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News Release: Gross Domestic Product and Corporate Profits

The tables in this release are available in an XLS spreadsheet and the entire release is available in PDF format.
Also available: a brief summary of highlights.

EMBARGOED UNTIL RELEASE AT 8:30 A.M. EST, TUESDAY, DECEMBER 23, 2003


Virginia H. Mannering:  (202) 606-5304   (GDP)                         BEA 03-52
Kenneth A. Petrick:     (202) 606-9738   (Profits)
Recorded message:       (202) 606-5306



         GROSS DOMESTIC PRODUCT:  THIRD QUARTER 2003 (FINAL)
          CORPORATE PROFITS:  THIRD QUARTER 2003 (REVISED)



    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 8.2 percent in the third quarter of 2003,
according to revised estimates released by the Bureau of Economic Analysis.  In the second quarter, real
GDP increased 3.1 percent.
 
    The GDP estimates released today are based on more complete source data than were available for
the preliminary estimates issued last month.  In the preliminary estimates, the increase in real GDP was 
also 8.2 percent (see "Revisions" on page 3).

    The major contributors to the increase in real GDP in the third quarter were personal consumption
expenditures (PCE), equipment and software, residential fixed investment, and exports.  Imports, which
are a subtraction in the calculation of GDP, increased.

    The acceleration in real GDP growth in the third quarter primarily reflected an acceleration in
PCE, a deceleration in imports, an upturn in exports, and accelerations in residential fixed investment
and in equipment and software that were partly offset by a downturn in federal national defense
spending. 

BOX
    This release presents revised estimates for the third quarter of 2003 that reflect the comprehensive
revision of the national income and product accounts that was released on December 10, 2003.  Regular
news release table 13 (Gross Value Added of Nonfinancial Corporate Business) and appendix table A
are not yet available; they will be posted later on BEA's Web site.

FOOTNOTE.--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 annualized.  "Real" estimates are in chained (2000)
dollars.  Price indexes are chain-type measures.

         This news release is available on BEA's Web site at <www.bea.gov/newsreleases/rels.htm>.


    Final sales of computers contributed 0.65 percentage point to the third-quarter change in real GDP
after contributing 0.25 percentage point to the second-quarter change. 

    The price index for gross domestic purchases, which measures prices paid by U.S. residents,
increased 1.8 percent in the third quarter, the same as the preliminary estimate; this index increased 0.4
percent in the second quarter. 

    Real personal consumption expenditures increased 6.9 percent in the third quarter, compared with
an increase of 3.3 percent in the second.  Real nonresidential fixed investment increased 12.8 percent,
compared with an increase of 7.0 percent.  Nonresidential structures decreased 1.8 percent, in contrast to
an increase of 3.9 percent.  Equipment and software increased 17.6 percent, compared with an increase
of 8.0 percent.  Real residential fixed investment increased 21.9 percent, compared with an increase of
4.5 percent.

    Real exports of goods and services increased 9.9 percent in the third quarter, in contrast to a
decrease of 1.1 percent in the second.  Real imports of goods and services increased 0.8 percent,
compared with an increase of 9.1 percent.

    Real federal government consumption expenditures and gross investment increased 1.2 percent in
the third quarter, compared with an increase of 23.5 percent in the second.  National defense decreased
1.3 percent, in contrast to an increase of 41.9 percent.  Nondefense increased 6.5 percent, in contrast to a
decrease of 5.0 percent.  Real state and local government consumption expenditures and gross
investment increased 2.1 percent, in contrast to a decrease of 0.8 percent.

    The real change in private inventories subtracted 0.13 percentage point from the third-quarter
change in real GDP, after subtracting 0.17 percentage point from the second-quarter change.  Private
businesses reduced inventories $9.1 billion in the third quarter, following a decrease of $4.5 billion in
the second quarter and an increase of $1.6 billion in the first.

    Real final sales of domestic product -- GDP less change in private inventories -- increased 8.3
percent in the third quarter, compared with an increase of 3.3 percent in the second.


Gross domestic purchases

    Real gross domestic purchases -- purchases by U.S. residents of goods and services wherever
produced -- increased 7.0 percent in the third quarter, compared with an increase of 4.3 percent in the
second. 


Gross national product

    Real gross national product -- the goods and services produced by the labor and property supplied
by U.S. residents -- increased 8.3 percent in the third quarter, compared with an increase of 3.3 percent
in the second.  GNP includes, and GDP excludes, net receipts of income from the rest of the world,
which increased $3.6 billion in the third quarter after increasing $4.8 billion in the second; in the third
quarter, receipts increased $10.5 billion, and payments increased $6.9 billion.


Current-dollar GDP

    Current-dollar GDP   the market value of the nation's output of goods and services -- increased
10.0 percent, or $260.3 billion, in the third quarter to a level of $11,107.0 billion.  In the second quarter,
current-dollar GDP increased 4.2 percent, or $110.9 billion.


Revisions

    The final estimate of the third-quarter increase in real GDP is the same as the preliminary
estimate, primarily reflecting an upward revision to personal consumption expenditures that was offset
by a downward revision to private inventory investment. 



                                              Advance     Preliminary      Final
                                           (Percent change from preceding quarter)
Real GDP.................................      7.2            8.2           8.2
Current-dollar GDP.......................      9.0           10.0          10.0
Gross domestic purchases price index.....      1.9            1.8           1.8
                                   


                           Corporate Profits

    Profits from current production (corporate profits with inventory valuation and capital
consumption adjustments) increased $101.4 billion in the third quarter, according to revised estimates. 
In the second quarter, profits increased $95.7 billion.  The revised estimate of the third-quarter increase
in corporate profits from current production is $4.1 billion lower than the preliminary estimate issued
last month.  Current-production cash flow (net cash flow with inventory valuation and capital
consumption adjustments) -- the internal funds available to corporations for investment -- increased
$77.2 billion in the third quarter, compared with an increase of $86.1 billion in the second.

     Taxes on corporate income increased $19.2 billion in the third quarter, in contrast to a decrease of
$2.5 billion in the second.  The patterns of taxes on corporate income for the second and third quarters
reflect the timing of provisions of the Jobs and Growth Tax Relief Reconciliation Act of 2003.  Profits
after tax with inventory valuation and capital consumption adjustments increased $82.4 billion in the
third quarter, after increasing $98.1 billion in the second.  Dividends increased $6.8 billion, compared
with an increase of $7.2 billion; undistributed profits increased $47.6 billion, in contrast to a decrease of
$21.2 billion.

    Domestic profits of financial corporations increased $19.6 billion in the third quarter, compared
with an increase of $11.2 billion in the second.  Domestic profits of nonfinancial corporations increased
$72.6 billion, compared with an increase of $84.7 billion in the second.  In the third quarter, domestic
profits of nonfinancial and financial corporations were revised down $11.2 billion and $0.7 billion,
respectively. 

