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NEWS RELEASE
EMBARGOED UNTIL RELEASE AT 8:30 A.M. EDT, THURSDAY, MAY 31, 2007
Virginia H. Mannering:
Andrew Hodge:
Recorded message:

(202) 606-5304 (GDP)
(202) 606-5564 (Profits)
(202) 606-5306

BEA 07-21

GROSS DOMESTIC PRODUCT: FIRST QUARTER 2007 (PRELIMINARY)
CORPORATE PROFITS: FIRST QUARTER 2007 ( PRELIMINARY)
Real gross domestic product -- the output of goods and services produced by labor and property
located in the United States -- increased at an annual rate of 0.6 percent in the first quarter of 2007,
according to preliminary estimates released by the Bureau of Economic Analysis. In the fourth quarter,
real GDP increased 2.5 percent.
The GDP estimates released today are based on more complete source data than were available for
the advance estimates issued last month. In the advance estimates, the increase in real GDP was 1.3
percent (see "Revisions" on page 3).
The increase in real GDP in the first quarter primarily reflected positive contributions from
personal consumption expenditures (PCE) and state and local government spending that were partly
offset by negative contributions from private inventory investment, residential fixed investment, and
federal government spending. Imports, which are a subtraction in the calculation of GDP, increased.
The deceleration in real GDP growth in the first quarter primarily reflected an upturn in imports,
downturns in exports and in federal government spending, and a deceleration in PCE for nondurable
goods that were partly offset by an upturn in equipment and software, a smaller decrease in residential
fixed investment, accelerations in PCE for durable goods and in PCE for services, and a smaller
decrease in private inventory investment.
Final sales of computers subtracted 0.04 percentage point from the first-quarter growth in real
GDP after contributing 0.22 percentage point to the fourth-quarter growth. Motor vehicle output
contributed 0.10 percentage point to the first-quarter growth in real GDP after subtracting 1.18
percentage points from the fourth-quarter growth.

NOTE.--Quarterly estimates are expressed at seasonally adjusted annual rates, unless otherwise
specified. Quarter-to-quarter dollar changes are differences between these published estimates. Percent
changes are calculated from unrounded data and are annualized. “Real” estimates are in chained (2000)
dollars. Prices indexes are chain-type measures.
This news release is available on BEA’s Web site at www.bea.gov/newsreleases/rels.htm.

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-2-

.
The price index for gross domestic purchases, which measures prices paid by U.S. residents,
increased 3.6 percent in the first quarter, the same as in the advance estimate; this index increased 0.2
percent in the fourth quarter. Excluding food and energy prices, the price index for gross domestic
purchases increased 2.8 percent in the first quarter, compared with an increase of 2.4 percent in the
fourth. About 0.2 percentage point of the first-quarter increase in the index was accounted for by the
pay raise for federal civilian and military personnel, which is treated as an increase in the price index of
employee services purchased by the federal government.
Real personal consumption expenditures increased 4.4 percent in the first quarter, compared with
an increase of 4.2 percent in the fourth. Real nonresidential fixed investment increased 2.9 percent, in
contrast to a decrease of 3.1 percent. Nonresidential structures increased 5.1 percent, compared with an
increase of 0.8 percent. Equipment and software increased 2.0 percent, in contrast to a decrease of 4.8
percent. Real residential fixed investment decreased 15.4 percent, compared with a decrease of 19.8
percent.
Real exports of goods and services decreased 0.6 percent in the first quarter, in contrast to an
increase of 10.6 percent in the fourth. Real imports of goods and services increased 5.7 percent, in
contrast to a decrease of 2.6 percent.
Real federal government consumption expenditures and gross investment decreased 3.9 percent in
the first quarter, in contrast to an increase of 4.6 percent in the fourth. National defense decreased 7.3
percent, in contrast to an increase of 12.3 percent. Nondefense increased 3.6 percent, in contrast to a
decrease of 9.6 percent. Real state and local government consumption expenditures and gross
investment increased 3.9 percent, compared with an increase of 2.7 percent.
The real change in private inventories subtracted 0.98 percentage point from the first-quarter
change in real GDP, after subtracting 1.16 percentage points from the fourth-quarter change. Private
businesses decreased inventories $4.5 billion in the first quarter, following increases of $22.4 billion in
the fourth quarter and $55.4 billion in the third.
Real final sales of domestic product -- GDP less change in private inventories -- increased 1.6
percent in the first quarter, compared with an increase of 3.7 percent in the fourth.

Gross domestic purchases
Real gross domestic purchases -- purchases by U.S. residents of goods and services wherever
produced -- increased 1.6 percent in the first quarter, compared with an increase of 0.8 percent in the
fourth.

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Gross national product
Real gross national product -- the goods and services produced by the labor and property supplied
by U.S. residents -- increased 0.4 percent in the first quarter, compared with an increase of 3.5 percent in
the fourth. GNP includes, and GDP excludes, net receipts of income from the rest of the world, which
decreased $7.0 billion in the first quarter after increasing $29.4 billion in the fourth; in the first quarter,
receipts increased $11.0 billion, and payments increased $18.0 billion.

Current-dollar GDP
Current-dollar GDP -- the market value of the nation's output of goods and services -- increased
4.7 percent, or $154.8 billion, in the first quarter to a level of $13,613.0 billion. In the fourth quarter,
current-dollar GDP increased 4.1 percent, or $135.6 billion.

Revisions
The preliminary estimate of the first-quarter increase in real GDP is 0.7 percentage point, or $17.4
billion, lower than the advance estimate issued last month. The downward revision to the percent
change in real GDP primarily reflected a downward revision to private inventory investment and an
upward revision to imports that were partly offset by an upward revision to personal consumption
expenditures.

Advance
Preliminary
(Percent change from preceding quarter)
Real GDP...............................................
Current-dollar GDP...............................
Gross domestic purchases price index...

1.3
5.3
3.6

0.6
4.7
3.6

Corporate Profits
Profits from current production (corporate profits with inventory valuation and capital
consumption adjustments) increased $20.3 billion in the first quarter, in contrast to a decrease of $4.9
billion in the fourth quarter. Current-production cash flow (net cash flow with inventory valuation and
capital consumption adjustments) -- the internal funds available to corporations for investment -decreased $4.6 billion in the first quarter, compared with a decrease of $1.1 billion in the fourth.

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Taxes on corporate income increased $8.8 billion in the first quarter, in contrast to a decrease of
$14.4 billion in the fourth. Profits after tax with inventory valuation and capital consumption
adjustments increased $11.4 billion in the first quarter, compared with an increase of $9.6 billion in the
fourth. Dividends increased $20.6 billion, compared with an increase of $21.0 billion; currentproduction undistributed profits decreased $9.2 billion, compared with a decrease of $11.5 billion.
Domestic profits of financial corporations increased $4.8 billion in the first quarter, compared
with an increase of $20.5 billion in the fourth. Domestic profits of nonfinancial corporations increased
$16.2 billion, in contrast to a decrease of $62.6 billion. In the first quarter, both real gross corporate
value added of nonfinancial corporations and profits per unit of real value added increased. The
increase in unit profits reflected an increase in unit prices that was partly offset increases in both the unit
labor and nonlabor costs that corporations incurred.
The rest-of-the-world component of profits decreased $0.8 billion in the first quarter, in contrast to
an increase of $37.3 billion in the fourth. This measure is calculated as (1) receipts by U.S. residents of
earnings from their foreign affiliates plus dividends received by U.S. residents from unaffiliated foreign
corporations minus (2) payments by U.S. affiliates of earnings to their foreign parents plus dividends
paid by U.S. corporations to unaffiliated foreign residents. The first-quarter decrease was accounted for
by a smaller increase in receipts than in payments.
Profits before tax increased $20.9 billion in the first quarter, in contrast to a decrease of $16.4
billion in the fourth. The before-tax measure of profits does not reflect, as does profits from current
production, the capital consumption and inventory valuation adjustments. These adjustments convert
depreciation of fixed assets and inventory withdrawals reported on a tax-return, historical-cost basis to
the current-cost measures used in the national income and product accounts. The capital consumption
adjustment increased $14.4 billion in the first quarter (from -$171.7 billion to -$157.3 billion), in
contrast to a decrease of $9.3 billion in the fourth. The inventory valuation adjustment decreased $15.0
billion (from -$17.5 billion to -$32.5 billion), in contrast to an increase of $20.7 billion.

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-5-

BEA's national, international, regional, and industry estimates; 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.

Annual Revision of the National Income and Product Accounts
The annual revision of the national income and product accounts, covering the first quarter of
2004 through the first quarter of 2007, will be released along with the “advance” estimates of GDP for
the second quarter of 2007 on July 27. An article describing the revision will appear in the August
2007 issue of the Survey of Current Business.

*

*

*

Next release – June 28, 2007, at 8:30 A.M. EDT for:
Gross Domestic Product: First Quarter 2007 (Final)
Corporate Profits: First Quarter 2007 (Final)

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Table 1.—Real Gross Domestic Product and Related Measures: Percent Change From Preceding Period
Seasonally adjusted at annual rates
2004

