National Accounts (explanatory note)
The National Accounts are the official, globally-standardised statistical overviews of the national economy.
Gross added value plays an important role as an indicator of economic growth. To determine the added value at market rates for each economic activity, production is valued at market rates. These are the amounts the producer receives, exclusive of third-party trade and transport margins, but inclusive of taxes and subsidies (CBS, 2003a and 2003b).In 1999, the National Accounts system was adjusted in accordance with the guidelines laid down in the European System of National and Regional Accounts 1995 (Eurostat, 1995). They now give a better picture of a number of relatively recent developments, such as the rapid rise in the importance of services, IT, information and expertise.
Concepts
- Consumer spending
Expenditure on goods and services destined to meet individual or collective demands and wishes directly. Actual consumer spending includes the household activities of institutional households. - Added value (market rates)
The domestic product at market rates is equal to the total of the added value in basic prices constituted by the business categories, the balance of product-related taxes and subsidies, and the use of allocated banking services. Depending on how depreciation is dealt with, domestic product is gross (including depreciation) or net (excluding depreciation). - Economic growth
The change in volume of the gross domestic product at market rates, adjusted for increasing prices (inflation). - Change in volume
Each increase in value in the National Accounts system is broken down into a price and a volume component. This is done in order to show real growth, which does not include rising prices, in the economic indicators.
