Laspeyres price index. A fixed-weighted price index that is computed as the sum of base-period quantities valued at current-period prices divided by the sum of base-period quantities valued at base-period prices.
Leontief inversion approach. A mathematical technique which is used at BEA to estimate the input-output (I-O) total requirement coefficients and RIMS II multipliers. Related terms: total requirements table (commodity-by-commodity), total requirements table (industry-by-commodity).
LIFO. Last In, First Out
Local area personal income. Income that is received by, or on behalf of, all persons who live in the local area. It is calculated as the sum of wage and salary disbursements, supplements to wages and salaries, proprietors' income with inventory valuation adjustment (IVA) and capital consumption adjustment (CCAdj), rental income of persons with CCAdj, personal dividend income, personal interest income, and personal current transfer receipts, less contributions for government social insurance. Estimates of local area personal income are presented by the place of residence of the income recipients. All estimates of local area personal income are in current dollars (not adjusted for inflation). Related terms: state personal income, personal income.