2005

2006 r

2003
II

III

2004
IV

I

II

2005
III

IV

I

II

2006
III

IV

I

II

2007
III

IV r

Ir

Gross domestic product (GDP) .................
3.9
3.2
3.3
3.5
7.5
2.7
3.9
4.0
3.1
2.6
3.4
3.3
4.2
1.8
5.6
2.6
2.0
2.5
0.6
Personal consumption expenditures ..........................
3.9
3.5
3.2
3.6
5.8
2.3
4.7
2.9
3.9
4.3
2.7
4.2
3.9
.8
4.8
2.6
2.8
4.2
4.4
Durable goods .............................................................
6.4
5.5
5.0 16.8 16.7
.7
6.1
1.7
8.7
6.1
2.4 12.8
9.0 –12.3 19.8
–.1
6.4
4.4
8.8
Nondurable goods .......................................................
3.6
4.5
3.7
2.3
7.7
1.8
4.3
1.7
3.7
5.4
5.2
4.9
3.4
3.9
5.9
1.4
1.5
5.9
3.5
Services .......................................................................
3.5
2.6
2.6
1.8
2.9
2.8
4.6
3.8
3.1
3.4
1.6
2.3
3.2
2.0
1.6
3.7
2.8
3.4
4.0
Gross private domestic investment ............................
9.8
5.4
4.3
3.3 17.7
9.3
4.8 21.7
2.0
5.1
8.2 –3.6
5.2 16.2
7.8
1.0
–.8 –15.2 –9.3
Fixed investment .........................................................
7.3
7.5
2.9 10.6 13.6
5.5
2.2 11.7
7.6
4.9
7.8 10.5
6.3
2.8
8.2 –1.6 –1.2 –9.1 –3.5
Nonresidential .........................................................
5.9
6.8
7.2 10.7
9.4
2.8
1.7
7.2 10.3
8.3
6.0
5.2
5.9
5.2 13.7
4.4 10.0 –3.1
2.9
Structures ............................................................
2.2
1.1
9.0 14.7
–.8 –4.7
3.3
6.9
3.1 –2.0
5.3 –2.0 –7.0 12.0
8.7 20.3 15.7
.8
5.1
Equipment and software ....................................
7.3
8.9
6.5
9.3 13.2
5.6
1.2
7.3 13.0 12.3
6.3
7.9 11.0
2.8 15.6 –1.4
7.7 –4.8
2.0
Residential ...............................................................
9.9
8.6
–4.2 10.5 22.2 10.6
3.1 19.8
3.2
–.6 11.1 20.0
7.1
–.9
–.3 –11.1 –18.7 –19.8 –15.4
Change in private inventories ..................................... .......... .......... ........... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ..........
Net exports of goods and services ............................ .......... .......... ........... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ..........
Exports .........................................................................
9.2
6.8
8.9 –1.7 11.4 20.8
7.2
6.2
4.8
9.9
4.7
9.4
3.2
9.6 14.0
6.2
6.8 10.6
–.6
Goods ......................................................................
9.0
7.5
10.5 –1.2
8.8 19.8
7.1
6.4
8.3
6.1
5.5 12.8
3.7 11.5 17.3
6.0
9.4
8.4
–.6
Services ...................................................................
9.7
5.1
5.4 –2.8 17.5 23.1
7.5
5.6 –2.8 19.2
2.9
2.0
2.1
5.5
6.7
6.7
.8 16.3
–.6
Imports .........................................................................
10.8
6.1
5.8
4.1
3.7 17.6 10.2 16.0
4.4 12.0
4.1
1.4
2.5 13.2
9.1
1.4
5.6 –2.6
5.7
Goods ......................................................................
10.9
6.7
5.9
8.6
.6 17.2 10.1 17.7
4.7 12.6
4.9
2.0
2.7 14.1
9.4
–.1
7.1 –4.1
6.2
Services ...................................................................
10.0
2.8
5.3 –15.7 21.2 19.6 10.9
7.6
3.1
9.0
–.2 –1.5
1.2
8.3
7.4
9.9 –2.6
6.2
3.3
Government consumption expenditures and gross
investment ..................................................................
1.9
.9
2.1
6.1
1.5
.7
2.9
2.2
1.3 –1.9
1.6
1.1
3.4 –1.1
4.9
.8
1.7
3.4
1.0
Federal .........................................................................
4.3
1.5
2.0 19.7
.4
3.1
7.2
2.5
5.0 –5.2
3.4
.4
9.6 –4.6
8.8 –4.5
1.3
4.6 –3.9
National defense .....................................................
5.9
1.7
1.9 36.3 –5.3
8.1
9.1
2.0
9.1 –9.1
4.5
2.9 11.2 –9.9
8.9 –2.0 –1.2 12.3 –7.3
Nondefense .............................................................
1.2
1.1
2.1 –6.4 12.4 –6.0
3.6
3.5 –2.9
3.4
1.2 –4.4
6.2
7.1
8.5 –9.3
6.5 –9.6
3.6
State and local ............................................................
.5
.5
2.1
–.8
2.1
–.6
.5
2.1
–.9
.1
.6
1.5
–.1
1.0
2.7
4.0
1.9
2.7
3.9
Addenda:
Final sales of domestic product .................................
3.5
3.5
3.1
4.5
6.9
2.1
3.4
2.6
4.0
2.6
3.3
5.6
4.4
–.3
5.6
2.1
1.9
3.7
1.6
Gross domestic purchases .........................................
4.4
3.3
3.2
4.0
6.6
3.0
4.4
5.5
3.1
3.3
3.4
2.4
4.0
2.7
5.3
2.0
2.0
.8
1.6
Final sales to domestic purchasers ............................
4.0
3.6
2.9
5.1
6.1
2.5
4.0
4.1
4.0
3.2
3.3
4.6
4.2
.7
5.4
1.6
2.0
1.9
2.5
Gross national product (GNP) ....................................
3.8
3.1
3.3
4.1
7.3
3.5
3.5
2.9
3.3
2.0
3.6
3.0
4.9
.5
6.1
2.3
1.8
3.5
.4
Disposable personal income .......................................
3.6
1.2
2.6
5.0
6.3
1.7
3.9
2.4
2.8
7.5 –4.0
.5
–.6
5.5
4.6 –1.5
3.2
6.4
4.7
Current-dollar measures:
GDP .........................................................................
6.9
6.3
6.3
4.8
9.7
4.9
7.8
7.9
5.3
5.9
7.0
5.8
7.6
5.1
9.0
5.9
3.8
4.1
4.7
Final sales of domestic product .............................
6.5
6.7
6.1
5.8
9.1
4.4
7.3
6.4
6.2
5.9
6.9
8.2
7.8
3.0
9.1
5.5
3.8
5.4
5.7
Gross domestic purchases .....................................
7.6
6.9
6.4
4.7
9.1
4.9
8.9
9.7
5.8
7.0
6.7
5.8
8.5
6.3
8.2
6.1
4.2
1.0
5.2
Final sales to domestic purchasers .......................
7.2
7.2
6.1
5.7
8.5
4.4
8.5
8.3
6.7
7.0
6.7
8.1
8.8
4.3
8.2
5.7
4.2
2.1
6.2
GNP .........................................................................
6.7
6.2
6.3
5.4
9.6
5.8
7.4
6.7
5.4
5.3
7.2
5.6
8.4
3.8
9.6
5.7
3.7
5.2
4.4
Disposable personal income ..................................
6.4
4.1
5.5
5.7
8.9
3.2
7.7
6.0
4.7 10.7 –1.8
3.6
3.5
8.6
6.8
2.5
5.7
5.4
8.2
r Revised. Revisions include changes to series affected by the introduction of revised wage and salary estimates
for the fourth quarter of 2006.
See ‘‘Explanatory Note’’ at the end of the tables.

Table 2.—Contributions to Percent Change in Real Gross Domestic Product
Seasonally adjusted at annual rates
2004

2005

2006

2003
II

Percent change at annual rate:
Gross domestic product .......................................
Percentage points at annual rates:
Personal consumption expenditures .......................
Durable goods ........................................................
Motor vehicles and parts .....................................
Furniture and household equipment ...................
Other ....................................................................
Nondurable goods .................................................
Food .....................................................................
Clothing and shoes .............................................
Gasoline, fuel oil, and other energy goods ........
Other ....................................................................
Services ...................................................................
Housing ................................................................
Household operation ............................................
Electricity and gas ...........................................
Other household operation .............................
Transportation ......................................................
Medical care ........................................................
Recreation ............................................................
Other ....................................................................
Gross private domestic investment .........................
Fixed investment ....................................................
Nonresidential ......................................................
Structures ........................................................
Equipment and software .................................
Information processing equipment and
software ..................................................
Computers and peripheral equipment ...
Software ..................................................
Other .......................................................
Industrial equipment ....................................
Transportation equipment ...........................
Other equipment .........................................
Residential ...........................................................
Change in private inventories ..............................
Farm .....................................................................
Nonfarm ...............................................................
Net exports of goods and services .........................
Exports ....................................................................
Goods ...................................................................
Services ...............................................................
Imports ....................................................................
Goods ...................................................................
Services ...............................................................
Government consumption expenditures and
gross investment ...................................................
Federal .....................................................................
National defense ..................................................
Consumption expenditures ..............................
Gross investment ............................................
Nondefense ..........................................................
Consumption expenditures ..............................
Gross investment ............................................
State and local .......................................................
Consumption expenditures ..............................
Gross investment ............................................
Addenda:
Goods .......................................................................
Services ....................................................................
Structures .................................................................
Motor vehicle output ................................................
Final sales of computers .........................................
r Revised
See ‘‘Explanatory Note’’ at the end of the tables.

III

2004
IV

I

II

2005
III

IV

I

II

3.9

3.2

3.3

3.5

7.5

2.7

3.9

4.0

3.1

2.6

3.4

3.3

2.71
.54
.07
.35
.11
.73
.33
.14
.02
.24
1.45
.40
.10
.02
.08
.03
.37
.14
.41
1.49
1.11
.58
.06
.52

2.44
.45
.02
.29
.14
.90
.51
.17
–.01
.23
1.09
.30
.08
.04
.04
0
.43
.08
.20
.87
1.17
.67
.03
.64

2.24
.41
–.04
.36
.09
.76
.41
.14
–.02
.23
1.07
.24
–.02
–.05
.03
.04
.42
.06
.33
.70
.47
.73
.26
.47

2.53
1.35
.65
.49
.21
.45
.04
.29
–.02
.14
.73
.18
0
–.08
.08
–.03
.28
.15
.16
.51
1.52
1.01
.35
.66

4.13
1.39
.46
.67
.26
1.53
.61
.31
.10
.52
1.21
.35
.02
–.03
.05
.03
.28
.13
.40
2.56
2.00
.92
–.02
.95

1.59
.06
–.29
.27
.08
.36
.02
–.02
.06
.30
1.18
.40
.17
.12
.05
.02
.28
.16
.15
1.39
.83
.29
–.12
.41

3.30
.51
.09
.33
.10
.86
.54
.32
0
0
1.92
.49
.11
.06
.05
.05
.33
.18
.76
.74
.34
.18
.08
.10

2.07
.14
–.14
.28
.01
.34
.16
–.14
0
.32
1.59
.42
.10
–.06
.16
.06
.47
.13
.42
3.17
1.72
.69
.17
.52

2.74
.71
.22
.36
.13
.74
.28
.18
–.04
.32
1.30
.37
.06
–.07
.13
0
.53
.09
.24
.32
1.16
.97
.08
.90

2.97
.50
.17
.21
.12
1.07
.70
.19
.01
.16
1.39
.32
.25
.25
0
.04
.43
.05
.30
.82
.77
.81
–.05
.86

1.94
.20
–.29
.27
.21
1.04
.53
.17
.12
.21
.70
.29
.01
0
.01
.02
.32
.13
–.07
1.32
1.22
.59
.14
.45

2.94
1.02
.50
.28
.24
.98
.55
.25
–.10
.28
.94
.28
.04
0
.04
–.03
.40
.05
.20
–.61
1.62
.51
–.06
.56

.36
.10
.15
.11
–.05
.14
.07
.53
.38
.07
.31
–.65
.88
.60
.28
–1.53
–1.29
–.24

.30
.12
.09
.10
.10
.15
.09
.50
–.30
–.06
–.24
–.26
.68
.52
.16
–.94
–.87
–.07

.31
.13
.10 0
.10
.05
.11
.08
.07
.14
0
.31
.08
.08
–.27
.51
.23 –1.01
.03 –.16
.21 –.85
–.02 –.73
.93 –.16
.76 –.08
.17 –.08
–.95 –.57
–.82 –.97
–.14
.40

.36
.30
.27
.22
.05
.03
.03
0
.06
.10
–.04

.17
.11
.08
.05
.03
.03
0
.02
.06
.08
–.02

.40
.14
.09
.05
.04
.05
.04
.01
.26
.18
.08

1.56
1.84
.51
.12
.06

1.43
1.31
.49
.20
.16

1.90
1.37
.05
–.06
.11

2006
III

I

II

1.8

5.6

2.6

2.76
.53
.74 –1.08
.38 –1.51
.40
.33
–.03
.10
.70
.79
.61
.39
.08
.27
–.15 –.06
.16
.19
1.32
.83
.24
.18
.09
.01
.03
.03
.06 –.02
–.04 0
.53
.44
.05
.04
.44
.16
.84 2.51
1.02
.46
.59
.52
–.20
.31
.78
.21

3.38
1.50
.60
.65
.26
1.20
.64
.23
–.03
.36
.67
.24
–.58
–.58
0
.10
.52
.09
.31
1.31
1.34
1.36
.25
1.11

1.81
–.01
–.04
.10
–.06
.30
.19
–.10
.02
.19
1.52
.25
.31
.23
.08
.04
.31
.02
.58
.17
–.27
.45
.56
–.10

4.2

IV

2007
III

2.0

IV

2.5

Ir

0.6

1.96 2.93 3.01
.50
.35
.68
.28 –.15
.37
.20
.38
.28
.03
.12
.03
.32 1.18
.71
–.07
.62
.14
.15
.18
.22
.14
.03
.16
.11
.35
.18
1.14 1.41 1.63
.27
.33
.24
.35
.13
.32
.32
.08
.28
.04
.05
.04
.03
.10
.07
.25
.42
.56
.08
.09 –.01
.15
.33
.44
–.13 –2.71 –1.55
–.19 –1.54 –.57
1.01 –.34
.31
.46
.03
.16
.55 –.36
.14

.82
.70
.30
.05
.26
.21 –.03 –.03
.32
.20
.17
.03
.23
.29
.16
.05
–.14 –.22 –.09 –.05
.01 –.13 –.08
.46
.26
.07 –.04
.06
1.08
.55
.16 1.03
.56
.56
.40 1.44
–.06 –.05
.27
.61
.62
.60
.13
.84
.51 –.47 –.73 –1.62
1.02 1.81
.69
.60
.55 1.20
.47
.43
.47
.61
.22
.17
–.51 –2.29 –1.42 –2.22
–.07 –1.86 –1.17 –2.03
–.44 –.43 –.25 –.18

.21
.33
.21
.17
.12
.16
–.12 0
.19
.05
.39
.40
.10
.08
.18 –.04
–.84
.05
–.48 –.38
–.35
.43
–.20 –.81
.46
.96
.55
.42
–.09
.54
–.66 –1.77
–.59 –1.55
–.08 –.22

.43
.29
.10
.10
.03
.12
.30
.06
.16 –.07
–.14
.11
.01
.24
.63 1.11
.09 –2.23
.16 –.26
–.06 –1.97
–.16
.72
.47
.94
.38
.88
.09
.06
–.63 –.22
–.64 –.26
.01
.04