    The foreign component of profits (rest-of-the-world profits) increased $9.2 billion in the third
quarter, $7.8 billion more than the preliminary estimates; the foreign component of profits decreased
$0.2 billion in the second quarter.  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 third-quarter increase was accounted for
by a larger increase in receipts than in payments.

    Profits before tax with inventory valuation adjustment is the best available measure of industry
profits because estimates of the capital consumption adjustment by industry do not exist.  This measure
reflects the depreciation-accounting practices used for federal income tax returns.  According to this
measure, domestic profits of financial corporations and domestic profits of nonfinancial corporations
increased.  The increase in the profits of nonfinancial corporations was widespread among major
industry groups with the largest increases occurring in manufacturing and information.



                                  
    BEA's major national, international, regional, and industry estimates; the Survey of Current
Business; and BEA news releases are available without charge on BEA's Web site:

                             <www.bea.gov>

    Summary BEA estimates are available on recorded messages at the time of public release at the
following telephone numbers:
    
               (202) 606-5306     Gross domestic product
               (202) 606-5303     Personal income and outlays
               (202) 606-5362     U.S. international transactions
    

    Most of BEA's estimates and analyses are published in the Survey of Current Business, BEA's
monthly journal.  Subscriptions and single copies of the printed Survey are for sale by the
Superintendent of Documents, U.S. Government Printing Office.  Internet:  <bookstore.gpo.gov>;
phone: 202-512-1800; fax: 202-512-2250; mail: Stop SSOP, Washington, DC 20402-0001.
                                   

                        *          *          *


         Next release -- January 30, 2004, at 8:30 A.M. EST for:
         Gross Domestic Product:  Fourth Quarter 2003 (Advance)
                                                                           
    

Release dates in 2004


Gross domestic product
                2003: IV and 2002 annual   2004:I      2004:II         2004:III
Advance......        January 30            April 29    July 30         October 29
Preliminary..        February 27           May 27      August 27       November 30
Final........        March 25              June 25     September 29    December 22

Corporate Profits
Preliminary..          ....                May 27      August 27       November 30
Final........        March 25              June 25     September 29    December 22


                                    Table 1.--Real Gross Domestic Product and Related Measures: Percent Change From Preceding Period
                                                             [Quarters seasonally adjusted at annual rates]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2000   2001   2002  IV 99   I 00  II 00 III 00  IV 00   I 01  II 01 III 01  IV 01   I 02  II 02 III 02  IV 02   I 03  II 03 III 03
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP).    3.7     .5    2.2    7.3    1.0    6.4    -.5    2.1    -.2    -.6   -1.3    2.0    4.7    1.9    3.4    1.3    2.0    3.1    8.2

Personal consumption expenditures...    4.7    2.5    3.4    5.0    6.5    2.5    3.9    3.4     .5    2.3    1.9    6.2    4.1    2.6    2.0    2.2    2.5    3.3    6.9
  Durable goods.....................    7.3    4.1    6.5    2.8   24.4   -9.5    6.0     .7    1.7    9.8     .7   27.3    1.6     .5    5.0     .3     .5   17.7   28.0
  Nondurable goods..................    3.8    1.9    3.0    9.3     .3    5.7    2.3    3.7     .4   -1.1    2.9    4.7    6.1     .4     .2    4.6    5.7    1.2    7.3
  Services..........................    4.5    2.4    3.0    3.5    6.0    3.9    4.3    3.9     .3    2.4    1.6    2.8    3.8    4.1    2.2    1.5    1.5    1.7    2.8

Gross private domestic investment...    5.7   -8.4   -1.2   15.7   -6.9   29.1   -9.9   -2.3  -11.1  -16.4   -8.5  -17.7   11.1    4.6   11.4    -.6   -3.5    4.7   14.8
  Fixed investment..................    6.5   -3.2   -3.7    2.1   11.5    9.5    -.6     .7   -2.7   -9.2   -5.2  -10.8   -2.5     .6     .6    2.1    1.1    6.1   15.8
    Nonresidential..................    8.7   -4.5   -7.2    1.0   14.3   14.8    2.2     .9   -4.5  -13.6   -8.4  -14.0   -7.0   -3.0   -1.1    -.1    -.6    7.0   12.8
      Structures....................    6.8   -2.5  -18.4    4.2    7.0   18.0    9.6    1.2   -5.9   -5.6    2.2  -35.3  -23.9  -14.5  -14.6   -5.6   -4.0    3.9   -1.8
      Equipment and software........    9.4   -5.2   -2.8     .0   16.9   13.7    -.2     .8   -4.0  -16.4  -12.2   -4.1    -.2    1.2    3.7    1.7     .5    8.0   17.6
    Residential.....................     .8     .4    4.9    5.0    4.1   -3.5   -8.0     .4    2.6    3.7    3.1   -2.5    8.7    8.9    4.2    6.8    4.5    4.5   21.9
  Change in private inventories.....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....

Net exports of goods and services...  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....
  Exports...........................    8.7   -5.2   -2.4   10.9    6.6   12.3   10.7   -2.7   -4.5  -13.4  -17.7   -9.8    4.4    8.7    4.3   -3.7   -2.0   -1.1    9.9
    Goods...........................   11.2   -6.1   -4.0   14.0    8.7   13.8   18.3   -5.4   -5.4  -18.1  -18.9   -7.6   -2.6   12.0    4.3   -9.1    1.9   -1.7    8.6
    Services........................    2.9   -3.1    1.4    3.8    1.4    8.5   -6.6    4.4   -2.0    -.6  -14.7  -15.0   22.8    1.6    4.5    9.4  -10.1     .2   12.7
  Imports...........................   13.1   -2.6    3.3    8.2   16.7   16.5   14.1   -1.6   -6.2   -8.6  -10.8   -3.8    8.4   17.1    4.1    8.2   -6.8    9.1     .8
    Goods...........................   13.5   -3.2    3.7    8.9   16.0   17.7   14.1   -1.6   -6.8  -12.2   -9.2   -3.2    6.3   21.9    4.8    7.4   -6.6   13.7   -1.5
    Services........................   11.1     .4    1.4    4.7   20.8   10.7   14.1   -1.9   -3.1   12.5  -18.2   -6.9   19.2   -3.6     .7   12.2   -7.5  -10.9   13.4

