb. 99 Mar. 99 Apr. 99r May 99r June 99r July 99p -------------------------------------------------------------------------------------------------------------------------- Personal income..................... 6,784.0 7,126.1 7,352.9 7,374.9 7,407.4 7,432.3 7,487.1 7,504.4 Wage and salary disbursements..... 3,889.8 4,149.9 4,322.6 4,332.5 4,356.7 4,377.4 4,400.2 4,432.0 Private industries.............. 3,225.7 3,460.5 3,611.2 3,619.0 3,641.9 3,661.4 3,682.3 3,711.9 Goods-producing industries.... 975.0 1,026.9 1,049.3 1,049.9 1,055.6 1,060.7 1,065.4 1,074.5 Manufacturing............... 719.5 751.5 759.7 760.1 763.1 767.9 771.2 777.7 Distributive industries....... 879.8 939.6 973.8 973.4 979.2 980.7 986.9 994.3 Service industries............ 1,370.8 1,494.0 1,588.2 1,595.7 1,607.1 1,620.0 1,630.0 1,643.2 Government...................... 664.2 689.3 711.4 713.4 714.7 716.0 717.9 720.1 Other labor income................ 392.9 406.9 414.6 416.6 418.1 419.6 421.1 422.6 Proprietors' income with IVA and CCAdj........................... 551.2 577.2 598.8 599.3 603.3 602.7 625.1 609.8 Farm............................ 35.5 28.7 23.7 19.1 19.9 16.8 34.4 15.7 Nonfarm......................... 515.8 548.5 575.1 580.2 583.4 585.8 590.7 594.1 Rental income of persons with CCAdj........................... 158.2 162.6 167.8 168.9 169.5 169.3 172.3 168.2 Personal dividend income.......... 260.3 263.1 268.8 270.0 271.3 272.7 274.1 275.5 Personal interest income.......... 747.3 764.8 770.9 772.4 774.8 777.8 780.6 783.2 Transfer payments to persons...... 1,110.4 1,149.0 1,173.1 1,179.7 1,179.9 1,180.7 1,183.3 1,184.8 Old-age, survivors, disability, and health insurance benefits. 565.9 586.5 597.2 599.6 600.6 601.1 602.4 603.9 Government unemployment insurance benefits............ 19.9 19.5 19.5 19.7 19.2 19.2 19.4 19.1 Other........................... 524.6 542.9 556.4 560.4 560.1 560.4 561.5 561.8 Less: Personal contributions for social insurance................ 326.2 347.4 363.7 364.6 366.3 367.9 369.6 371.7 -------------------------------------------------------------------------------------------------------------------------- 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 ------------------------------------------------------ 1997 1998 Feb. 99 Mar. 99 Apr. 99r May 99r June 99r July 99p -------------------------------------------------------------------------------------------------------------------------- Personal income....................... 6,784.0 7,126.1 7,352.9 7,374.9 7,407.4 7,432.3 7,487.1 7,504.4 Less: Personal tax and nontax payments........................... 989.0 1,098.3 1,147.2 1,146.1 1,152.5 1,163.3 1,172.1 1,180.0 Equals: Disposable personal income... 5,795.1 6,027.9 6,205.7 6,228.7 6,254.9 6,269.0 6,315.0 6,324.3 Less: Personal outlays............... 5,674.1 6,000.2 6,257.1 6,289.5 6,329.4 6,363.5 6,383.5 6,410.6 Personal consumption expenditures... 5,493.7 5,807.9 6,056.7 6,090.1 6,128.5 6,160.7 6,178.5 6,203.8 Interest paid by persons............ 161.5 172.4 180.2 179.2 180.4 182.3 184.5 186.3 Personal transfer payments to the rest of the world (net)........... 18.9 19.9 20.2 20.2 20.5 20.5 20.5 20.5 Equals: Personal saving.............. 121.0 27.7 -51.5 -60.7 -74.5 -94.5 -68.4 -86.2 Addenda: Disposable personal income: Chained (1992) dollars 1/........... 5,183.1 5,348.5 5,468.3 5,487.3 5,478.0 5,490.0 5,532.4 5,528.3 Per capita: Current dollars................... 21,633 22,304 22,813 22,881 22,959 22,992 23,141 23,154 Chained (1992) dollars............ 19,349 19,790 20,103 20,158 20,108 20,136 20,273 20,240 Population (thousands).............. 267,880 270,257 272,019 272,219 272,434 272,654 272,892 273,142 Personal saving as a percentage of disposable personal income ......... 