.26
.25
.74
.06
.16
.15
.07
.04
.18
.13
.04
.40
.23
.19 –.05
.27 –.31
.31
.03
.08
.11
.43 –.06 –.02
–.18 2.05 –.03
.28
.14 –.01
–.46 1.90 –.02
–.06 –1.07 –.04
.33
.97 1.41
.27
.80 1.20
.06
.17
.21
–.39 –2.04 –1.46
–.36 –1.84 –1.27
–.03 –.20 –.19

–.04
.35 –.07
.63
.03
.13 0
.26
.07
.09
.05
.16
–.14
.13 –.11
.20
.16 0
–.07 –.04
–.32
.15 –.22 –.13
.09
.05 –.01 –.31
–.72 –1.20 –1.21 –.87
.44
.06 –1.16 –.98
–.09
.02 –.01
.01
.54
.05 –1.15 –.99
.42 –.19 1.59 –1.00
.66
.73 1.14 –.07
.45
.71
.65 –.05
.21
.03
.50 –.02
–.24 –.93
.45 –.93
.01 –1.00
.61 –.84
–.25
.07 –.16 –.09

1.16
1.26
1.41
1.30
.12
–.16
–.21
.06
–.10
–.07
–.02

.29
.03
–.25
–.32
.07
.28
.27
.01
.26
–.04
.30

.14
.21
.35
.31
.05
–.14
–.12
–.03
–.07
.07
–.15

.55
.49
.41
.40
0
.09
.11
–.03
.06
.19
–.13

.43
.18
.09
0
.10
.08
.03
.05
.25
.15
.11

.24
.34
.41
.34
.08
–.07
–.06
–.01
–.10
.08
–.18

–.37
–.38
–.45
–.44
–.01
.08
.05
.03
.01
.15
–.14

.31
.23
.21
.25
–.04
.03
.01
.01
.08
.02
.06

.21
.03
.13
.03
.10
–.11
–.09
–.02
.18
.05
.13

.64
.66
.52
.45
.07
.14
.08
.06
–.01
.14
–.15

–.21
–.33
–.49
–.47
–.02
.16
.05
.11
.13
.09
.03

.94
.61
.41
.37
.05
.20
.16
.03
.33
.17
.16

.16
–.32
–.09
–.17
.08
–.23
–.10
–.12
.48
.20
.28

.32
.09
–.06
–.04
–.02
.15
.13
.02
.23
.30
–.08

.64
.31
.55
.43
.11
–.23
–.19
–.04
.33
.33
0

.19
–.28
–.36
–.29
–.06
.08
.11
–.03
.47
.25
.21

.56
2.06
.85
.36
–.02

5.00
1.15
1.33
.30
.50

.81
1.63
.22
–.23
.15

1.20
2.59
.05
.33
–.13

.99
1.74
1.31
–.24
–.14

1.56
1.48
.06
.52
.15

1.43
1.47
–.29
.06
.26

1.51
1.07
.82
.38
.16

1.09
1.04
1.13
–.03
.20

2.07
2.02
.09
.70
.08

.97
.46
.33
–.71
.20

3.86
1.39
.33
.12
.07

1.12
1.40
.04
–.31
.04

1.17 1.25
1.63 2.32
–.84 –1.11
.76 –1.18
.07
.22

–.36
1.59
–.58
.10
–.04

Table 3.—Gross Domestic Product and Related Measures: Level and Change From Preceding Period
Billions of current dollars

Billions of chained (2000) dollars

Seasonally adjusted
at annual rates
2006

Seasonally adjusted
at annual rates

2006

2007

2006

Change from preceding
period

2006

2007

2006

2007

IV

Ir

2006
I

II

III

IV

I

Ir

II

III

IV

Ir
366.7

69.5

Personal consumption expenditures ...................

Gross domestic product .......................... 13,246.6 13,008.4 13,197.3 13,322.6 13,458.2 13,613.0 11,415.3 11,316.4 11,388.1 11,443.5 11,513.0 11,531.7
9,268.9

9,079.2

9,228.1

9,346.7

9,421.8

9,601.3

8,091.4

8,003.8

8,055.0

8,111.2

8,195.9

8,284.0

250.2

84.7

18.7
88.1

Durable goods ....................................................
Motor vehicles and parts .................................
Furniture and household equipment ...............
Other ................................................................

1,070.3
444.7
404.6
221.0

1,064.1
442.7
402.3
219.1

1,061.8
441.7
401.3
218.8

1,075.5
451.3
403.2
221.0

1,079.8
443.3
411.4
225.2

1,097.5
453.9
416.6
227.1

1,202.9
447.4
550.5
224.5

1,190.5
445.1
538.5
224.6

1,190.3
443.7
542.9
222.5

1,208.8
452.9
551.7
223.4

1,221.9
447.8
569.1
227.5

1,247.8
460.5
582.1
228.4

57.6
–5.5
59.9
11.9

13.1
–5.1
17.4
4.1

25.9
12.7
13.0
.9

Nondurable goods .............................................
Food .................................................................
Clothing and shoes .........................................
Gasoline, fuel oil, and other energy goods ....
Other ................................................................

2,714.9
1,281.1
358.6
338.3
736.8

2,658.2
1,262.3
355.4
316.2
724.2

2,721.4
1,274.0
355.1
359.1
733.3

2,747.7
1,280.7
358.7
369.4
738.9

2,732.1
1,307.5
365.3
308.5
750.8

2,790.0
1,327.9
373.2
327.0
761.9

2,362.0
1,110.9
392.5
197.6
671.1

2,342.8
1,103.4
391.1
196.0
662.6

2,351.1
1,108.8
387.4
196.3
668.3

2,360.1
1,106.8
392.6
198.7
671.5

2,394.0
1,124.5
399.1
199.3
682.2

2,414.8
1,128.7
407.0
202.8
687.7

85.2
45.2
19.8
–1.9
27.2

33.9
17.7
6.5
.6
10.7

20.8
4.2
7.9
3.5
5.5

Services ...............................................................
Housing ............................................................
Household operation ........................................
Electricity and gas .......................................
Other household operation .........................
Transportation ..................................................
Medical care ....................................................
Recreation ........................................................
Other ................................................................

5,483.7
1,382.2
506.4
212.2
294.1
337.1
1,588.5
379.4
1,290.2

5,356.8
1,345.4
494.8
206.2
288.6
330.4
1,557.2
372.4
1,256.5

5,444.9
1,370.1
499.1
206.9
292.2
335.9
1,578.2
377.2
1,284.3

5,523.5
1,394.2
512.3
216.6
295.7
339.5
1,597.5
382.7
1,297.3

5,609.8
1,419.2
519.2
219.2
300.0
342.7
1,621.0
385.1
1,322.6

5,713.7
1,439.9
539.5
236.0
303.6
346.5
1,658.3
386.1
1,343.4

4,550.4
1,148.7
416.2
149.9
267.4
288.4
1,305.0
319.7
1,071.1

4,494.5
1,137.6
404.3
141.7
264.8
286.3
1,292.6
317.5
1,054.9

4,535.4
1,144.5
412.5
147.0
267.0
287.5
1,300.9
318.1
1,070.6

4,566.6
1,151.7
422.1
154.4
268.1
288.5
1,307.6
320.4
1,074.8

4,605.2
1,160.8
425.8
156.4
269.6
291.2
1,319.0
323.0
1,083.9

4,650.1
1,167.5
434.6
163.0
270.9
293.3
1,334.4
322.6
1,096.1

113.8
26.1
–1.8
–3.9
3.3
4.0
44.1
6.6
34.9

38.6
9.1
3.7
2.0
1.5
2.7
11.4
2.6
9.1

44.9
6.7
8.8
6.6
1.3
2.1
15.4
–.4
12.2

Gross private domestic investment .....................

2,212.5

2,214.8

2,237.1

2,235.5

2,162.6

2,120.2

1,945.6

1,963.6

1,968.5

1,964.8

1,885.6

1,840.0

79.3

–79.2

–45.6

Fixed investment ................................................
Nonresidential ..................................................
Structures ....................................................
Equipment and software .............................
Information processing equipment and
software ..............................................
Computers and peripheral equipment
Software ..............................................
Other ...................................................
Industrial equipment ................................
Transportation equipment .......................
Other equipment .....................................
Residential .......................................................

2,162.9
1,396.2
411.2
985.0

2,167.7
1,359.2
378.2
981.0

2,174.8
1,384.3
406.3
977.9

2,171.4
1,420.8
426.9
994.0

2,137.6
1,420.5
433.5
987.0

2,127.7
1,437.2
438.9
998.2

1,894.7
1,312.4
274.0
1,048.6

1,914.6
1,288.8
259.6
1,044.8

1,906.8
1,302.8
271.9
1,041.2

1,901.3
1,334.2
282.0
1,060.7

1,856.3
1,323.7
282.6
1,047.8

1,839.7
1,333.3
286.1
1,053.0

52.7
88.6
22.5
63.7

–45.0
–10.5
.6
–12.9

–16.6
9.6
3.5
5.2

484.3
86.5
208.3
189.4
169.0
158.5
173.2
766.7

482.4
88.0
203.6
190.8
163.4
165.7
169.4
808.5

479.9
85.9
207.0
187.1
170.1
155.9
172.1
790.6

489.6
87.2
210.8
191.7
172.0
157.5
174.9
750.5

485.2
85.1
212.0
188.1
170.6
154.8
176.5
717.1

Change in private inventories ..........................
Farm .................................................................
Nonfarm ...........................................................

49.6
3.1
46.5

47.2
5.4
41.8

62.3
2.3
59.9

64.2
2.5
61.6

24.9
2.2
22.7

505.3
601.2
595.9
594.3
608.6
605.9
632.4
48.6
–2.7
26.5
91.7 .............. .............. .............. .............. .............. .............. .............. .............. ..............
218.4
219.3
215.6
217.8
221.0
222.6
228.4
13.1
1.6
5.8
195.1
209.2
211.6
206.7
211.3
207.1
214.6
15.6
–4.2
7.5
170.8
152.2
149.0
153.9
153.9
151.9
150.7
8.7
–2.0
–1.2
155.5
145.7
152.2
142.7
147.3
140.5
136.5
.3
–6.8
–4.0
166.7
157.1
154.3
157.1
158.6
158.3
149.0
9.8
–.3
–9.3
690.5
582.2
618.5
600.5
570.3
539.7
517.6
–25.8
–30.6
–22.1
–7.5
2.1
–9.6

43.2
2.8
40.6

41.2
4.3
36.8

53.7
1.9
52.2

55.4
2.5
53.3

22.4
2.4
20.0

–4.5
2.6
–7.8

23.6
2.6
21.0

–33.0
–.1
–33.3

–26.9
.2
–27.8

Net exports of goods and services .....................

–762.5

–765.2

–781.8

–801.7

–701.2

–726.9

–618.0

–636.6

–624.2

–628.8

–582.6

–611.8

1.2

46.2

–29.2

Exports ................................................................
Goods ...............................................................
Services ...........................................................

1,466.2
1,035.4
430.8

1,405.4
989.3
416.0

1,448.1
1,019.1
429.0

1,488.3
1,055.8
432.5

1,523.0
1,077.4
445.6

1,533.9
1,086.0
447.9

1,302.8
931.4
372.0

1,269.3
906.2
363.6

1,288.5
919.5
369.5

1,310.0
940.4
370.3

1,343.5
959.5
384.5

1,341.4
958.0
383.9

106.7
88.2
19.1

33.5
19.1
14.2

–2.1
–1.5
–.6

Imports ................................................................
Goods ...............................................................
Services ...........................................................

2,228.7
1,879.5
349.2

2,170.6
1,832.6
338.1

2,229.8
1,879.0
350.8

2,290.1
1,938.8
351.3

2,224.2
1,867.5
356.6

2,260.8
1,899.7
361.1

1,920.9
1,641.5
281.6

1,905.9
1,631.9
276.6

1,912.7
1,631.7
283.2

1,938.8
1,660.1
281.3

1,926.1
1,642.6
285.5

1,953.2
1,667.6
287.9

105.6
91.6
14.1

–12.7
–17.5
4.2

27.1
25.0
2.4

Government consumption expenditures and
gross investment ...............................................

2,527.7

2,479.6

2,513.9

2,542.1

2,575.1

2,618.5

1,998.4

1,987.1

1,991.2

1,999.4

2,016.1

2,021.1

40.4

16.7

5.0

Federal .................................................................
National defense ..............................................
Consumption expenditures ..........................
Gross investment ........................................
Nondefense ......................................................
Consumption expenditures ..........................
Gross investment ........................................