Government consumption expenditures
 and gross investment...............    2.1    2.8    3.8    6.6   -3.0    5.5   -2.1    1.3    5.8    5.8   -4.1    7.4    4.6    4.0    2.5    7.1    -.4    7.4    1.8
  Federal...........................     .9    3.7    7.9    9.5  -13.9   17.2   -8.2   -1.0    8.9    6.7     .0    9.9    8.4   10.5    3.9   18.2    -.2   23.5    1.2
    National defense................    -.5    3.9    8.9   10.1  -21.3   17.0   -7.4    1.7    7.7    2.6    2.4   14.2    8.2    9.5    4.5   22.1   -5.6   41.9   -1.3
    Nondefense......................    3.5    3.5    6.2    8.4    1.2   17.6   -9.7   -5.7   11.2   14.4   -4.3    2.6    8.7   12.2    2.9   11.4   10.5   -5.0    6.5
  State and local...................    2.7    2.2    1.8    5.1    3.2     .1    1.3    2.5    4.3    5.3   -6.1    6.1    2.7     .7    1.7    1.5    -.5    -.8    2.1

Addenda:
  Final sales of domestic product...    3.8    1.4    1.8    5.0    4.2    3.3    1.3    2.6    1.4     .7    -.7    3.2    2.6    1.3    1.8    1.7    2.7    3.3    8.3
  Gross domestic purchases..........    4.4     .7    2.8    7.1    2.5    7.2     .4    2.1    -.7    -.4    -.8    2.4    5.2    3.1    3.4    2.7    1.1    4.3    7.0
  Final sales to domestic
   purchasers.......................    4.5    1.6    2.4    4.8    5.6    4.2    2.1    2.6     .9     .9    -.3    3.6    3.2    2.5    1.8    3.1    1.8    4.5    7.2
  Gross national product (GNP)......    3.7     .5    2.1    7.7     .8    6.6    -.7    3.0   -1.3    -.6   -1.9    4.6    2.6    1.3    3.8    2.0    1.5    3.3    8.3
  Disposable personal income........    4.8    1.8    3.8    5.9    9.2    2.7    5.2     .6    -.3   -1.4   12.2   -4.4   10.6    4.1    -.9     .6    2.4    4.9    6.3

  Current-dollar measures:
    GDP.............................    5.9    2.9    3.8    9.1    4.7    8.3    1.6    3.8    2.9    2.6     .3    3.9    5.4    3.9    4.4    3.1    4.3    4.2   10.0
    Final sales of domestic product.    6.1    3.9    3.3    6.9    7.8    5.4    3.2    4.5    4.5    4.0     .9    4.8    3.8    2.8    3.3    3.5    5.1    4.4   10.1
    Gross domestic purchases........    7.0    2.7    4.2    9.4    6.6    8.9    2.9    3.7    1.9    1.9     .2    3.3    5.8    6.1    4.6    4.5    4.5    4.7    8.9
    Final sales to domestic
     purchasers.....................    7.2    3.6    3.8    7.3    9.7    6.1    4.5    4.4    3.5    3.3     .7    4.1    4.2    5.0    3.5    4.8    5.3    4.8    9.1
    GNP.............................    6.0    2.8    3.6    9.5    4.4    8.4    1.4    4.7    1.8    2.5    -.3    6.5    3.3    3.3    4.9    3.9    3.9    4.4   10.1
    Disposable personal income......    7.5    3.8    5.2    8.5   13.0    4.7    7.2    2.4    2.9    1.1   12.8   -4.1   11.4    7.2    1.1    2.3    5.3    5.4    8.1
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  See "Explanatory Note" at the end of the tables.

                                                Table 2.--Contributions to Percent Change in Real Gross Domestic Product
                                                             [Quarters seasonally adjusted at annual rates]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2000   2001   2002  IV 99   I 00  II 00 III 00  IV 00   I 01  II 01 III 01  IV 01   I 02  II 02 III 02  IV 02   I 03  II 03 III 03
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Percent change at annual rate:

    Gross domestic product..........    3.7     .5    2.2    7.3    1.0    6.4    -.5    2.1    -.2    -.6   -1.3    2.0    4.7    1.9    3.4    1.3    2.0    3.1    8.2

Percentage points at annual rates:

  Personal consumption expenditures.   3.17   1.68   2.38   3.47   4.38   1.78   2.62   2.29    .28   1.52   1.27   4.20   2.92   1.81   1.39   1.57   1.80   2.34   4.89

    Durable goods...................    .63    .36    .55    .25   1.96   -.89    .50    .06    .15    .80    .06   2.14    .14    .04    .43    .02    .04   1.38   2.23
      Motor vehicles and parts......    .15    .19    .18   -.45   1.31  -1.12    .28    .01    .04    .67   -.13   1.58   -.44   -.25    .29   -.33   -.16    .54   1.36
      Furniture and household
       equipment....................    .35    .18    .30    .46    .45    .19    .19    .07    .18    .16    .23    .40    .45    .23    .12    .24    .04    .54    .65
      Other.........................    .13   -.01    .08    .24    .19    .04    .03   -.02   -.07   -.02   -.04    .16    .13    .05    .02    .11    .17    .30    .21

    Nondurable goods................    .74    .37    .60   1.80    .06   1.11    .44    .72    .06   -.22    .57    .91   1.19    .07    .04    .90   1.13    .25   1.48
      Food..........................    .33    .12    .22    .77    .16    .39    .09    .14    .22   -.03    .02    .14    .56    .19    .03    .22    .63    .23    .71
      Clothing and shoes............    .16    .06    .15    .01    .27    .21    .19    .04   -.08    .01    .15    .19    .33    .01   -.01    .21    .09    .21    .27
      Gasoline, fuel oil, and other
       energy goods.................   -.01    .03    .04    .23   -.13   -.06   -.05    .25    .12   -.37    .09    .32    .10   -.20   -.09    .21    .08   -.40    .07
      Other.........................    .26    .15    .20    .79   -.23    .56    .21    .29   -.19    .17    .31    .27    .22    .07    .11    .25    .33    .20    .43

    Services........................   1.80    .96   1.23   1.43   2.36   1.55   1.67   1.51    .07    .94    .64   1.15   1.58   1.70    .92    .65    .63    .71   1.19
      Housing.......................    .29    .28    .29    .26    .32    .31    .27    .28    .33    .26    .21    .25    .35    .33    .28    .25    .26    .20    .25
      Household operation...........    .19    .00    .04   -.25    .12    .51    .16    .41   -.27   -.31   -.05   -.17    .18    .36   -.14    .04    .04   -.13    .14
        Electricity and gas.........    .05   -.02    .04   -.31   -.05    .33    .07    .40   -.15   -.49   -.04   -.13    .20    .27   -.05    .09    .01   -.21    .06
        Other household operation...    .14    .02    .00    .06    .18    .18    .08    .01   -.12    .17   -.01   -.04   -.02    .09   -.09   -.05    .03    .08    .08
      Transportation................    .08   -.02   -.05    .07    .12    .08   -.01    .01    .03   -.01   -.15   -.14    .10   -.05   -.12   -.09    .01   -.11   -.06
      Medical care..................    .40    .45    .63    .40    .37    .47    .41    .42    .35    .47    .62    .61    .75    .61    .51    .69    .59    .53    .60
      Recreation....................    .11    .06    .11    .09    .06    .14    .10    .04    .09   -.02    .06    .15    .19    .07    .05    .09    .00    .10    .08
      Other.........................    .72    .18    .20    .86   1.37    .05    .75    .34   -.45    .56   -.06    .45    .00    .38    .34   -.33   -.28    .13    .19

