The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
Gross Domestic Product
Second Quarter of 2017 (Second Estimate)
August 30, 2017
This technical note provides background information about the source data and estimating methods
used to produce the estimates presented in the GDP news release. The complete set of estimates for
the second quarter is available on BEA's Web site at www.bea.gov; a brief summary of "highlights" is
also posted on the Web site. BEA's source data and assumptions for the "second" estimate are shown in
a "Key Source Data and Assumptions" table on the BEA Web site. In a few weeks, the Survey of Current
Business, BEA’s online monthly journal, will publish a more detailed analysis of the estimates ("GDP and
the Economy").
Sources of Revision to Real GDP
Real GDP increased 3.0 percent (annual rate) in the second quarter of 2017, an upward revision of 0.4
percentage point from the "advance" estimate. The revision reflected upward revisions to consumer
spending and to nonresidential fixed investment that were partly offset by a downward revision to state
and local government spending.
The upward revision to consumer spending was accounted for by goods and services, most
notably, "other" services, motor vehicles and parts, and housing and utilities.
o Within "other" services, the revision was accounted for by cellular telephone services
reflecting newly available data from the Census Bureau Advance Quarterly Services
Report.
o The revision to motor vehicles and parts was to spending for used motor vehicles
reflecting revised Census Bureau Monthly Retail Trade Survey data.
o Within housing and utilities, the revision was accounted for by electricity and natural
gas reflecting revised and newly available Energy Information Administration data.
The upward revision to nonresidential fixed investment was primarily due to an upward revision
in intellectual property products, specifically to software, based on newly available data from
the Census Bureau Advance Quarterly Services Report.
The downward revision to state and local government spending reflected a downward revision
to gross investment in structures based on newly available and revised Census Bureau Value of
Construction Put in Place data.
Gross Domestic Income and Corporate Profits
Real gross domestic income (GDI), which measures output of the economy as the incomes earned and
costs incurred in the production of goods and services (as measured by GDP), increased 2.9 percent in
the second quarter. The average of real GDP and real GDI increased 3.0 percent.
Profits from current production increased $26.8 billion, or 1.3 percent (quarterly rate), in the second
quarter. Domestic profits of financial corporations decreased $29.4 billion, domestic profits of
nonfinancial corporations increased $64.8 billion, and rest-of-the-world profits decreased $8.6 billion.
Revisions to Wages and Salaries in the First Quarter
In addition to presenting revised estimates for the second quarter, today's release presents revised
estimates of first-quarter wages and salaries, personal taxes, and contributions for government social
insurance. Wages and salaries are now estimated to have increased $124.3 billion in the first quarter of
2017, an upward revision of $2.1 billion. These estimates reflect revised wage and salary tabulations for
the first quarter from the BLS Quarterly Census of Employment and Wages (QCEW). Real GDI is now
estimated to have increased 2.7 percent in the first quarter, an upward revision of 0.1 percentage point.
Upcoming Publication Changes
Beginning with the release of the advance estimate of GDP for the third quarter of 2017 (October 27,
2017), BEA will introduce several improvements to the publication of the National Income and Product
Accounts. These changes include accelerating the release of underlying detail and improved formatting
of data. Additional information, including a sample data file, will be posted to BEA’s website in early
September.
David B. Wasshausen
Chief, National Income and Wealth Division
Bureau of Economic Analysis
(301) 278-9752
-2-