GDP, output and expenditures; changes, Quarterly National Accounts

Dataset is not available.

Description topics

Expenditure approach to GDP

The way GDP is formed by underlying components in the so-called expenditure approach. In this approach the components are consumption by households, consumption by the general government, gross fixed capital formation, changes in inventories and exports, minus imports. Changes in inventories are included for consistency with the production approach. From the 2010 edition of the European System of Accounts onwards these changes are added to fixed capital formation. Consumption, fixed capital formation and changes in inventories add up to the so-called national final expenditure. By adding exports final expenditure is obtained. Intermediate consumption, goods and services used upon production, is not part of final expenditure.

Final expenditure

The sum of the National final expenditure and the exports of goods and services. This variable is by definition equal to the disposable final expenditure (GDP and imports).

National final expenditure

The sum of the consumption of households and the government, gross fixed capital formation and changes in inventories.

Total

Binnenlandse finale bestedingen die bestaan uit de consumptieve bestedingen van huishoudens en de overheid, de bruto investeringen in vaste activa (bruto) en de voorraadvorming.

Changes in inventories incl. valuables

Changes in inventories including acquisitions less disposals of valuables.
Changes in the stock of raw materials, semi-finished products, work-in-progress (unfinished works like ships or oil rigs) and finished products still held by the producer. Changes in stock do not include work-in-progress in construction. Positive changes in inventories arise when products are finished in the reference period but not yet sold. Alternatively, they arise when goods are purchased for intermediate consumption but not yet used. Negative changes in inventories arise when goods from stocks have been sold, or used in the production process. A more extensive list of changes in inventories is found in the European System of Accounts 2010.

In measuring changes in inventories, changes in prices during the reference period are not allowed to have any effect. The initial and final inventory is therefore valued at the same price. Raw materials are valued at the price of purchase. Final products are valued at the selling price. Work-in-progress is valued at the cost-price.

Acquisitions less disposals of valuables consists of the acquisitions less disposals of precious stones, non-monetary gold, antiques, art objects and jewelry that are acquired and held primarily as stores of value. In the national accounts this transaction is mostly combined with changes in inventories.

Production approach to GDP

The way GDP is formed by underlying components in the so-called production approach. In this approach GDP equals the sum of value added over all branches (including non-commercial ones). Value added is thereby registered at basic prices. GDP at market prices is obtained by adding taxes less subsidies on production and the difference between imputed and paid VAT. The included taxes and subsidies apply both to produced and imported goods and services. Examples of these are VAT and taxes on import.

Value added basic prices

The value of all goods and services produced (production value or output), minus those that have been intermediately used upon production (intermediate consumption). Value added is rated at basic prices: purchaser's prices minus trade and transport margins and taxes on products paid and plus subsidies on products received. Intermediate consumption is rated at purchaser's prices minus non-deductible VAT.
Included is the output by all kind-of-activity units residing in the Netherlands, also those that are held by foreign owners.
Net value added can be obtained by deducting consumption of fixed capital from gross value added.

A-F Agriculture and industry

This category is made up of the categories:
A Agriculture, forestry and fishing
B Mining and quarrying
C Manufacturing
D Electricity, gas, steam and air conditioning supply
E Water supply; sewerage, waste management and remediation activities
F Construction

B-E Industry (no construction), energy

This category is made up of the categories:
B Mining and quarrying
C Manufacturing
D Electricity, gas, steam and air conditioning supply
E Water supply; sewerage, waste management and remediation activities

C Manufacturing

Manufacturing

13-15 Man. of textile-, leather products

Manufacture of textiles and textile products and of leather and leather products
This category is made up of the categories:
13 Manufacture of textiles
14 Manufacture of wearing apparel
15 Manufacture of leather, products of leather and footwear

31-33 Other manufacturing and repair

Manufacture of furniture and other products; repair and installation of machinery and equipment
This category is made up of the categories:
31 Manufacture of furniture
32 Manufacture of other products (rest)
33 Repair and installation of machinery and equipment