  Gross private domestic investment.    .99  -1.47   -.18   2.65  -1.30   4.65  -1.84   -.36  -1.96  -2.92  -1.39  -2.98   1.60    .69   1.66   -.09   -.57    .73   2.17

    Fixed investment................   1.09   -.54   -.60    .36   1.83   1.60   -.10    .13   -.45  -1.60   -.88  -1.83   -.41    .08    .08    .31    .16    .90   2.30
      Nonresidential................   1.06   -.56   -.82    .12   1.64   1.76    .28    .11   -.56  -1.76  -1.02  -1.71   -.81   -.33   -.12   -.01   -.06    .68   1.25
        Structures..................    .21   -.08   -.59    .13    .21    .53    .29    .04   -.20   -.19    .07  -1.36   -.77   -.41   -.40   -.14   -.10    .09   -.04
        Equipment and software......    .85   -.47   -.23    .00   1.44   1.23   -.02    .07   -.37  -1.57  -1.09   -.35   -.03    .09    .28    .13    .04    .59   1.30
          Information processing
           equipment and software...    .75   -.10    .02    .14   1.13    .96    .33    .58   -.20   -.84   -.58   -.15    .09    .37    .53   -.06    .64    .64   1.05
            Computers and peripheral
             equipment..............    .20    .02    .11   -.05    .22    .45    .12    .06    .16   -.22   -.26    .19    .22    .06    .28    .09    .21    .33    .39
            Software................    .20   -.04   -.04    .21    .17    .18    .02    .20   -.07   -.24   -.16   -.21   -.05    .09    .21   -.06    .18    .15    .24
            Other...................    .35   -.08   -.05   -.02    .74    .33    .19    .32   -.28   -.39   -.16   -.14   -.08    .21    .05   -.10    .26    .15    .41
          Industrial equipment......    .12   -.14   -.09    .00    .29    .14    .09   -.12    .04   -.53   -.30   -.22    .26   -.21    .00   -.04   -.10   -.02    .02
          Transportation equipment..   -.07   -.18   -.14   -.23   -.12    .04   -.31   -.36   -.27    .00   -.25    .24   -.34   -.24   -.26    .20   -.37   -.09   -.05
          Other equipment...........    .05   -.05   -.02    .09    .13    .09   -.13   -.03    .06   -.21    .04   -.21   -.04    .17    .00    .04   -.13    .05    .28
      Residential...................    .03    .02    .23    .23    .19   -.16   -.38    .02    .12    .16    .14   -.12    .40    .41    .20    .32    .22    .22   1.05

    Change in private inventories...   -.10   -.93    .41   2.30  -3.13   3.05  -1.74   -.49  -1.51  -1.32   -.51  -1.15   2.01    .61   1.58   -.40   -.74   -.17   -.13
      Farm..........................    .02    .02   -.03    .39   -.51    .88   -.36    .34    .03   -.34    .14   -.26    .39   -.64    .34   -.02    .15   -.09   -.03
      Nonfarm.......................   -.12   -.94    .44   1.91  -2.62   2.18  -1.38   -.83  -1.54   -.99   -.65   -.89   1.62   1.25   1.25   -.38   -.88   -.08   -.10

  Net exports of goods and services.   -.86   -.19   -.70    .01  -1.53   -.98   -.87   -.07    .46   -.25   -.42   -.50   -.65  -1.32   -.15  -1.47    .81  -1.34    .80

    Exports.........................    .93   -.58   -.24   1.13    .70   1.30   1.14   -.31   -.50  -1.54  -1.99  -1.02    .40    .80    .41   -.37   -.19   -.11    .92
      Goods.........................    .84   -.48   -.29   1.01    .65   1.03   1.36   -.45   -.44  -1.52  -1.50   -.54   -.19    .75    .28   -.64    .13   -.11    .56
      Services......................    .09   -.10    .04    .12    .05    .26   -.22    .14   -.06   -.02   -.48   -.47    .59    .05    .13    .27   -.31    .01    .36

    Imports.........................  -1.79    .39   -.45  -1.11  -2.23  -2.27  -2.01    .24    .96   1.29   1.57    .52  -1.05  -2.12   -.56  -1.10   1.00  -1.24   -.12
      Goods.........................  -1.55    .39   -.42  -1.01  -1.79  -2.03  -1.70    .19    .88   1.57   1.10    .35   -.66  -2.20   -.55   -.83    .81  -1.51    .18
      Services......................   -.25   -.01   -.03   -.11   -.44   -.24   -.32    .04    .08   -.28    .47    .16   -.39    .09   -.02   -.27    .19    .27   -.30

  Government consumption expenditures
   and gross investment.............    .36    .48    .69   1.17   -.56    .96   -.37    .22    .99   1.00   -.74   1.28    .85    .72    .46   1.29   -.07   1.36    .34

    Federal.........................    .05    .22    .48    .58   -.93    .96   -.51   -.07    .50    .38    .00    .57    .52    .64    .26   1.11   -.01   1.46    .09
      National defense..............   -.02    .15    .35    .39   -.92    .61   -.29    .06    .27    .10    .09    .53    .33    .38    .19    .85   -.25   1.58   -.06
        Consumption expenditures....   -.03    .13    .29    .41   -.88    .60   -.30    .11    .29    .00    .03    .50    .32    .22    .09    .93   -.19   1.39   -.20
        Gross investment............    .01    .02    .06   -.02   -.04    .01    .01   -.05   -.01    .10    .06    .02    .01    .15    .10   -.07   -.06    .19    .13
      Nondefense....................    .07    .07    .14    .18   -.01    .35   -.22   -.13    .23    .28   -.09    .04    .20    .27    .07    .26    .24   -.12    .15
       Consumption expenditures.....    .10    .07    .12    .05    .21    .28   -.13   -.06    .19    .19   -.02    .06    .14    .15    .13    .26    .25   -.26    .23
       Gross investment.............   -.03    .00    .02    .13   -.22    .07   -.09   -.07    .04    .09   -.07   -.02    .06    .11   -.06    .00   -.01    .14   -.08