926.6
621.0
542.0
79.0
305.6
266.1
39.5

921.7
613.5
537.7
75.8
308.2
265.9
42.4

919.7
616.5
537.7
78.8
303.2
264.6
38.6

927.2
618.1
539.3
78.8
309.0
269.8
39.3

937.7
635.8
553.0
82.7
301.9
264.0
37.9

943.1
633.5
552.7
80.8
309.6
272.6
36.9

741.9
492.8
418.1
76.4
248.9
211.2
38.2

745.1
491.8
419.0
74.0
253.1
212.8
41.1

736.6
489.3
414.7
76.5
247.0
210.1
37.2

738.9
487.8
413.7
75.9
250.9
213.4
37.8

747.2
502.2
424.8
79.4
244.7
208.5
36.4

739.8
492.7
417.2
77.4
246.8
211.4
35.4

14.4
9.2
4.8
5.2
5.2
3.9
1.5

8.3
14.4
11.1
3.5
–6.2
–4.9
–1.4

–7.4
–9.5
–7.6
–2.0
2.1
2.9
–1.0

State and local ...................................................
Consumption expenditures ..........................
Gross investment ........................................

1,601.1
1,288.3
312.8

1,557.9
1,256.2
301.7

1,594.2
1,280.7
313.5

1,614.9
1,300.0
315.0

1,637.4
1,316.5
320.9

1,675.4
1,342.0
333.5

1,256.4
1,006.0
250.2

1,242.0
996.1
245.7

1,254.4
1,001.2
253.1

1,260.3
1,009.0
251.1

1,268.7
1,017.5
251.0

1,280.9
1,024.1
256.5

26.0
18.0
8.1

8.4
8.5
–.1

12.2
6.6
5.5

Residual .................................................................... .............. .............. .............. .............. .............. ..............

–85.8

–78.7

–77.6

–88.3

–97.4

–118.8 .............. .............. ..............

Addenda:
Final sales of domestic product .......................... 13,197.0 12,961.2 13,135.1 13,258.4 13,433.3 13,620.6 11,365.8 11,269.0 11,328.0 11,381.6 11,484.5 11,531.4
Gross domestic purchases .................................. 14,009.1 13,773.6 13,979.1 14,124.3 14,159.4 14,340.0 12,027.3 11,946.3 12,005.9 12,066.6 12,090.6 12,138.0
Final sales to domestic purchasers .................... 13,959.5 13,726.4 13,916.8 14,060.1 14,134.5 14,347.5 11,977.8 11,898.7 11,945.9 12,004.7 12,062.0 12,137.5

340.6
367.6
341.7

102.9
24.0
57.3

46.9
47.4
75.5

Gross domestic product ................................... 13,246.6 13,008.4 13,197.3 13,322.6 13,458.2 13,613.0 11,415.3 11,316.4 11,388.1 11,443.5 11,513.0 11,531.7
Plus: Income receipts from the rest of the world
665.6
603.3
661.4
682.3
715.5
734.7
574.8
526.4
571.4
586.5
614.7
625.7
Less: Income payments to the rest of the world
635.7
574.3
638.6
665.7
664.4
691.4
547.7
499.7
550.3
570.9
569.7
587.7
Equals: Gross national product ....................... 13,276.5 13,037.4 13,220.1 13,339.2 13,509.3 13,656.3 11,441.7 11,342.7 11,408.5 11,458.5 11,557.3 11,568.9

366.7
117.9
120.5
363.8

69.5
28.2
–1.2
98.8

18.7
11.0
18.0
11.6

Net domestic product ........................................... 11,669.8 11,460.3 11,624.6 11,740.6 11,853.6 11,994.8

425.9

61.6

11.7

r Revised
NOTE.—Users are cautioned that particularly for components that exhibit rapid change in prices relative to other
prices in the economy, the chained-dollar estimates should not be used to measure the component’s relative importance or its contribution to the growth rate of more aggregate series. For accurate estimates of the contributions
to percent changes in real gross domestic product, use table 2.
See ‘‘Explanatory Note’’ at the end of the tables.

9,983.1

9,896.5

9,959.8 10,007.3 10,068.9 10,080.6

Table 4.—Price Indexes for Gross Domestic Product and Related Measures: Percent Change From Preceding Period
Seasonally adjusted at annual rates
2004

2005

2006

2003
II

III

2004
IV

I

II

2005
III

IV

I

II

2006
III

IV

I

II

2007
III

IV

Ir

Gross domestic product (GDP) ...................

2.8

3.0

2.9

1.3

2.1

2.2

3.7

3.7

2.1

3.2

3.5

2.4

3.3

3.3

3.3

3.3

1.9

1.7

4.0

Personal consumption expenditures ...........................
Durable goods ..............................................................
Nondurable goods ........................................................
Services ........................................................................

2.6
–1.6
3.3
3.2

2.9
–.7
3.6
3.2

2.7
–1.3
3.1
3.4

.7
–4.2
–2.9
3.5

2.4
–4.0
3.9
3.0

1.5
–3.5
.5
3.0

3.7
0
5.7
3.5

3.6
.3
6.0
3.2

1.9
–2.3
1.1
3.1

3.0
.3
4.4
3.0

2.3
.3
1.1
3.2

3.1
–.6
4.8
3.1

4.1
–2.9
9.0
3.2

2.9
–1.3
.6
5.0

2.0
–1.0
1.1
3.1

4.0
–.8
8.3
2.9

2.4
–1.1
2.3
3.0

–1.0
–2.7
–7.7
2.9

3.3
–1.9
5.1
3.5

Gross private domestic investment .............................
3.3
3.4
3.2
–.7
1.3
3.5
4.2
4.5
3.6
3.7
3.0
2.7
3.7
4.3
3.7
3.1
.6
3.4
1.8
Fixed investment ..........................................................
3.4
3.5
3.3
–.8
1.3
3.5
4.3
4.6
3.6
3.7
3.1
2.7
4.0
4.6
3.8
3.0
.5
3.4
1.7
Nonresidential ...........................................................
1.2
2.6
2.9 –1.3
.7
1.4
1.0
2.1
1.4
2.6
3.6
2.0
2.2
3.5
3.7
3.0
.9
3.1
1.8
Structures .............................................................
6.2 11.3 11.4
–.2
2.3
4.2
6.7
7.8 10.2 12.0 11.6
9.2 13.2 16.8 12.4 10.7
5.3
5.5
0
Equipment and software .....................................
–.4
–.4
–.2 –1.7
.1
.4
–.9
.2 –1.5
–.5
.9
–.4 –1.5 –1.0
.6
.1
–.9
2.1
2.6
Residential ................................................................
7.3
5.1
4.0
.2
2.6
7.7 10.5
9.0
7.4
5.6
2.3
3.8
6.9
6.3
3.8
2.9
–.1
3.9
1.6
Change in private inventories ...................................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ..........
Net exports of goods and services ............................. .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ..........
Exports ..........................................................................
3.7
3.6
3.3
1.1
.9
3.0
6.1
5.0
1.8
4.0
4.6
3.6
2.6
2.8
2.3
6.1
4.5
–.9
3.5
Goods .......................................................................
3.7
3.1
3.3
1.6
–.7
4.1
6.5
5.2
1.1
3.6
4.4
3.0
1.3
2.3
2.8
6.2
5.3
0
3.9
Services ....................................................................
3.5
4.8
3.3
–.2
4.7
.7
5.0
4.5
3.5
5.0
5.1
4.9
5.6
4.2
1.2
6.0
2.5 –3.1
2.8
Imports ..........................................................................
5.0
6.3
4.3 –3.9
2.6
.4
9.7
7.3
5.5
6.7
2.6
9.2 10.2
4.3
–.7
9.8
5.4 –8.6
1.0
Goods .......................................................................
5.0
6.5
4.5 –6.7
2.5
.5 10.1
7.9
5.4
6.8
1.8 10.1 11.3
5.1 –1.6 10.6
5.8 –10.2
.8
Services ....................................................................
5.1
5.4
3.4 11.8
3.1
0
8.0
4.4
6.2
6.3
6.8
5.1
4.3
–.1
4.5
5.5
3.2
.1
1.8
Government consumption expenditures and gross
investment ...................................................................
Federal ..........................................................................
National defense ......................................................
Nondefense ..............................................................
State and local .............................................................

4.4
4.7
4.7
4.7
4.3

5.6
4.8
5.1
4.1
6.2

4.4
3.5
3.4
3.5
4.9

1.3
1.5
1.4
1.6
1.1

2.5
1.0
1.2
.6
3.3

2.2
1.1
1.3
.6
2.9

6.8
11.5
10.5
13.7
4.1

5.3
5.3
5.8
4.3
5.3

4.6
2.2
2.8
.9
6.1

5.7
2.9
3.2
2.3
7.4

7.0
11.3
11.6
10.6
4.6

4.6
2.2
2.4
1.8
6.1

5.9
3.3
3.4
3.2
7.4

4.7
.4
1.0
–.7
7.3

4.4
7.6
6.7
9.5
2.6

4.8
3.8
4.1
3.2
5.4

2.8
2.0
2.3
1.4
3.4

1.8
0
–.3
.8
2.9

5.9
6.5
6.4
6.7
5.5

Addenda:
Final sales of domestic product ...................................
Gross domestic purchases ..........................................
Final sales to domestic purchasers .............................
Gross national product (GNP) .....................................

2.8
3.1
3.1
2.8

3.0
3.5
3.5
3.0

3.0
3.1
3.1
2.9

1.3
.6
.6
1.3

2.1
2.2
2.2
2.1

2.2
1.9
1.9
2.2

3.7
4.3
4.3
3.7

3.7
4.1
4.1
3.7

2.1
2.6
2.6
2.1

3.2
3.6
3.6
3.2

3.5
3.2
3.2
3.5

2.4
3.3
3.3
2.4

3.3
4.4
4.4
3.3

3.3
3.5
3.5
3.2

3.3
2.7
2.7
3.3

3.3
4.0
4.0
3.3

1.9
2.2
2.2
1.9

1.7
.2
.2
1.7

4.0
3.6
3.5
4.0

Implicit price deflators:
GDP ..........................................................................
Gross domestic purchases ......................................
GNP ..........................................................................

2.8
3.1
2.8

3.0
3.5
3.0

2.9
3.1
2.9

1.3
.6
1.3

2.1
2.3
2.1

2.2
1.9
2.2

3.8
4.3
3.8

3.7
4.0
3.7

2.1
2.6
2.1

3.2
3.6
3.2

3.4
3.2
3.4

2.5
3.4
2.5

3.3
4.3
3.3

3.3
3.5
3.3

3.3
2.7
3.3

3.3
4.0
3.3

1.9
2.1
1.9

1.6
.2
1.6

4.0
3.6
4.0

r Revised
See ‘‘Explanatory Note’’ at the end of the tables.

Table 5.—Real Gross Domestic Product, Quantity Indexes
[Index numbers, 2000=100]
Seasonally adjusted
2004

2005

2006

2006
I

II

2007
III

IV

Ir

Gross domestic product ............................................................................................

109.031

112.546

116.281

115.274

116.004

116.569

117.277

117.467

Personal consumption expenditures .........................................................................................
Durable goods ............................................................................................................................
Nondurable goods ......................................................................................................................
Services ......................................................................................................................................

112.430
125.753
111.913
110.055

116.349
132.666
116.924
112.925

120.062
139.329
121.301
115.822

118.761
137.893
120.313
114.398

119.521
137.868
120.742
115.440

120.355
140.019
121.204
116.234

121.612
141.534
122.947
117.215

122.920
144.536
124.014
118.359

Gross private domestic investment ...........................................................................................
102.026
107.537
112.109
113.143
113.429
113.215
108.649
106.025
Fixed investment ........................................................................................................................
102.080
109.708
112.851
114.033
113.570
113.240
110.561
109.571
Nonresidential ........................................................................................................................
92.995
99.326
106.519
104.606
105.738
108.292
107.440
108.219
Structures ...........................................................................................................................
79.418
80.302
87.496
82.893
86.819
90.044
90.228
91.358
Equipment and software ...................................................................................................
98.400
107.180
114.121
113.704
113.313
115.434
114.032
114.596
Residential ..............................................................................................................................
125.281
136.050
130.283
138.391
134.368
127.601
120.770
115.812
Change in private inventories .................................................................................................... .................... .................... .................... .................... .................... .................... .................... ....................
Exports of goods and services ..................................................................................................