G-N Commercial services

Commercial services
This category is made up of the categories:
G Wholesale and retail trade
H Transportation and storage
I Accommodation and food serving
J Information and communication
K Financial institutions
L Renting and buying and selling of real estate
M Consultancy, research and other specialized business services
N Renting and leasing of tangible goods and other business support services

M-N Business services

Business services
This category is made up of the categories:
M Consultancy, research and other specialized business services
N Renting and leasing of tangible goods and other business support services

M Other specialised business services

Consultancy, research and other specialized business services
This section includes:
- specialized professional, scientific and technical activities. These activities require a high degree of training, and make specialized knowledge and skills available to users.

N Renting and other business support

Renting and leasing of tangible goods and other business support services

Total

77 Renting and leasing of tangible goods

77 Renting and leasing of motor vehicles, consumer goods, machines and
other tangible goods

78 Employment activities

78 Employment placement, provision of temporary employment and payrolling

79 Travel agencies, tour operators etc

79 Travel agencies, tour operators, tourist information and reservation

80-82 Security and other services

This category is made up of the categories:
80 Security and investigation
81 Facility management
82 Other business services

O-U Non-commercial services

Non-commercial services
This category is made up of the categories:
O Public administration, public services and compulsory social security
P Education
Q Health and social work activities
R Culture, sports and recreation
S Other service activities
T Activities of households as employers; undifferentiated goods- and service- producing activities of households for own use
U Extraterritorial organizations

R-U Culture, recreation, other services

Culture, recreation, other services
This category is made up of the categories:
R Culture, sports and recreation
S Other service activities
T Activities of households as employers; undifferentiated goods- and service- producing activities of households for own use
U Extraterritorial organizations

National net lending or net borrowing

The calculation of the national net lending or net borrowing starting with gross domestic product (GDP). The national financing balance (net lending or net borrowing) is the balance of resources and expenditure on the current account and the capital account of the joint domestic sectors. In the financial account the balance gives the amount new loans are entered into with financial assets abroad and/or are sold (at a deficit) or for any amount to be repaid debts abroad and/or financial assets are purchased (at a surplus). In theory net lending or borrowing equals the change in assets less liabilities. In practice a statistical difference between the two remains.

Surplus of the nation on income approach

The approach of net lending or net borrowing through the surplus of national income.

Gross domestic product

Gross domestic product (GDP) is a quantity that expresses the size of an economy. The volume change of GDP during a reference period expresses the growth or shrinkage of the economy. Gross domestic product at market prices is the final result of the production activity of resident producer units. It can be defined in three ways:

- production approach: GDP is the sum of gross value added of the various institutional sectors or the various industries plus taxes and less subsidies on products (which are not allocated to sectors and industries). It is also the balancing item in the total economy production account;
- expenditure approach: GDP is the sum of final uses of goods and services by resident institutional units (final consumption and gross capital formation), plus exports and minus imports of goods and services;
- income approach: GDP is the sum of uses in the total economy generation of income account (compensation of employees, taxes on production and imports less subsidies, gross operating surplus and mixed income of the total economy).

Net domestic product at market prices (NDP) can be obtained by deducting consumption of fixed capital from GDP.

Acq. less disposals of non-prod. assets

Acquisitions less disposals of non-produced non-financial assets mainly consist of sales of land by public (municipal) development corporations to investors in dwellings and non-residential buildings. The valuation of sales and purchases of land is exclusive of VAT and transfer costs. These are included in fixed capital formation.

National net lending or net borrowing

The national financing balance (net lending or net borrowing) is the balance of resources and expenditure on the current account and the capital account of the joint domestic sectors. In the financial account the balance gives the amount new loans are entered into with financial assets abroad and/or are sold (at a deficit) or for any amount to be repaid debts abroad and/or financial assets are purchased (at a surplus). In theory net lending or borrowing equals the change in assets less liabilities. In practice a statistical difference between the two remains.