    State and local.................    .31    .26    .21    .59    .36    .01    .15    .29    .49    .62   -.74    .71    .33    .08    .20    .18   -.06   -.10    .25
        Consumption expenditures....    .18    .20    .13    .26    .09    .16    .10    .21    .29    .22    .13    .21    .01    .17    .11    .19    .06   -.05   -.02
        Gross investment............    .13    .06    .08    .33    .28   -.15    .05    .08    .20    .40   -.88    .50    .31   -.09    .09   -.01   -.12   -.05    .27

Addenda:
    Goods...........................   1.46   -.71    .71   4.45   -.92   3.64  -1.19    .10  -1.17  -2.08  -1.40   1.38   2.54   -.37   2.12   -.92   1.37    .75   5.67
    Services........................   1.90   1.26   1.77   2.17   1.40   2.63    .80   1.95    .85   1.05    .77   1.61   2.25   2.38   1.37   2.02    .62   2.08   1.27
    Structures......................    .30   -.04   -.29    .68    .51    .15   -.07    .03    .09    .38   -.65  -1.00   -.08   -.10   -.13    .19   -.02    .26   1.27
    Motor vehicle output............  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....
    Final sales of computers........    .31    .14    .10   -.03    .52    .47    .10    .19    .45   -.20   -.19    .22    .06    .06    .35    .26    .26    .25    .65
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
See "Explanatory Note" at the end of the tables.

                                      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                                    Seasonally adjusted                Change from preceding
                                                          at annual rates                                        at annual rates                          period
                                            --------------------------------------------          --------------------------------------------  -------------------------
                                       2002   III 02    IV 02     I 03    II 03   III 03     2002   III 02    IV 02     I 03    II 03   III 03     2002    II 03   III 03
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
     Gross domestic product....... 10,480.8 10,542.0 10,623.7 10,735.8 10,846.7 11,107.0 10,083.0 10,128.4 10,160.8 10,210.4 10,288.3 10,493.1    216.4     77.9    204.8

Personal consumption expenditures.  7,385.3  7,428.2  7,501.2  7,600.7  7,673.6  7,836.3  7,140.4  7,159.2  7,198.9  7,244.1  7,304.0  7,426.6    235.8     59.9    122.6

  Durable goods...................    911.3    913.6    907.3    898.2    926.2    975.1    957.2    963.1    963.8    965.0  1,005.1  1,069.1     58.1     40.1     64.0
    Motor vehicles and parts......    418.1    421.1    410.4    402.1    414.5    447.2    423.3    427.8    419.0    414.5    429.5    466.9     17.9     15.0     37.4
    Furniture and household
     equipment....................    323.7    323.3    325.3    321.8    329.9    339.9    364.7    366.2    373.5    374.7    391.7    412.4     33.3     17.0     20.7
    Other.........................    169.4    169.1    171.6    174.3    181.8    188.0    170.2    170.1    173.0    177.6    185.9    191.4      7.8      8.3      5.5

  Nondurable goods................  2,086.0  2,090.5  2,119.2  2,175.7  2,170.8  2,230.0  2,043.6  2,038.8  2,061.8  2,090.5  2,096.9  2,134.3     60.3      6.4     37.4
    Food..........................  1,005.6  1,006.3  1,016.4  1,037.4  1,049.7  1,074.9    958.2    958.4    963.9    979.6    985.4  1,002.8     21.2      5.8     17.4
    Clothing and shoes............    304.4    301.9    306.4    304.8    307.5    315.1    319.1    317.6    323.4    325.7    331.9    339.5     15.6      6.2      7.6
    Gasoline, fuel oil, and other
     energy goods.................    180.4    183.2    193.0    222.4    196.9    209.2    199.3    195.1    201.0    203.1    192.9    194.7      4.5    -10.2      1.8
    Other.........................    595.6    599.0    603.4    611.1    616.7    630.8    567.3    567.5    573.8    582.2    587.4    598.3     19.3      5.2     10.9

  Services........................  4,388.0  4,424.1  4,474.7  4,526.8  4,576.6  4,631.2  4,141.8  4,159.4  4,175.4  4,190.7  4,208.4  4,237.2    119.4     17.7     28.8
    Housing.......................  1,144.6  1,152.9  1,167.7  1,181.5  1,191.4  1,204.9  1,061.9  1,065.7  1,071.7  1,078.0  1,082.8  1,088.7     28.0      4.8      5.9
    Household operation...........    408.2    409.9    412.9    422.6    424.2    428.5    394.5    394.7    395.6    396.6    393.4    396.8      4.3     -3.2      3.4
      Electricity and gas.........    152.3    152.8    156.0    163.1    163.9    165.8    145.2    145.7    147.9    148.0    143.1    144.5      4.0     -4.9      1.4
      Other household operation...    255.9    257.1    256.9    259.5    260.3    262.7    249.2    248.9    247.6    248.5    250.5    252.4       .0      2.0      1.9
    Transportation................    292.8    291.7    291.5    292.3    292.8    295.3    284.8    283.6    281.3    281.6    278.8    277.2     -4.8     -2.8     -1.6
    Medical care..................  1,202.7  1,212.3  1,239.8  1,263.1  1,289.2  1,315.1  1,132.1  1,137.8  1,154.8  1,169.3  1,182.4  1,196.9     61.2     13.1     14.5
    Recreation....................    303.3    305.2    309.7    312.6    317.2    321.3    284.8    285.3    287.5    287.5    290.1    291.9     10.4      2.6      1.8
    Other.........................  1,036.4  1,052.1  1,053.0  1,054.7  1,061.9  1,066.2    983.2    991.7    983.5    976.6    979.7    984.3     19.9      3.1      4.6

Gross private domestic investment.  1,589.2  1,608.2  1,614.7  1,605.3  1,624.3  1,689.1  1,572.0  1,598.2  1,595.8  1,581.6  1,599.9  1,656.1    -18.6     18.3     56.2