102.201

109.105

118.841

115.783

117.536

119.495

122.549

122.357

Imports of goods and services ..................................................................................................

115.962

123.007

130.162

129.146

129.608

131.378

130.516

132.352

Government consumption expenditures and gross investment ...........................................
Federal .......................................................................................................................................
State and local ...........................................................................................................................

112.720
123.813
107.094

113.731
125.701
107.660

116.081
128.191
109.934

115.423
128.728
108.682

115.657
127.262
109.762

116.136
127.669
110.277

117.107
129.106
111.016

117.395
127.820
112.080

Addenda:
Final sales of domestic product ................................................................................................
Gross domestic purchases ........................................................................................................
Final sales to domestic purchasers ..........................................................................................
Gross national product ...............................................................................................................

109.096
110.691
110.761
109.039

112.958
114.351
114.755
112.399

116.447
117.956
118.125
116.090

115.455
117.161
117.345
115.085

116.060
117.746
117.810
115.753

116.609
118.341
118.390
116.260

117.663
118.577
118.955
117.263

118.144
119.041
119.700
117.380

r Revised
See ‘‘Explanatory Note’’ at the end of the tables.

Table 6.—Price Indexes for Gross Domestic Product
[Index numbers, 2000=100]
Seasonally adjusted
2004

2005

2006

2006
I

II

2007
III

IV

Ir

Gross domestic product ............................................................................................

109.429

112.744

116.062

114.967

115.905

116.446

116.930

118.082

Personal consumption expenditures (PCE) ..............................................................................
Durable goods ............................................................................................................................
Nondurable goods ......................................................................................................................
Services ......................................................................................................................................

108.373
90.845
107.617
112.863

111.493
90.198
111.530
116.529

114.556
88.981
114.959
120.509

113.445
89.385
113.484
119.194

114.573
89.206
115.769
120.059

115.241
88.967
116.442
120.960

114.966
88.366
114.141
121.824

115.911
87.953
115.556
122.880

Gross private domestic investment ...........................................................................................
106.645
110.284
113.834
112.860
113.717
113.895
114.864
115.391
Fixed investment ........................................................................................................................
106.811
110.542
114.178
113.238
114.074
114.224
115.175
115.674
Nonresidential ........................................................................................................................
100.834
103.428
106.390
105.471
106.266
106.501
107.321
107.800
Structures ...........................................................................................................................
120.951
134.647
149.972
145.684
149.432
151.372
153.402
153.412
Equipment and software ...................................................................................................
94.503
94.134
93.926
93.887
93.920
93.704
94.194
94.797
Residential ..............................................................................................................................
120.618
126.714
131.757
130.765
131.696
131.655
132.911
133.452
Change in private inventories .................................................................................................... .................... .................... .................... .................... .................... .................... .................... ....................
Exports of goods and services ..................................................................................................

105.151

108.949

112.537

110.737

112.400

113.631

113.379

114.372

Imports of goods and services ..................................................................................................

104.678

111.268

116.043

113.918

116.608

118.143

115.503

115.779

Government consumption expenditures and gross investment ...........................................
Federal .......................................................................................................................................
State and local ...........................................................................................................................

114.718
115.249
114.417

121.183
120.726
121.463

126.484
124.892
127.434

124.791
123.721
125.434

126.262
124.871
127.095

127.150
125.482
128.147

127.731
125.495
129.061

129.568
127.487
130.809

Addenda:
PCE excluding food and energy ...............................................................................................
Market-based PCE 1 ..................................................................................................................
Market-based PCE excluding food and energy 1 .....................................................................

107.314
107.393
105.865

109.559
110.339
107.713

111.974
113.171
109.706

110.983
112.116
108.810

111.738
113.272
109.524

112.337
113.879
110.033

112.838
113.417
110.457

113.457
114.396
111.054

Final sales of domestic product ................................................................................................
Gross domestic purchases ........................................................................................................
Final sales to domestic purchasers ..........................................................................................
Gross national product ...............................................................................................................

109.455
109.210
109.235
109.419

112.783
112.981
113.021
112.733

116.115
116.498
116.552
116.055

115.025
115.313
115.371
114.958

115.961
116.455
116.510
115.897

116.498
117.080
117.133
116.440

116.978
117.145
117.192
116.924

118.125
118.175
118.218
118.076

Implicit price deflators:
Gross domestic product ........................................................................................................
Final sales of domestic product ............................................................................................
Gross domestic purchases ....................................................................................................
Final sales to domestic purchasers ......................................................................................
Gross national product ..........................................................................................................

109.426
109.455
109.207
109.235
109.416

112.737
112.783
112.975
113.021
112.726

116.043
116.112
116.477
116.544
116.036

114.951
115.017
115.296
115.360
114.942

115.887
115.952
116.435
116.499
115.879

116.420
116.490
117.053
117.122
116.414

116.895
116.969
117.110
117.182
116.889

118.049
118.117
118.142
118.208
118.044

r Revised
1. This index is a supplemental measure that is based on household expenditures for which there are observable
price measures. It excludes most implicit prices (for example, the services furnished without payment by financial
intermediaries) and the expenses of nonprofit institutions. Percentage changes for these series are included in the
addenda to table 8 and in appendix table A.
See ‘‘Explanatory Note’’ at the end of the tables.

Table 7.—Real Gross Domestic Product: Percent Change From Preceding Year
1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006 r

Gross domestic product (GDP) ........................................................
–0.2
3.3
2.7
4.0
2.5
3.7
4.5
4.2
4.5
3.7
0.8
1.6
2.5
3.9
3.2
3.3
Personal consumption expenditures .................................................................
.2
3.3
3.3
3.7
2.7
3.4
3.8
5.0
5.1
4.7
2.5
2.7
2.8
3.9
3.5
3.2
Durable goods ....................................................................................................
–5.6
5.9
7.8
8.4
4.4
7.8
8.6 11.3 11.7
7.3
4.3
7.1
5.8
6.4
5.5
5.0
Nondurable goods ..............................................................................................
–.2
2.0
2.7
3.5
2.2
2.6
2.7
4.0
4.6
3.8
2.0
2.5
3.2
3.6
4.5
3.7
Services ..............................................................................................................
1.7
3.5
2.8
2.9
2.6
2.9
3.3
4.2
4.0
4.5
2.4
1.9
1.9
3.5
2.6
2.6
Gross private domestic investment ..................................................................
–8.1
8.1
8.9 13.6
3.1
8.9 12.4
9.8
7.8
5.7 –7.9 –2.6
3.6
9.8
5.4
4.3
Fixed investment ................................................................................................
–6.5
5.9
8.6
9.3
6.5
9.0
9.2 10.2
8.3
6.5 –3.0 –5.2
3.4
7.3
7.5
2.9
Nonresidential ................................................................................................
–5.4
3.2
8.7
9.2 10.5
9.3 12.1 11.1
9.2
8.7 –4.2 –9.2
1.0
5.9
6.8
7.2
Structures .................................................................................................. –11.1 –6.0
–.7
1.8
6.4
5.6
7.3
5.1
–.4
6.8 –2.3 –17.1 –4.1
2.2
1.1
9.0
Equipment and software ...........................................................................
–2.6
7.3 12.5 11.9 12.0 10.6 13.8 13.3 12.7
9.4 –4.9 –6.2
2.8
7.3
8.9
6.5
Residential .....................................................................................................
–9.6 13.8
8.2
9.6 –3.2
8.0
1.9
7.6
6.0
.8
.4
4.8
8.4
9.9
8.6
–4.2
Change in private inventories ........................................................................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ...........
Net exports of goods and services ................................................................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ...........
Exports ...............................................................................................................
6.6
6.9
3.2
8.7 10.1
8.4 11.9
2.4
4.3
8.7 –5.4 –2.3
1.3
9.2
6.8
8.9
Goods ............................................................................................................
6.9
7.5
3.3
9.7 11.7
8.8 14.3
2.2
3.8 11.2 –6.1 –4.0
1.8
9.0
7.5
10.5
Services .........................................................................................................
6.0
5.5
3.2
6.3
6.3
7.2
5.9
2.9
5.6
2.9 –3.7
1.9
0
9.7
5.1
5.4
Imports ...............................................................................................................
–.6
7.0
8.8 11.9
8.0
8.7 13.6 11.6 11.5 13.1 –2.7
3.4
4.1 10.8
6.1
5.8
Goods ............................................................................................................
–.1
9.3 10.1 13.3
9.0
9.3 14.4 11.7 12.4 13.5 –3.2
3.7
4.9 10.9
6.7
5.9
Services .........................................................................................................
–2.6 –2.6
2.9
5.7
3.3
5.5
9.4 11.4
6.9 11.1
–.3
2.1
0
10.0
2.8
5.3
Government consumption expenditures and gross investment ...................
1.1
.5
–.9
0
.5
1.0
1.9
1.9
3.9
2.1
3.4
4.4
2.5
1.9
.9
2.1
Federal ...............................................................................................................
–.2 –1.7 –4.2 –3.7 –2.7 –1.2 –1.0 –1.1
2.2
.9
3.9
7.0
6.8
4.3
1.5
2.0
National defense ............................................................................................
–1.1 –5.0 –5.6 –4.9 –3.8 –1.4 –2.8 –2.1
1.9
–.5
3.9
7.4
8.7
5.9
1.7
1.9
Nondefense ....................................................................................................
2.4
6.9
–.7 –1.2
–.4
–.7
2.6
.7
2.8
3.5
3.9
6.3
3.4
1.2
1.1
2.1
State and local ...................................................................................................
2.1
2.2
1.4
2.6
2.6
2.3
3.6
3.6
4.7
2.7
3.2
3.1
.2
.5
.5
2.1
Addenda:
Final sales of domestic product ........................................................................
.1
3.0
2.6
3.4
3.0
3.7
4.0
4.2
4.5
3.8
1.6
1.2
2.5
3.5
3.5
3.1
Gross domestic purchases ................................................................................
–.8
3.3
3.2
4.4
2.4
3.8
4.8
5.3
5.3
4.4
.9
2.2
2.8
4.4
3.3
3.2
Final sales to domestic purchasers ..................................................................
–.6
3.1
3.2
3.8
2.8
3.8
4.3
5.3
5.4
4.5
1.8
1.8
2.8
4.0
3.6
2.9
Gross national product ......................................................................................
–.3
3.3
2.7
3.9
2.6
3.7
4.4
4.0
4.6
3.7
.8
1.5
2.7
3.8
3.1
3.3
Real disposable personal income .....................................................................
.5
3.4
1.0
2.7
2.8
3.0
3.5
5.8
3.0
4.8
1.9
3.1
2.2
3.6
1.2
2.6
Price indexes:
Gross domestic purchases ...........................................................................
3.3
2.3
2.2
2.1
2.1
1.8
1.4
.6
1.6
2.5
2.0
1.6
2.3
3.1
3.5
3.1
Gross domestic purchases excluding food and energy ..............................
3.5
2.6
2.3
2.2
2.2
1.5
1.3
1.0
1.4
1.9
1.9
1.9
1.9
2.7
2.8
2.7
GDP ...............................................................................................................
3.5
2.3
2.3
2.1
2.0
1.9
1.7
1.1
1.4
2.2
2.4
1.7
2.1
2.8
3.0
2.9
GDP excluding food and energy ..................................................................
3.6
2.5
2.4
2.2
2.1
1.7
1.7
1.2
1.5
2.0
2.1
2.1
1.9
2.7
3.0
2.9
Personal consumption expenditures .............................................................
3.6
2.9
2.3
2.1
2.1
2.2
1.7
.9
1.7
2.5
2.1
1.4
2.0
2.6
2.9
2.7
r Revised. Revisions include changes to series affected by the introduction of revised wage and salary estimates
for the fourth quarter of 2006.