2.1 0.5 -0.8 -1.0 -1.2 -1.5 -1.1 -1.4 -------------------------------------------------------------------------------------------------------------------------- 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 ------------------------------------------------------ 1997 1998 Feb. 99 Mar. 99 Apr. 99r May 99r June 99r July 99p -------------------------------------------------------------------------------------------------------------------- Personal income....................... 358.8 342.1 32.7 22.0 32.5 24.9 54.8 17.3 Wage and salary disbursements........ 258.7 260.1 26.8 9.9 24.2 20.7 22.8 31.8 Private industries................ 235.5 234.8 24.3 7.8 22.9 19.5 20.9 29.6 Goods-producing industries...... 66.0 51.9 4.3 0.6 5.7 5.1 4.7 9.1 Manufacturing................. 44.9 32.0 1.8 0.4 3.0 4.8 3.3 6.5 Distributive industries......... 56.5 59.8 6.7 -0.4 5.8 1.5 6.2 7.4 Service industries.............. 112.9 123.2 13.4 7.5 11.4 12.9 10.0 13.2 Government........................ 23.3 25.1 2.5 2.0 1.3 1.3 1.9 2.2 Other labor income.................. 5.9 14.0 1.7 2.0 1.5 1.5 1.5 1.5 Proprietors' income with IVA and CCAdj............................. 23.5 26.0 2.0 0.5 4.0 -0.6 22.4 -15.3 Farm.............................. -3.4 -6.8 -1.0 -4.6 0.8 -3.1 17.6 -18.7 Nonfarm........................... 27.0 32.7 3.0 5.1 3.2 2.4 4.9 3.4 Rental income of persons with CCAdj............................. 8.0 4.4 1.5 1.1 0.6 -0.2 3.0 -4.1 Personal dividend income............ 12.1 2.8 1.1 1.2 1.3 1.4 1.4 1.4 Personal interest income............ 27.9 17.5 1.2 1.5 2.4 3.0 2.8 2.6 Transfer payments to persons........ 42.4 38.6 0.4 6.6 0.2 0.8 2.6 1.5 Old-age, survivors, disability, and health insurance benefits... 27.9 20.6 0.2 2.4 1.0 0.5 1.3 1.5 Government unemployment insurance benefits.............. -2.0 -0.4 0.0 0.2 -0.5 0.0 0.2 -0.3 Other............................. 16.6 18.3 0.2 4.0 -0.3 0.3 1.1 0.3 Less: Personal contributions for social insurance.................. 19.9 21.2 1.9 0.9 1.7 1.6 1.7 2.1 Less: Personal tax and nontax payments............................ 98.5 109.3 8.3 -1.1 6.4 10.8 8.8 7.9 Equals: Disposable personal income.... 260.4 232.8 24.4 23.0 26.2 14.1 46.0 9.3 Less: Personal outlays................ 297.9 326.1 51.5 32.4 39.9 34.1 20.0 27.1 Personal consumption expenditures... 278.0 314.2 51.7 33.4 38.4 32.2 17.8 25.3 Interest paid by persons............ 17.9 10.9 -0.1 -1.0 1.2 1.9 2.2 1.8 Personal transfer payments to the rest of the world (net)........... 2.0 1.0 0.0 0.0 0.3 0.0 0.0 0.0 Equals: Personal saving............... -37.5 -93.3 -27.3 -9.2 -13.8 -20.0 26.1 -17.8 Addendum: Disposable personal income, chained (1992) dollars.......... 140.1 165.4 19.4 19.0 -9.3 12.0 42.4 -4.1 -------------------------------------------------------------------------------------------------------------------- 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 --------------------------------------------------------- 1997 1998 Feb. 99 Mar. 99 Apr. 99r May 99r June 99r July 99p ------------------------------------------------------------------------------------------------------------------------- Billions of current dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 5,493.7 5,807.9 6,056.7 6,090.1 6,128.5 6,160.7 6,178.5 6,203.8 Durable goods....................... 673.0 724.7 777.3 776.5 774.7 789.1 790.1 791.5 Nondurable goods.................... 1,600.6 1,662.4 1,739.4 1,748.2 1,764.8 1,772.3 1,776.2 1,778.4 Services............................ 3,220.1 3,420.8 3,540.1 3,565.4 3,589.0 3,599.4 3,612.1 3,634.0 -------------------------------------------------------------------------------- Billions of chained (1992) dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 4,913.5 5,153.3 5,337.1 5,365.2 5,367.3 5,395.3 5,412.8 5,422.9 Durable goods....................... 