  Fixed investment................  1,583.9  1,579.7  1,594.6  1,606.2  1,630.1  1,699.5  1,565.8  1,565.4  1,573.5  1,577.7  1,601.4  1,661.0    -59.9     23.7     59.6
    Nonresidential................  1,080.2  1,073.4  1,074.3  1,071.8  1,086.9  1,124.4  1,092.6  1,089.1  1,088.9  1,087.3  1,105.8  1,139.5    -84.2     18.5     33.7
      Structures..................    266.3    259.4    256.3    256.1    259.2    259.8    249.0    242.4    239.0    236.5    238.8    237.7    -56.2      2.3     -1.1
      Equipment and software......    813.9    814.0    817.9    815.8    827.7    864.6    846.7    850.3    853.9    855.0    871.6    907.7    -24.6     16.6     36.1
        Information processing
         equipment and software...    421.3    429.4    424.1    436.2    451.2    477.0    459.3    470.0    468.2    487.2    506.4    537.7      1.7     19.2     31.3
          Computers and peripheral
           equipment..............     83.3     85.4     84.9     86.8     93.5    101.8    .....    .....    .....    .....    .....    .....    .....    .....    .....
          Software................    167.9    171.6    169.8    173.4    177.6    185.1    167.5    171.2    169.7    174.4    178.6    185.0     -4.3      4.2      6.4
          Other...................    170.1    172.4    169.3    175.9    180.1    190.2    177.1    179.8    177.1    184.3    188.6    200.2     -5.2      4.3     11.6
        Industrial equipment......    137.5    136.6    135.6    133.4    133.2    134.1    136.1    135.0    133.9    131.4    131.0    131.4     -8.9      -.4       .4
        Transportation equipment..    128.0    119.9    128.8    119.8    115.3    117.8    128.2    122.0    127.2    117.4    115.1    113.7    -14.4     -2.3     -1.4
        Other equipment...........    127.1    128.1    129.4    126.3    128.1    135.7    124.3    125.1    126.1    122.6    123.9    131.1     -2.1      1.3      7.2
    Residential...................    503.7    506.3    520.3    534.4    543.2    575.1    470.3    473.2    481.0    486.4    491.7    516.7     21.8      5.3     25.0

  Change in private inventories...      5.4     28.6     20.2      -.9     -5.8    -10.5      5.7     32.8     21.5      1.6     -4.5     -9.1     41.7     -6.1     -4.6
    Farm..........................     -3.4     -6.1     -4.8       .2     -2.7     -4.3     -3.3     -3.0     -3.5      1.2     -2.0     -2.8     -3.5     -3.2      -.8
    Nonfarm.......................      8.7     34.7     25.0     -1.2     -3.0     -6.2      9.3     36.0     25.4       .3     -2.4     -5.9       .0       .0       .0

Net exports of goods and services.   -426.3   -435.9   -476.1   -487.6   -505.5   -490.6   -470.6   -471.9   -511.5   -490.0   -526.0   -505.2    -72.5    -36.0     20.8

  Exports.........................  1,006.8  1,025.3  1,017.2  1,021.0  1,020.2  1,048.5  1,014.2  1,027.3  1,017.5  1,012.4  1,009.6  1,033.7    -24.8     -2.8     24.1
    Goods.........................    697.8    714.1    698.3    707.6    707.7    722.1    707.2    720.1    703.2    706.5    703.5    718.2    -29.3     -3.0     14.7
    Services......................    309.1    311.2    318.8    313.3    312.5    326.4    306.8    307.0    314.0    305.7    305.9    315.2      4.4       .2      9.3

  Imports.........................  1,433.1  1,461.3  1,493.3  1,508.5  1,525.7  1,539.0  1,484.7  1,499.2  1,529.0  1,502.5  1,535.7  1,538.9     47.6     33.2      3.2
    Goods.........................  1,190.3  1,217.1  1,240.8  1,254.2  1,272.4  1,275.6  1,248.4  1,265.2  1,288.1  1,266.2  1,307.4  1,302.4     44.7     41.2     -5.0
    Services......................    242.7    244.1    252.5    254.3    253.3    263.5    236.4    234.4    241.2    236.5    229.8    237.2      3.2     -6.7      7.4

Government consumption expenditures
 and gross investment.............  1,932.5  1,941.5  1,983.9  2,017.4  2,054.2  2,072.1  1,836.9  1,838.9  1,870.8  1,869.0  1,902.8  1,911.1     68.0     33.8      8.3

  Federal.........................    679.5    681.8    710.0    723.0    764.7    769.6    648.0    648.2    675.8    675.5    712.0    714.3     47.5     36.5      2.3
    National defense..............    438.3    439.3    461.1    463.3    507.3    507.2    418.8    418.1    439.5    433.2    472.8    471.2     34.1     39.6     -1.6
      Consumption expenditures....    382.7    380.9    404.6    408.6    447.5    443.7    362.2    358.9    382.0    377.3    411.8    406.9     28.2     34.5     -4.9
      Gross investment............     55.7     58.4     56.6     54.7     59.8     63.5     56.6     59.4     57.4     55.7     60.8     64.5      5.9      5.1      3.7
    Nondefense....................    241.2    242.5    248.9    259.7    257.4    262.4    229.2    230.1    236.4    242.4    239.3    243.1     13.4     -3.1      3.8
      Consumption expenditures....    208.1    209.5    216.1    227.3    221.4    228.5    196.3    197.2    203.6    209.9    203.4    209.3     11.3     -6.5      5.9
      Gross investment............     33.0     33.0     32.7     32.4     36.0     33.8     32.9     32.9     32.7     32.4     36.0     33.8      2.1      3.6     -2.2

  State and local.................  1,253.1  1,259.7  1,273.9  1,294.5  1,289.6  1,302.5  1,189.1  1,190.9  1,195.3  1,193.8  1,191.4  1,197.4     20.6     -2.4      6.0
      Consumption expenditures....  1,004.6  1,010.1  1,024.2  1,045.8  1,040.9  1,046.3    950.5    951.8    956.4    957.8    956.6    956.0     12.8     -1.2      -.6
      Gross investment............    248.4    249.6    249.7    248.7    248.7    256.2    238.6    239.2    239.0    236.0    234.7    241.5      7.8     -1.3      6.8

Residual..........................    .....    .....    .....    .....    .....    .....     -3.3     -4.6     -2.5     -4.5    -11.5    -27.4    .....    .....    .....

Addenda:
  Final sales of domestic product. 10,475.5 10,513.4 10,603.6 10,736.7 10,852.4 11,117.4 10,076.9 10,096.4 10,138.9 10,206.4 10,289.5 10,497.7    175.8     83.1    208.2
  Gross domestic purchases........ 10,907.1 10,977.9 11,099.9 11,223.4 11,352.2 11,597.5 10,551.5 10,598.0 10,668.0 10,697.6 10,809.9 10,995.4    286.5    112.3    185.5
  Final sales to domestic
   purchasers..................... 10,901.7 10,949.4 11,079.7 11,224.3 11,357.9 11,608.0 10,545.4 10,565.9 10,646.1 10,693.5 10,811.1 11,000.1    245.7    117.6    189.0

  Gross domestic product.......... 10,480.8 10,542.0 10,623.7 10,735.8 10,846.7 11,107.0 10,083.0 10,128.4 10,160.8 10,210.4 10,288.3 10,493.1    216.4     77.9    204.8
  Plus: Income receipts from
   the rest of the world..........    299.1    308.3    304.8    296.8    299.5    312.1    290.0    298.4    293.7    283.4    285.6    296.1    -23.0      2.2     10.5
  Less: Income payments to
   the rest of the world..........    277.6    289.9    266.9    269.0    266.2    274.3    268.3    279.4    256.1    256.4    253.8    260.7    -10.0     -2.6      6.9
  Equals: Gross national product.. 10,502.3 10,560.5 10,661.6 10,763.7 10,880.0 11,144.8 10,105.0 10,147.5 10,198.5 10,237.6 10,320.2 10,528.6    203.6     82.6    208.4

  Net domestic product............    .....    .....    .....    .....    .....    .....    .....    .....    .....    .....    .....    .....    .....    .....    .....
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  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 GDP, use table 2.
  See "Explanatory Note" at the end of the tables.