Table 8.—Real Gross Domestic Product: Percent Change From Quarter One Year Ago
2003
II

III

2004
IV

I

II

2005
III

IV

I

II

2006
III

IV

I

II

2007
III

IV r

Ir

Gross domestic product (GDP) .........................................................
1.8
3.1
3.7
4.3
4.5
3.4
3.4
3.3
3.1
3.4
3.1
3.7
3.5
3.0
3.1
1.9
Personal consumption expenditures (PCE) .......................................................
2.3
3.2
3.4
4.1
3.9
3.5
4.0
3.5
3.8
3.8
2.9
3.4
3.0
2.7
3.6
3.5
Durable goods .....................................................................................................
5.5
6.7
8.3
9.8
6.1
4.2
5.6
4.7
7.4
7.5
2.5
6.6
3.4
2.8
7.4
4.8
Nondurable goods ...............................................................................................
2.5
4.3
3.9
4.0
3.8
2.9
3.8
4.0
4.8
4.7
4.4
4.5
3.6
3.2
3.7
3.1
Services ...............................................................................................................
1.6
2.0
2.2
3.0
3.5
3.6
3.7
3.0
2.6
2.6
2.3
2.3
2.6
2.5
2.9
3.5
Gross private domestic investment ....................................................................
1.6
4.4
7.0
8.6 13.2
9.2
8.2
9.0
2.8
3.6
6.3
6.2
7.4
5.9 –2.1 –6.3
Fixed investment .................................................................................................
1.9
5.4
7.2
7.9
8.2
6.7
6.6
8.0
7.7
7.4
6.8
6.9
3.9
2.0 –1.1 –3.9
Nonresidential .................................................................................................
.1
2.9
4.9
6.1
5.2
5.5
6.9
8.0
7.4
6.3
5.6
7.4
7.2
8.3
6.1
3.5
Structures ...................................................................................................
–3.9
.1
.2
2.9
1.1
2.0
2.7
3.2
1.0 –1.6
1.8
2.6
8.0 14.1 11.2 10.2
Equipment and software ............................................................................
1.5
3.9
6.6
7.2
6.7
6.7
8.3
9.7
9.8
9.3
7.0
9.2
6.8
6.0
4.0
.8
Residential ......................................................................................................
5.7 10.6 11.7 11.4 13.7
9.0
6.1
8.1
8.1
9.1
9.0
6.1 –1.5 –8.1 –12.8 –16.3
Change in private inventories ............................................................................. .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ..........
Net exports of goods and services .................................................................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ..........
Exports ................................................................................................................
–1.9
.1
5.8
9.1 11.2
9.6
7.0
6.4
7.2
6.8
6.7
9.0
8.2
9.1
9.4
5.7
Goods ..............................................................................................................
–1.6
–.1
7.1
8.4 10.4 10.3
7.0
6.6
8.1
7.0
8.3 11.2
9.5 11.0 10.2
5.7
Services ..........................................................................................................
–2.4
.5
3.0 10.9 13.2
7.9
7.1
5.9
5.0
6.3
3.1
4.0
5.2
4.9
7.5
5.6
Imports .................................................................................................................
3.3
2.8
4.8
8.8 11.7 11.9 10.6
9.0
5.4
4.9
5.2
6.4
6.4
7.2
3.3
2.5
Goods ..............................................................................................................
4.7
3.2
5.3
9.0 11.2 12.3 11.2
9.8
6.0
5.5
5.8
6.9
6.4
7.5
2.9
2.2
Services ..........................................................................................................
–3.3
1.0
2.2
7.9 14.7 10.1
7.6
4.8
2.5
2.0
1.9
3.7
6.6
5.6
5.1
4.1
Government consumption expenditures and gross investment ....................
2.9
2.7
1.7
2.8
1.8
1.8
1.1
.8
.5
1.0
1.2
2.1
2.0
1.6
2.7
1.7
Federal ................................................................................................................
8.0
7.3
5.5
7.4
3.3
4.4
2.3
1.3
.8
1.9
2.1
3.4
2.1
.1
2.4
–.7
National defense .............................................................................................
11.7
9.1
7.5 11.1
3.3
7.0
2.5
1.4
1.6
2.1
1.9
2.9
1.7 –1.3
4.3
.2
Nondefense .....................................................................................................
1.3
4.0
1.9
.6
3.2
–.5
1.8
1.2
–.7
1.5
2.4
4.2
2.9
2.9 –1.4 –2.5
State and local ....................................................................................................
.2
.3
–.4
.3
1.0
.3
.4
.5
.3
.5
.8
1.3
1.9
2.4
2.8
3.1
Addenda:
Final sales of domestic product .........................................................................
1.8
3.2
3.7
4.2
3.7
3.0
3.1
3.1
3.9
4.0
3.2
3.8
2.9
2.3
3.3
2.3
Gross domestic purchases .................................................................................
2.3
3.3
3.6
4.5
4.9
4.0
4.1
3.8
3.0
3.3
3.1
3.6
3.5
3.0
2.5
1.6
Final sales to domestic purchasers ...................................................................
2.4
3.4
3.7
4.4
4.2
3.6
3.8
3.6
3.8
3.8
3.2
3.7
3.0
2.4
2.7
2.0
Gross national product ........................................................................................
2.2
3.3
3.9
4.6
4.3
3.3
2.9
3.0
3.0
3.4
3.0
3.6
3.4
2.7
3.4
2.0
Real disposable personal income ......................................................................
1.3
3.3
3.7
4.2
3.6
2.7
4.1
2.1
1.6
.8
.3
2.5
2.0
2.9
3.2
3.2
Price indexes:
Gross domestic purchases .............................................................................
2.1
2.3
2.2
2.2
3.1
3.2
3.7
3.4
3.2
3.6
3.6
3.5
3.6
3.1
2.3
2.5
Gross domestic purchases excluding food and energy ................................
1.8
1.9
1.9
2.1
2.6
2.8
3.0
3.0
2.8
2.8
2.8
2.7
2.9
2.8
2.6
2.6
GDP ................................................................................................................
2.1
2.2
2.2
2.3
2.9
2.9
3.2
3.1
2.8
3.1
3.1
3.1
3.3
2.9
2.5
2.7
GDP excluding food and energy ...................................................................
1.9
1.9
1.9
2.1
2.6
2.9
3.1
3.1
2.9
2.9
3.0
2.9
3.1
2.9
2.7
2.6
PCE .................................................................................................................
1.8
1.9
1.9
2.0
2.8
2.7
3.0
2.7
2.6
3.1
3.1
3.0
3.3
2.8
1.9
2.2
PCE excluding food and energy ....................................................................
1.4
1.3
1.4
1.8
2.1
2.1
2.2
2.2
2.0
2.0
2.1
2.0
2.2
2.4
2.2
2.2
Market-based PCE 1 .......................................................................................
1.7
1.8
1.6
1.7
2.4
2.3
2.7
2.5
2.4
3.1
3.0
2.9
3.2
2.6
1.6
2.0
Market-based PCE excluding food and energy 1 ..........................................
1.2
1.1
1.0
1.3
1.5
1.4
1.7
1.8
1.7
1.7
1.8
1.6
1.9
2.0
1.9
2.1
r Revised. Revisions include changes to series affected by the introduction of revised wage and salary estimates
for the fourth quarter of 2006.
1. This index is a supplemental measure that is based on household expenditures for which there are observable

price measures. It excludes most implicit prices (for example, the services furnished without payment by financial
intermediaries) and the expenses of nonprofit institutions.

Table 9.—Relation of Gross Domestic Product, Gross National Product, and National Income
[Billions of dollars]
Seasonally adjusted at annual rates
2004

2006 r

2005

2006
I

II

2007
III

IV r

Ir

Gross domestic product ..............................................................................................................

11,712.5

12,455.8

13,246.6

13,008.4

13,197.3

13,322.6

13,458.2

13,613.0

Plus: Income receipts from the rest of the world .........................................................................
Less: Income payments to the rest of the world ..........................................................................

410.2
363.9

513.3
481.5

665.6
635.7

603.3
574.3

661.4
638.6

682.3
665.7

715.5
664.4

734.7
691.4

Equals: Gross national product .................................................................................................

11,758.7

12,487.7

13,276.5

13,037.4

13,220.1

13,339.2

13,509.3

13,656.3

Less: Consumption of fixed capital ...............................................................................................
Less: Statistical discrepancy ..........................................................................................................

1,436.2
66.7

1,604.8
71.0

1,576.9
–11.4

1,548.0
–61.9

1,572.8
35.8

1,582.0
23.5

1,604.6
–43.0

1,618.2
–10.1

Equals: National income .............................................................................................................
Compensation of employees .....................................................................................................
Wage and salary accruals .....................................................................................................
Supplements to wages and salaries .....................................................................................
Proprietors’ income with inventory valuation and capital consumption adjustments ..............
Rental income of persons with capital consumption adjustment .............................................
Corporate profits with inventory valuation and capital consumption adjustments ...................
Net interest and miscellaneous payments ................................................................................
Taxes on production and imports less subsidies .....................................................................
Business current transfer payments ..........................................................................................
Current surplus of government enterprises ..............................................................................

10,255.9
6,650.3
5,377.1
1,273.2
911.1
127.0
1,182.6
485.1
819.4
85.5
–5.0

10,811.8
7,030.3
5,664.8
1,365.5
970.7
72.8
1,330.7
483.4
865.1
74.2
–15.4

11,711.0
7,498.4
6,043.6
1,454.9
1,015.1
77.4
1,615.7
509.3
912.5
92.6
–9.9

11,551.3
7,400.3
5,970.1
1,430.3
1,008.3
76.8
1,569.1
514.8
897.4
93.8
–9.2

11,611.5
7,425.5
5,980.9
1,444.5
1,011.9
71.4
1,591.8
513.2
914.0
93.1
–9.4

11,733.7
7,489.3
6,027.6
1,461.6
1,014.8
78.3
1,653.3
498.6
916.8
92.8
–10.2

11,947.6
7,678.7
6,195.6
1,483.1
1,025.3
83.1
1,648.4
510.4
921.9
90.8
–10.9

12,048.3
7,750.5
6,241.8
1,508.7
1,038.6
86.0
1,668.7
494.0
928.8
95.1
–13.4

Addendum:
Gross domestic income .............................................................................................................

11,645.8

12,384.8

13,258.0

13,070.3

13,161.6

13,299.1

13,501.2

13,623.2

r Revised. Revisions include changes to series affected by the introduction of revised wage and salary estimates
for the fourth quarter of 2006.

Table 10.—Personal Income and Its Disposition
[Billions of dollars]
Seasonally adjusted at annual rates
2004

2005

2006 r

2006
I

II

2007
IV r

III

Ir

Personal income 1 ........................................................................................................................

9,731.4

10,239.2

10,891.2

10,721.4

10,807.3

10,939.4

11,096.6

11,347.6

Compensation of employees, received .....................................................................................
Wage and salary disbursements ...........................................................................................
Supplements to wages and salaries .....................................................................................
Proprietors’ income with inventory valuation and capital consumption adjustments ..............
Farm .......................................................................................................................................
Nonfarm ..................................................................................................................................
Rental income of persons with capital consumption adjustment .............................................
Personal income receipts on assets .........................................................................................
Personal interest income .......................................................................................................
Personal dividend income .....................................................................................................
Personal current transfer receipts .............................................................................................

6,665.3
5,392.1
1,273.2
911.1
36.2
874.9
127.0
1,427.9
890.8
537.1
1,426.5

7,030.3
5,664.8
1,365.5
970.7
30.2
940.4
72.8
1,519.4
945.0
574.4
1,526.6

7,485.9
6,031.1
1,454.9
1,015.1
22.6
992.5
77.4
1,656.3
1,016.7
639.6
1,602.2

7,400.3
5,970.1
1,430.3
1,008.3
23.9
984.4
76.8
1,602.3
989.1
613.2
1,570.4

7,425.5
5,980.9
1,444.5
1,011.9
17.5
994.3
71.4
1,647.7
1,019.2
628.5
1,589.7

7,489.3
6,027.6
1,461.6
1,014.8
21.7
993.2
78.3
1,683.6
1,035.8
647.8
1,618.6

7,628.7
6,145.6
1,483.1
1,025.3
27.3
998.0
83.1
1,691.6
1,022.8
668.8
1,629.9

7,800.5
6,291.8
1,508.7
1,038.6
31.7
1,006.9
86.0
1,729.2
1,039.8
689.4
1,685.1

Less: Contributions for government social insurance ...............................................................

826.4

880.6

945.7

936.7

938.8

945.2

961.9

991.9

Less: Personal current taxes .........................................................................................................

1,049.8

1,203.1

1,362.1

1,332.6

1,361.0

1,362.5

1,392.3

1,449.5

Equals: Disposable personal income ........................................................................................

8,681.6

9,036.1

9,529.1

9,388.8

9,446.2

9,577.0

9,704.3

9,898.0

Less: Personal outlays ...................................................................................................................

8,507.2

9,070.9

9,625.5

9,418.5

9,577.0

9,710.0

9,796.5

9,980.3

Equals: Personal saving ..............................................................................................................

