Explanatory Notes on Main Statistical Indicators
Gross
Domestic Product (GDP) refers to the final products at market prices produced by all resident
units in a country during a certain
period of time. Gross domestic product is expressed in three different
perspectives, namely value, income, and products respectively. GDP in its value
perspective refers to the balance of total value of all goods and services
produced by all resident units during a certain period of time, minus the total
value of input of goods and services of the nature of non-fixed assets; in
other words, it is the sum of the value-added of all resident units. GDP from
the perspective of income includes the primary income created by all resident
units and distributed to resident and non-resident units. GDP from the
perspective of products refers to the value of all goods and services for final
demand by all resident units plus the net exports of goods and services during
a given period of time. In the practice of national accounting, gross domestic
product is calculated from three approaches, namely production approach, income
approach and expenditure approach, which reflect gross domestic product and its
composition from different angles.
For a region, it is called as Gross Regional
Product(GRP) or regional GDP.
Three
Strata of Industry In
Primary industry refers to agriculture,
forestry, animal husbandry and fishery industries.
Secondary industry refers to mining and
quarrying, manufacturing, production and supply of electricity, water and gas,
and construction.
Tertiary industry refers to all other
economic activities not included in the primary or secondary industries.
GDP
by Expenditure Approach refers to the method of measuring the final results of production
activities of a country (region) during a given period from the perspective of
final uses. It includes final consumption expenditure, gross capital formation
and net export of goods and services.
Final
Consumption Expenditure refers to the total expenditure of resident units for purchases of goods
and services from both the domestic economic territory and abroad to meet the
needs of material, cultural and spiritual life. It does not include the
expenditure of non-resident units on consumption in the economic territory of
the country. The final consumption expenditure is broken down into household
consumption expenditure and government consumption expenditure.
Household
Consumption Expenditure refers to the total expenditure of resident households on the final
consumption of goods and services. In addition to the consumption of goods and
services bought by the households directly with money, the household
consumption expenditure also includes expenditure on goods and services
obtained by the households in other ways, i.e. the so-called imputed
consumption expenditure, which includes the following: (a) the goods and
services provided to households by employers in the form of payment in kind and
transfer in kind; (b) goods and services produced and consumed by the
households themselves, in which the services refer to the owner-occupied
housing and services offered by payed family
employees; (c) financial intermediate services provided by financial
institutions.
Government
Consumption Expenditure refers to the consumption expenditure spent for the provision of public services provided by the
government to the whole country and the net expenditure on the goods and
services provided by the government to households free of charge or at reduced
prices. The former equals to the output value of the government services minus
the value of operating income obtained by the government departments. The
latter equals to the market value of the goods and services provided by the
government free of charge or at reduced prices to the households minus the
value received by the government from the households.
Gross
Capital Formation refers to the fixed assets acquired minus disposals and the net value of
inventory, thus including gross fixed capital formation and changes in
inventories.
Gross
Fixed Capital Formation refers to the value of acquisitions minus those disposals of fixed assets
during a given period. Fixed assets are the assets produced through production
activities with unit value above a specified amount and which could be used for
over one year. Natural assets are not included. Gross fixed capital formation
can be categorized into total tangible fixed capital formation and total
intangible fixed capital formation. Total tangible fixed capital formation
includes the value of the construction projects and installation projects
completed and the equipment, apparatus and instruments purchased (minus those
disposed) as well as the value of land improved, the value of draught animals,
breeding stock and animals for milk, for wool and for recreational purposes and
the newly increased forest with economic value. Total intangible fixed capital
formation includes the prospecting of minerals and the acquisition of computer
software minus the disposal of them.
Changes
in Inventories refers to the market value of the change in the physical volume of
inventory of resident units during a given period, i.e. the difference between
the values at the beginning and at the end of the period minus the gains due to
the change in prices. The changes in inventories can have a positive or a negative
value. A positive value indicates an increase in inventory while a negative
value indicates a decrease in inventory. The inventory includes raw materials,
fuels and reserve materials purchased by the production units as well as the
inventory of finished products, semi-finished products and work-in-progress.
Public
Economy refers to the economic components owned by the national or citizen of the
collective economic components, including the state-owned economy and
collective economy.
Private
Economy (ie, non-public Economy) refers to the economic components owned by private citizens in the
Mainland of China and naturalized by