                              Table 4.--Price Indexes for Gross Domestic Product and Related Measures: Percent Change From Preceding Period
                                                             [Quarters seasonally adjusted at annual rates]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2000   2001   2002  IV 99   I 00  II 00 III 00  IV 00   I 01  II 01 III 01  IV 01   I 02  II 02 III 02  IV 02   I 03  II 03 III 03
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP).    2.2    2.4    1.5    1.9    3.4    2.0    1.9    1.8    3.2    3.2    1.6    1.6    1.1    1.5    1.5    1.7    2.3    1.1    1.6

Personal consumption expenditures...    2.5    2.0    1.4    2.4    3.5    2.0    1.9    1.8    3.2    2.5     .5     .4     .7    2.9    2.0    1.7    2.8     .5    1.8
  Durable goods.....................   -1.6   -1.9   -2.9   -2.1   -1.8    -.5   -2.5   -1.0   -1.3   -3.1   -2.8   -2.2   -3.5   -2.9   -3.0   -3.0   -4.4   -3.9   -4.0
  Nondurable goods..................    4.0    1.5     .5    3.5    5.2    3.7    3.4    1.4    1.3    3.7    -.9   -4.3    -.1    5.7    1.4    1.0    5.1   -2.1    3.8
  Services..........................    2.7    3.2    2.7    2.9    3.9    1.7    2.1    2.6    5.1    3.2    1.8    3.3    2.0    2.8    3.4    3.1    3.2    2.7    2.0

Gross private domestic investment...    1.0    1.1     .0     .6    2.0    1.2    1.9     .8     .3    1.3    2.3     .0    -.7    -.7   -1.0    1.6    1.3     .0    2.0
  Fixed investment..................    1.1    1.1     .1     .5    2.3    1.2    1.9     .9     .1    1.6    2.4     .0    -.8    -.7    -.7    1.7    1.9     .0    2.1
    Nonresidential..................    -.1    -.2    -.9    -.4     .6     .3    1.4     .0   -1.8     .2     .6   -1.2   -1.3   -1.5   -1.5     .4    -.3   -1.2    1.6
      Structures....................    3.9    5.5    1.4    3.4    4.8    3.6    4.5    5.0    6.5    6.9    6.3    1.2    -.9     .5     .3    1.1    3.8    1.1    2.7
      Equipment and software........   -1.3   -2.2   -1.7   -1.7    -.8    -.8     .4   -1.7   -4.7   -2.1   -1.6   -2.1   -1.4   -2.1   -2.1     .2   -1.6   -1.8    1.2
    Residential.....................    4.4    4.6    2.4    3.2    7.1    3.9    3.2    3.4    5.3    5.1    7.0    2.9     .3    1.1     .9    4.5    6.4    2.2    3.1
  Change in private inventories.....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....

Net exports of goods and services...  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....
  Exports...........................    1.7    -.4    -.4    1.9    2.7    2.1     .9     .4     .1   -1.2   -2.1   -3.6   -1.2    2.9    3.3     .6    3.6     .8    1.6
    Goods...........................    1.1    -.7    -.7    2.2    1.3    1.6     .3     .4    -.1   -1.6   -2.6   -3.8   -1.4    2.1    3.3     .6    3.5    1.7    -.2
    Services........................    3.1     .4     .3    1.2    6.2    3.5    2.5     .6     .6    -.3   -1.0   -3.0    -.9    4.6    3.2     .6    3.8   -1.3    5.7
  Imports...........................    4.2   -2.5   -1.0    5.4    5.9     .7    4.2     .7   -2.8   -6.0   -5.3   -9.8   -1.6   10.5    3.7     .8   11.7   -4.1    2.7
    Goods...........................    4.8   -3.0   -1.7    6.3    6.8    1.2    4.5     .8   -3.7   -6.6   -6.6  -11.1   -2.1   10.7    2.7     .5   11.8   -6.8    2.6
    Services........................    1.4     .2    2.5    1.1    1.3   -2.0    2.5     .3    2.1   -3.0    1.4   -2.9     .7    9.3    8.6    2.0   11.3   10.4    3.3

Government consumption expenditures
 and gross investment...............    4.1    2.6    2.6    3.9    6.6    1.7    4.5    2.7    2.7    2.2    2.0    1.4    3.6    3.3    2.2    1.8    7.3     .1    1.7
  Federal...........................    3.2    2.1    2.7    2.7    7.2   -1.1    5.0    1.6    2.0    1.6    2.4    1.7    5.9    2.3    1.2    -.5    7.7    1.4    1.3
    National defense................    3.2    2.2    2.5    2.1    8.2    -.2    3.6     .9    3.6    1.6    2.4     .8    5.2    2.3    1.8    -.6    8.0    1.2    1.3
    Nondefense......................    3.2    1.9    3.2    3.9    5.4   -2.6    7.5    2.7    -.7    1.8    2.3    3.6    7.3    2.1     .2    -.4    7.2    1.6    1.3
  State and local...................    4.5    2.9    2.5    4.5    6.3    3.2    4.2    3.2    3.0    2.5    1.8    1.3    2.4    3.8    2.7    3.0    7.1    -.7    2.0

Addenda:
  Final sales of domestic product...    2.2    2.4    1.5    1.9    3.4    2.0    1.9    1.8    3.1    3.2    1.6    1.6    1.1    1.4    1.5    1.8    2.4    1.1    1.6
  Gross domestic purchases..........    2.5    2.0    1.4    2.3    3.8    1.8    2.3    1.8    2.6    2.3    1.0     .5    1.0    2.4    1.6    1.7    3.4     .4    1.8
  Final sales to domestic
   purchasers.......................    2.5    2.0    1.4    2.3    3.8    1.8    2.3    1.8    2.6    2.3    1.0     .5     .9    2.4    1.6    1.7    3.5     .4    1.8
  Gross national product (GNP)......    2.2    2.4    1.5    1.9    3.3    2.0    1.9    1.8    3.2    3.1    1.6    1.6    1.1    1.5    1.5    1.7    2.3    1.1    1.7

  Implicit price deflators:
    GDP.............................    2.2    2.4    1.5    1.7    3.6    1.7    2.1    1.6    3.1    3.2    1.6    1.9     .7    1.9    1.0    1.8    2.3    1.1    1.6
    Gross domestic purchases........    2.5    2.0    1.4    2.2    4.1    1.6    2.5    1.6    2.6    2.3    1.0     .8     .6    2.9    1.2    1.8    3.4     .4    1.8
    GNP.............................    2.2    2.4    1.5    1.7    3.6    1.7    2.1    1.6    3.1    3.2    1.6    1.9     .7    2.0    1.0    1.8    2.3    1.1    1.6
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
See "Explanatory Note" at the end of the tables.