668.6 737.1 804.5 808.4 804.2 821.8 825.5 827.3 Nondurable goods.................... 1,486.3 1,544.1 1,604.5 1,613.0 1,605.0 1,613.3 1,619.3 1,616.0 Services............................ 2,761.5 2,879.5 2,943.9 2,959.6 2,972.2 2,977.0 2,985.2 2,996.4 -------------------------------------------------------------------------------- Implicit price deflators (Index numbers, 1992 = 100) -------------------------------------------------------------------------------- Personal consumption expenditures..... 111.81 112.70 113.48 113.51 114.18 114.19 114.15 114.40 Durable goods....................... 100.66 98.32 96.62 96.05 96.34 96.01 95.71 95.67 Nondurable goods.................... 107.69 107.66 108.40 108.38 109.96 109.85 109.69 110.05 Services............................ 116.61 118.80 120.25 120.47 120.75 120.90 121.00 121.28 ------------------------------------------------------------------------------------------------------------------------- Change from preceding period ------------------------------------------------------------------------------------------------------------------------- Billions of current dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 278.0 314.2 51.7 33.4 38.4 32.2 17.8 25.3 Durable goods....................... 29.7 51.7 17.4 -0.8 -1.8 14.4 1.0 1.4 Nondurable goods.................... 61.4 61.8 19.0 8.8 16.6 7.5 3.9 2.2 Services............................ 186.9 200.7 15.4 25.3 23.6 10.4 12.7 21.9 -------------------------------------------------------------------------------- Billions of chained (1992) dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 161.1 239.8 43.6 28.1 2.1 28.0 17.5 10.1 Durable goods....................... 42.5 68.5 20.7 3.9 -4.2 17.6 3.7 1.8 Nondurable goods.................... 35.4 57.8 19.3 8.5 -8.0 8.3 6.0 -3.3 Services............................ 84.8 118.0 7.0 15.7 12.6 4.8 8.2 11.2 __________________________________________________________________________________________________________________________ Table 5. -- Percent Change From Preceding Period in Selected Series -------------------------------------------------------------------------------------------------------------------------- 1997 1998 Feb. 99 Mar. 99 Apr. 99r May 99r June 99r July 99p -------------------------------------------------------------------------------------------------------------------------- Based on current dollars --------------------------------------------------------------------------------- Personal income....................... 5.6 5.0 0.4 0.3 0.4 0.3 0.7 0.2 Disposable personal income............ 4.7 4.0 0.4 0.4 0.4 0.2 0.7 0.1 Personal consumption expenditures..... 5.3 5.7 0.9 0.6 0.6 0.5 0.3 0.4 Durable goods....................... 4.6 7.7 2.3 -0.1 -0.2 1.9 0.1 0.2 Nondurable goods.................... 4.0 3.9 1.1 0.5 0.9 0.4 0.2 0.1 Services............................ 6.2 6.2 0.4 0.7 0.7 0.3 0.4 0.6 --------------------------------------------------------------------------------- Based on chained (1992) dollars --------------------------------------------------------------------------------- Disposable personal income............ 2.8 3.2 0.4 0.3 -0.2 0.2 0.8 -0.1 Personal consumption expenditures..... 3.4 4.9 0.8 0.5 0.0 0.5 0.3 0.2 Durable goods....................... 6.8 10.2 2.6 0.5 -0.5 2.2 0.4 0.2 Nondurable goods.................... 2.4 3.9 1.2 0.5 -0.5 0.5 0.4 -0.2 Services............................ 3.2 4.3 0.2 0.5 0.4 0.2 0.3 0.4 -------------------------------------------------------------------------------------------------------------------------- p Preliminary. r Revised. Source: U.S. Department of Commerce, Bureau of Economic Analysis.