174.3

–34.8

–96.4

–29.7

–130.8

–133.0

–92.2

–82.3

Personal saving as a percentage of disposable personal income ..........................................

2.0

–.4

–1.0

–.3

–1.4

–1.4

–.9

–.8

Addendum:
Disposable personal income, billions of chained (2000) dollars 2 ...........................................

8,010.8

8,104.6

8,318.6

8,276.8

8,245.4

8,311.0

8,441.7

8,540.1

r

Revised. Revisions include changes to series affected by the introduction of revised wage and salary estimates
for the fourth quarter of 2006.
1. Personal income is also equal to national income less corporate profits with inventory valuation and capital
consumption adjustments, taxes on production and imports less subsidies, contributions for government social insurance, net interest and miscellaneous payments, business current transfer payments, current surplus of government
enterprises, and wage accruals less disbursements, plus personal income receipts on assets, and personal current
transfer receipts.
2. Equals disposable personal income deflated by the implicit price deflator for personal consumption expenditures.

Table 11.—Corporate Profits: Level and Percent Change
Billions of dollars

Percent change from preceding period

Seasonally adjusted
at annual rates
2004

2005

2006

2006
I

II

2005

2007
III

Quarter one
year ago

Quarterly rates

IV

2006

2006

I

II

III

2007

2007

I

I

IV

Corporate profits with inventory valuation and capital
consumption adjustments ...................................................... 1,182.6 1,330.7 1,615.7 1,569.1 1,591.8 1,653.3 1,648.4 1,668.7

12.5

21.4

1.4

3.9

–0.3

1.2

6.3

Less: Taxes on corporate income .................................................

300.1

399.3

485.0

33.1

18.9

4.2

3.0

–2.9

1.9

6.1

Equals: Profits after tax with inventory valuation and capital
consumption adjustments ......................................................
Net dividends .............................................................................
Undistributed profits with inventory valuation and capital
consumption adjustments ......................................................

882.5
539.5

931.4 1,140.7 1,112.1 1,115.7 1,162.7 1,172.3 1,183.7
576.9 642.2 615.7 631.1 650.4 671.4 692.0

5.5
6.9

22.5
11.3

.3
2.5

4.2
3.1

.8
3.2

1.0
3.1

6.4
12.4

343.0

354.5

491.7

3.4

40.6

–2.4

5.7

–2.2

–1.8

–.9

Cash flow:
Net cash flow with inventory valuation and capital
consumption adjustments .................................................. 1,139.2 1,211.3 1,364.9 1,349.2 1,350.3 1,380.5 1,379.4 1,374.8
Undistributed profits with inventory valuation and capital
consumption adjustments ..................................................
343.0 354.5 498.6 496.4 484.6 512.4 500.9 491.7
Consumption of fixed capital .................................................
796.2 856.8 866.3 852.8 865.6 868.2 878.5 883.1

6.3

12.7

.1

2.2

–.1

–.3

1.9

3.4
7.6

40.6
1.1

–2.4
1.5

5.7
.3

–2.2
1.2

–1.8
.5

–.9
3.6

Less: Inventory valuation adjustment ........................................

–39.8

–32.6

474.9

498.6

–34.4

456.9

496.4

–22.9

476.1

490.6

484.6

476.2

512.4

–58.9

500.9

–38.2

–17.5

–32.5 ............ ............ ............ ............ ............ ............ ....................

Equals: Net cash flow ............................................................. 1,178.9 1,243.9 1,399.2 1,372.1 1,409.2 1,418.8 1,396.9 1,407.2

5.5

12.5

2.7

.7

–1.5

.7

2.6

Addenda:
Profits before tax (without inventory valuation and capital
consumption adjustments) ..................................................... 1,144.3 1,518.7 1,810.9 1,740.6 1,811.5 1,854.0 1,837.6 1,858.5
32.7
19.2
4.1
2.3
–.9
1.1
6.8
Profits after tax (without inventory valuation and capital
consumption adjustments) .....................................................
844.2 1,119.4 1,336.0 1,283.7 1,335.4 1,363.4 1,361.5 1,373.5
32.6
19.4
4.0
2.1
–.1
.9
7.0
Inventory valuation adjustment ..................................................
–39.8 –32.6 –34.4 –22.9 –58.9 –38.2 –17.5 –32.5 ............ ............ ............ ............ ............ ............ ....................
Capital consumption adjustment ................................................
78.1 –155.5 –160.9 –148.6 –160.8 –162.4 –171.7 –157.3 ............ ............ ............ ............ ............ ............ ....................

Table 12.—Corporate Profits by Industry: Level and Change From Preceding Period
[Billions of dollars]
Level

Change from preceding period

Seasonally adjusted at annual rates
2004

2005

2006

2006

2007

2006
2005

2006
II

I

II

III

IV

2007

III

IV

I

I

Corporate profits with inventory valuation and capital consumption
adjustments ............................................................................................. 1,182.6 1,330.7 1,615.7 1,569.1 1,591.8 1,653.3 1,648.4 1,668.7

148.1

285.0

22.7

61.5

–4.9

20.3

Domestic industries ............................................................................................ 1,006.3 1,133.7 1,372.6 1,343.0 1,351.9 1,418.7 1,376.6 1,397.6
Financial ............................................................................................................
353.7 369.4 474.0 442.2 483.9 474.8 495.3 500.1
Nonfinancial .......................................................................................................
652.6 764.2 898.5 900.9 868.1 943.9 881.3 897.5

127.4
15.7
111.6

238.9
104.6
134.3

8.9
41.7
–32.8

66.8
–9.1
75.8

–42.1
20.5
–62.6

21.0
4.8
16.2

271.1
435.0
163.9

20.7
36.0
15.2

46.1
65.8
19.7

13.8
25.7
11.9

–5.3
6.9
12.1

37.3
19.2
–18.0

–.8
6.9
7.7

Corporate profits with inventory valuation adjustment ........................ 1,104.5 1,486.1 1,776.6 1,717.7 1,752.6 1,815.8 1,820.2 1,826.0

Rest of the world ................................................................................................
Receipts from the rest of the world .................................................................
Less: Payments to the rest of the world .........................................................

176.3
302.0
125.8

197.0
338.0
141.0

243.1
403.8
160.7

226.1
376.3
150.2

239.9
402.0
162.1

234.6
408.9
174.2

271.9
428.1
156.2

381.6

290.5

34.9

63.2

4.4

5.8

928.2 1,289.1 1,533.4 1,491.6 1,512.7 1,581.1 1,548.3 1,554.9
344.2 389.0 498.7 463.9 508.2 500.1 522.7 526.8
20.0
26.6
33.8
30.9
33.7
35.8
34.7
38.5
324.1 362.5 464.9 433.0 474.4 464.3 488.0 488.3

360.9
44.8
6.6
38.4

244.3
109.7
7.2
102.4

21.1
44.3
2.8
41.4

68.4
–8.1
2.1
–10.1

–32.8
22.6
–1.1
23.7

6.6
4.1
3.8
.3

Nonfinancial .......................................................................................................
Utilities ...........................................................................................................
Manufacturing ...............................................................................................
Durable goods ..........................................................................................
Fabricated metal products ...................................................................
Machinery .............................................................................................
Computer and electronic products ......................................................
Electrical equipment, appliances, and components ...........................
Motor vehicles, bodies and trailers, and parts ...................................
Other durable goods ............................................................................

584.0
16.2
150.2
31.3
12.3
7.0
–6.7
.2
–11.2
29.7

900.1 1,034.7 1,027.7 1,004.5 1,081.0 1,025.6 1,028.1
30.3
48.6
39.7
46.8
52.8
54.9 ............
254.8 311.7 300.7 289.9 331.9 324.5 ............
73.8 108.0 102.2
78.7 115.9 135.2 ............
20.6
26.2
25.7
24.1
24.8
30.1 ............
13.8
19.2
19.1
18.3
18.5
21.1 ............
3.9
13.4
12.3
13.1
13.2
15.1 ............
5.7
10.0
8.4
6.8
10.3
14.6 ............
–17.9 –17.9 –18.2 –25.4 –16.6 –11.3 ............
47.7
57.0
54.9
41.9
65.7
65.6 ............

316.1
14.1
104.6
42.5
8.3
6.8
10.6
5.5
–6.7
18.0

134.6
18.3
56.9
34.2
5.6
5.4
9.5
4.3
0
9.3

–23.2
7.1
–10.8
–23.5
–1.6
–.8
.8
–1.6
–7.2
–13.0

76.5
6.0
42.0
37.2
.7
.2
.1
3.5
8.8
23.8

–55.4
2.1
–7.4
19.3
5.3
2.6
1.9
4.3
5.3
–.1

2.5
............
............
............
............
............
............
............
............
............

Nondurable goods ....................................................................................
Food and beverage and tobacco products ........................................
Petroleum and coal products ..............................................................
Chemical products ...............................................................................
Other nondurable goods ......................................................................

118.9
22.4
49.3
23.8
23.4

181.0
28.5
70.4
45.3
36.8

203.7
31.9
84.3
49.1
38.5

198.5
29.6
74.5
54.1
40.1

211.2
29.5
92.4
53.6
35.7

216.0
34.4
101.1
46.6
33.9

189.3
33.9
69.4
41.9
44.2

............
............
............
............
............

62.1
6.1
21.1
21.5
13.4

22.7
3.4
13.9
3.8
1.7

12.7
–.1
17.9
–.5
–4.4

4.8
4.9
8.7
–7.0
–1.8

–26.7
–.5
–31.7
–4.7
10.3

............
............
............
............
............

Wholesale trade ............................................................................................
Retail trade ...................................................................................................
Transportation and warehousing ..................................................................
Information ....................................................................................................
Other nonfinancial ........................................................................................

69.9
89.3
11.8
37.7
208.8

97.6
113.7
21.0
77.5
305.2

106.0
130.1
34.7
87.7
315.8

107.2
123.0
27.3
89.8
340.1

98.3
121.2
38.6
85.9
323.9

125.1
131.3
39.6
83.3
317.1

93.7
145.0
33.3
91.9
282.2

............
............
............
............
............

27.7
24.4
9.2
39.8
96.4

8.4
16.4
13.7
10.2
10.6

–8.9
–1.8
11.3
–3.9
–16.2

26.8
10.1
1.0
–2.6
–6.8

–31.4
13.7
–6.3
8.6
–34.9

............
............
............
............
............

Rest of the world ................................................................................................

176.3

197.0

243.1

226.1

239.9

234.6

271.9

271.1

20.7

46.1

13.8

–5.3

37.3

–.8

Domestic industries ............................................................................................
Financial ............................................................................................................
Federal Reserve banks ................................................................................
Other financial ..............................................................................................

NOTE.—Estimates in this table are based on the 1997 North American Industry Classification System (NAICS).

Table 13.—Gross Value Added of Nonfinancial Domestic Corporate Business
Seasonally adjusted at annual rates
2004

2005

2006 r

2006
I

II

2007
III

IV r

I

Billions of dollars
Gross value added of nonfinancial corporate business ................................................................................

5,932.9

6,369.7

6,858.6

6,788.2

6,790.0

6,898.9

6,957.1

Consumption of fixed capital ..........................................................................................................................................

686.2

739.7

744.8

733.7

744.4

746.3

754.9

7,032.8
758.5

Net value added ............................................................................................................................................................

5,246.7

5,630.1

6,113.7

6,054.5

6,045.7

6,152.6

6,202.2

6,274.3

Compensation of employees .....................................................................................................................................
Wage and salary accruals .....................................................................................................................................
Supplements to wages and salaries .....................................................................................................................
Taxes on production and imports less subsidies .....................................................................................................
Net operating surplus .................................................................................................................................................
Net interest and miscellaneous payments ............................................................................................................
Business current transfer payments .....................................................................................................................
Corporate profits with inventory valuation and capital consumption adjustments ..............................................
Taxes on corporate income ..............................................................................................................................
Profits after tax with inventory valuation and capital consumption adjustments ............................................
Net dividends ................................................................................................................................................
Undistributed profits with inventory valuation and capital consumption adjustments ................................

3,873.4
3,158.4
714.9
522.9
850.4
137.8
60.0
652.6
185.3
467.4
366.9
100.5

4,099.7
3,335.1
764.6
558.1
972.2
156.6
51.4
764.2
251.4
512.9
228.5
284.4

4,390.5
3,573.5
816.9
584.4
1,138.8
178.3
62.1
898.5
285.4
613.1
411.3
201.8

4,341.0
3,537.5
803.5
576.7
1,136.8
175.1
60.9
900.9
280.9
620.0
377.7
242.3

4,350.6
3,539.7
811.0
585.3
1,109.7
180.0
61.7
868.1
283.3
584.8
392.8
192.0

4,382.5
3,562.5
820.0
586.5
1,183.7
177.2
62.5
943.9
299.6
644.3
407.5
236.8

4,487.7
3,654.4
833.3
589.3
1,125.2
180.7
63.2
881.3
277.8
603.4
467.3
136.1

4,541.4
3,694.8
846.7
593.1
1,139.8
178.2
64.0
897.5
283.5
614.0
415.1
198.9

Addenda:
Profits before tax (without inventory valuation and capital consumption adjustments) ..........................................
Profits after tax (without inventory valuation and capital consumption adjustments) .............................................
Inventory valuation adjustment ..................................................................................................................................
Capital consumption adjustment ................................................................................................................................

623.8
438.6
–39.8
68.6

932.6
681.3
–32.6
–135.8

1,069.1
783.7
–34.4
–136.2

1,050.6
769.7
–22.9
–126.8

1,063.5
780.2
–58.9
–136.5

1,119.2
819.6
–38.2
–137.1

1,043.0
765.2
–17.5
–144.3

1,060.6
777.1
–32.5
–130.6

Billions of chained (2000) dollars
Gross value added of nonfinancial corporate business 1 .............................................................................

5,630.0

5,852.9

6,133.8

6,111.2

6,069.0

6,158.9

6,196.2

6,207.1

Consumption of fixed capital 2 .......................................................................................................................................
Net value added 3 ...........................................................................................................................................................

650.9
4,979.2

681.6
5,171.2

670.5
5,463.3

666.1
5,445.0

669.2
5,399.8

672.0
5,486.9

674.6
5,521.6

676.8
5,530.2

1.133

Dollars; quarters seasonally adjusted
Price, costs, and profits per unit of real gross value added of nonfinancial corporate business:
Price per unit of real gross value added of nonfinancial corporate business 4 ............................................

1.054

1.088

1.118

1.111

1.119

1.120

1.123

Compensation of employees (unit labor cost) ..........................................................................................................

.688

.700

.716

.710

.717

.712

.724

.732

Unit nonlabor cost ......................................................................................................................................................
Consumption of fixed capital .................................................................................................................................
Taxes on production and imports less subsidies plus business current transfer payments ..............................
Net interest and miscellaneous payments ............................................................................................................

.250
.122
.104
.024

.257
.126
.104
.027

.255
.121
.105
.029

.253
.120
.104
.029

.260
.123
.107
.030

.255
.121
.105
.029

.256
.122
.105
.029

.257
.122
.106
.029

Corporate profits with inventory valuation and capital consumption adjustments (unit profits from current
production) .............................................................................................................................................................
Taxes on corporate income ..................................................................................................................................
Profits after tax with inventory valuation and capital consumption adjustments ................................................

.116
.033
.083

.131
.043
.088

.146
.047
.100

.147
.046
.101

.143
.047
.096

.153
.049
.105

.142
.045
.097

.145
.046
.099

r Revised. Revisions include changes to series affected by the introduction of revised wage and salary estimates
for the fourth quarter of 2006.
1. The current-dollar gross value added is deflated using the gross value added chain-type price index for nonfinancial industries from the GDP-by-industry accounts. For periods when this price index is not available, the chaintype price index for GDP goods and structures is used.
2. Chained-dollar consumption of fixed capital of nonfinancial corporate business is calculated as the product of

the chain-type quantity index and the 2000 current-dollar value of the corresponding series, divided by 100.
3. Chained-dollar net value added of nonfinancial corporate business is the difference between the gross value
added and the consumption of fixed capital.
4. The deflator for gross value added of nonfinancial corporate business divided by 100.
NOTE.—Estimates in this table are based on the 1997 North American Industry Classification System (NAICS).

Appendix Table A.—Real Gross Domestic Product and Related Aggregates and Price Indexes: Percent Change From Preceding Period
Seasonally adjusted at annual rates
2004

2005

2006

2003
II

III

2004
IV

I

II

2005
III

IV

I

II

2006
III

IV

I

II

2007
III

IV

Ir

Gross domestic product (GDP) and related
aggregates:
GDP ..............................................................................

3.9

3.2

3.3

3.5

7.5

2.7

3.9

4.0

3.1

2.6

3.4

3.3

4.2

1.8

5.6

2.6

2.0

2.5

0.6

Goods ...........................................................................
Services ........................................................................
Structures ......................................................................

4.9
3.2
5.2

4.6
2.3
4.6

6.2
2.3
.5

1.6
3.6
9.2

16.2
1.9
14.1

2.5
2.8
2.2

3.7
4.5
.5

3.0
3.0
13.6

5.0
2.5
.6

4.6
2.5
–2.7

4.9
1.8
8.0

3.5
1.8
11.1

6.7
3.5
.7

3.1
.8
3.1

12.8
2.4
2.9

3.6
2.4
.3

3.8
2.8
–7.4

4.0
4.1
–9.9

–1.1
2.8
–5.4

Motor vehicle output .....................................................
GDP excluding motor vehicle output ...........................

3.5
3.9

5.9
3.1

–1.7
3.5

10.9
3.2

8.9
7.4

–6.5
3.0

9.9
3.6

–7.1
4.5

16.6
2.7

1.9
2.6

12.0
3.1

–.7
3.4

22.6 –19.1
3.6
2.6

3.8
5.6

–9.4
3.0

27.4 –32.0
1.2
3.8

3.5
.6

Final sales of computers 1 ...........................................
GDP excluding final sales of computers .....................

8.2
3.9

24.5
3.1

16.8
3.2

–2.5
3.5

90.4
7.0

20.0 –16.0 –17.4
2.5
4.0
4.2

23.0
3.0

42.8
2.4

24.3
3.3

31.5
3.1

11.6
4.1

33.8
1.6

9.5
5.6

6.7
2.5

11.7
1.9

26.6 –34.7 –36.1 120.0 –17.4

–2.0 –24.6

40.9
2.2

–5.6
.7

Farm gross value added 2 ...........................................

7.4

1.0

4.8

19.4

23.7

11.3

8.1

14.1

3.9

–2.0

Nonfarm business gross value added 3 ......................

4.3

3.8

3.8

4.3

11.0

1.6

3.6

5.2

3.2

2.4

4.2

4.4

4.9

1.8

6.7

2.7

1.9

2.9

.6

Price indexes:
GDP ..............................................................................
GDP excluding food and energy .................................
GDP excluding final sales of computers .....................

2.8
2.7
2.9

3.0
3.0
3.2

2.9
2.9
3.1

1.3
1.1
1.4

2.1
1.7
2.2

2.2
2.1
2.3

3.7
3.4
3.8

3.7
3.4
3.7

2.1
2.6
2.2

3.2
3.1
3.4

3.5
3.4
3.7

2.4
2.4
2.6

3.3
2.8
3.4

3.3
3.3
3.4

3.3
3.1
3.4

3.3
3.0
3.5

1.9
2.2
2.0

1.7
2.3
1.8

4.0
3.0
4.1

Gross domestic purchases ..........................................
Gross domestic purchases excluding food and
energy .......................................................................
Gross domestic purchases excluding final sales of
computers to domestic purchasers .........................

3.1

3.5

3.1

.6

2.2

1.9

4.3

4.1

2.6

3.6

3.2

3.3

4.4

3.5

2.7

4.0

2.2

.2

3.6

2.7

2.8

2.7

1.3

1.8

2.0

3.5

3.3

2.5

2.9

3.4

2.3

2.5

3.0

3.0

2.9

2.2

2.4

2.8

3.2

3.7

3.3

.7

2.4

2.0

4.4

4.2

2.8

3.8

3.4

3.5

4.6

3.7

2.9

4.2

2.3

.3

3.7

Personal consumption expenditures (PCE) .................
PCE excluding food and energy ..................................
Market-based PCE 4 .....................................................
Market-based PCE excluding food and energy 4 ........

2.6
2.0
2.3
1.5

2.9
2.1
2.7
1.7

2.7
2.2
2.6
1.9

.7
1.3
.3
1.0

2.4
1.8
2.2
1.4

1.5
1.6
.9
.9

3.7
2.5
3.3
1.7

3.6
2.5
3.4
1.9

1.9
1.7
1.5
1.2

3.0
2.3
2.9
1.8

2.3
2.4
2.1
2.2

3.1
1.9
3.1
1.7

4.1
1.6
4.3
1.2

2.9
2.5
2.5
1.9

2.0
2.1
1.7
1.6

4.0
2.7
4.2
2.7

2.4
2.2
2.2
1.9

–1.0
1.8
–1.6
1.6

3.3
2.2
3.5
2.2

r
1.
2.
3.

Revised
Some components of final sales of computers include computer parts.
Farm output less intermediate goods and services purchased.
Consists of GDP less gross value added of farm, of households and institutions, and of general government.

–.9 –14.6

4. This index is a supplemental measure that is based on household expenditures for which there are observable
price measures. It excludes most implicit prices (for example, the services furnished without payment by financial
intermediaries) and the expenses of nonprofit institutions.
See ‘‘Explanatory Note’’ at the end of the tables.

Explanatory Note: NIPA Measures of Quantities and Prices
Current-dollar GDP is a measure of the market value of goods, services, and structures produced in the
economy in a particular period. Changes in current-dollar GDP can be decomposed into quantity and
price components. Quantities, or “real” measures, and prices are expressed as index numbers with the
reference year -- at present, the year 2000 -- equal to 100.
Annual changes in quantities and prices are calculated using a Fisher formula that incorporates weights
from two adjacent years. (Quarterly changes in quantities and prices are calculated using a Fisher
formula that incorporates weights from two adjacent quarters; quarterly indexes are adjusted for
consistency to the annual indexes before percent changes are calculated.) For example, the 2004-05
annual percent change in real GDP uses prices for 2004 and 2005 as weights, and the 2004-05 annual
percent change in GDP prices uses quantities for 2004 and 2005 as weights. These annual changes are
“chained” (multiplied) together to form time series of quantity and price indexes. Percent changes in
Fisher indexes are not affected by the choice of reference year. (BEA also publishes a measure of the
price level known as the implicit price deflator (IPD), which is calculated as the ratio of the current-dollar
value to the corresponding chained-dollar value, multiplied by 100. The values of the IPD are very close
to the values of the corresponding "chain-type" price index.)
Index numbers of quantity and price indexes for GDP and its major components are presented in this
release in tables 5 and 6. Percent changes from the preceding period are presented in tables 1, 4, 7, and 8.
Contributions by major components to changes in real GDP are presented in table 2.
Measures of real GDP and its major components are also presented in dollar-denominated form,
designated "chained (2000) dollar estimates." For most series, these estimates, which are presented in
table 3, are computed by multiplying the current-dollar value in 2000 by a corresponding quantity index
number and then dividing by 100. For example, if a current-dollar GDP component equaled $100 in 2000
and if real output for this component increased 10 percent in 2001, then the chained (2000) dollar value of
this component in 2001 would be $110 (= $100 x 110 / 100). Percent changes calculated from
chained-dollar estimates and from chain-type quantity indexes are the same; any differences will be small
and due to rounding.
Chained-dollar values for the detailed GDP components will not necessarily sum to the chained-dollar
estimate of GDP (or to any intermediate aggregate). This is because the relative prices used as weights
for any period other than the reference year differ from those of the reference year. A measure of the
extent of such differences is provided by a “residual” line, which indicates the difference between GDP
(or other major aggregate) and the sum of the most detailed components in the table. For periods close to
the reference year, when there usually has not been much change in the relative prices that are used as
weights, the residuals tend to be small, and the chained-dollar estimates can be used to approximate the
contributions to growth and to aggregate the detailed estimates. For periods further from the reference
year, the residuals tend to be larger, and the chained-dollar estimates are less useful for analyses of
contributions to growth. Thus, the contributions to percent change shown in table 2 provide a better
measure of the composition of GDP growth. In particular, for components for which relative prices are
changing rapidly, calculation of contributions using chained-dollar estimates may be misleading even just
a few years from the reference year.
Reference: “Chained-Dollar Indexes: Issues, Tips on Their Use, and Upcoming Changes,” November
2003 Survey, pp. 8-16.