                                      Table 5.--Real Gross Domestic Product, Quantity Indexes
                                                     [Index numbers, 2000=100]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                   Seasonally adjusted
                                                                                ---------------------------------------------------
                                                  2000       2001       2002     III 02      IV 02       I 03      II 03     III 03
-----------------------------------------------------------------------------------------------------------------------------------
        Gross domestic product.............    100.000    100.506    102.710    103.172    103.502    104.008    104.801    106.887

Personal consumption expenditures..........    100.000    102.452    105.951    106.229    106.819    107.489    108.378    110.197
  Durable goods............................    100.000    104.144    110.868    111.557    111.638    111.779    116.420    123.834
  Nondurable goods.........................    100.000    101.852    104.949    104.703    105.885    107.358    107.685    109.607
  Services.................................    100.000    102.382    105.420    105.869    106.276    106.664    107.115    107.849

Gross private domestic investment..........    100.000     91.650     90.580     92.090     91.953     91.135     92.186     95.424
  Private fixed investment.................    100.000     96.826     93.258     93.238     93.718     93.968     95.378     98.932
    Nonresidential.........................    100.000     95.517     88.683     88.399     88.378     88.248     89.751     92.485
      Structures...........................    100.000     97.465     79.492     77.412     76.304     75.523     76.244     75.906
      Equipment and software...............    100.000     94.825     92.144     92.536     92.927     93.047     94.851     98.779
    Residential............................    100.000    100.351    105.228    105.884    107.629    108.828    110.021    115.616
  Change in private inventories............      .....      .....      .....      .....      .....      .....      .....      .....

Exports of goods and services..............    100.000     94.773     92.512     93.709     92.818     92.353     92.097     94.290

Imports of goods and services..............    100.000     97.377    100.609    101.587    103.610    101.810    104.059    104.277

Government consumption expenditures and
 gross investment..........................    100.000    102.750    106.697    106.814    108.666    108.563    110.527    111.008
  Federal..................................    100.000    103.746    111.958    111.986    116.764    116.713    123.025    123.406
  State and local..........................    100.000    102.248    104.047    104.207    104.593    104.463    104.248    104.779

Addenda:
  Final sales of domestic product..........    100.000    101.441    103.242    103.442    103.877    104.569    105.420    107.553
  Gross domestic purchases.................    100.000    100.672    103.482    103.938    104.625    104.915    106.016    107.836
  Final sales to domestic purchasers.......    100.000    101.575    103.998    104.201    104.992    105.459    106.619    108.483
  Gross national product...................    100.000    100.462    102.527    102.959    103.476    103.873    104.711    106.825
-----------------------------------------------------------------------------------------------------------------------------------
See "Explanatory Note" at the end of the tables.

                                        Table 6.--Price Indexes for Gross Domestic Product
                                                     [Index numbers, 2000=100]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                   Seasonally adjusted
                                                                                ---------------------------------------------------
                                                  2000       2001       2002     III 02      IV 02       I 03      II 03     III 03
-----------------------------------------------------------------------------------------------------------------------------------
        Gross domestic product.............    100.000    102.376    103.949    104.123    104.571    105.163    105.440    105.870

Personal consumption expenditures..........    100.000    102.039    103.429    103.761    104.203    104.927    105.065    105.522
  Durable goods............................    100.000     98.086     95.208     94.855     94.136     93.074     92.147     91.207
  Nondurable goods.........................    100.000    101.530    102.075    102.538    102.789    104.079    103.529    104.488
  Services.................................    100.000    103.168    105.946    106.371    107.174    108.028    108.758    109.306

Gross private domestic investment..........    100.000    101.070    101.119    100.852    101.259    101.586    101.589    102.093
  Private fixed investment.................    100.000    101.087    101.155    100.908    101.341    101.808    101.796    102.319
    Nonresidential.........................    100.000     99.770     98.859     98.554     98.658     98.579     98.293     98.678
      Structures...........................    100.000    105.518    106.974    106.975    107.274    108.268    108.559    109.288
      Equipment and software...............    100.000     97.786     96.121     95.730     95.781     95.404     94.961     95.251
    Residential............................    100.000    104.628    107.105    106.998    108.184    109.881    110.485    111.321
  Change in private inventories............      .....      .....      .....      .....      .....      .....      .....      .....

Exports of goods and services..............    100.000     99.628     99.273     99.812     99.964    100.842    101.044    101.434

Imports of goods and services..............    100.000     97.537     96.519     97.503     97.694    100.435     99.381    100.042

Government consumption expenditures and
 gross investment..........................    100.000    102.587    105.207    105.590    106.055    107.951    107.966    108.433
  Federal..................................    100.000    102.065    104.858    105.199    105.066    107.032    107.399    107.755
  State and local..........................    100.000    102.853    105.382    105.785    106.580    108.435    108.246    108.778

Addenda:
  Final sales of domestic product..........    100.000    102.381    103.955    104.132    104.585    105.198    105.474    105.906
  Gross domestic purchases.................    100.000    101.974    103.374    103.625    104.065    104.934    105.031    105.496
  Final sales to domestic purchasers.......    100.000    101.978    103.379    103.633    104.077    104.968    105.062    105.531
  Gross national product...................    100.000    102.372    103.936    104.108    104.556    105.156    105.438    105.872

  Implicit price deflators:
    Gross domestic product.................    100.000    102.373    103.945    104.084    104.556    105.146    105.427    105.851
    Final sales of domestic product........    100.000    102.381    103.955    104.130    104.583    105.196    105.471    105.904
    Gross domestic purchases...............    100.000    101.971    103.370    103.585    104.048    104.915    105.017    105.476
    Final sales to domestic purchasers.....    100.000    101.978    103.379    103.629    104.072    104.964    105.058    105.526
    Gross national product.................    100.000    102.368    103.932    104.069    104.541    105.138    105.425    105.853
-----------------------------------------------------------------------------------------------------------------------------------
See "Explanatory Note" at the end of the tables.

                                               Table 7.--Real Gross Domestic Product: Percent Change from Preceding Year
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                           1987    1988    1989    1990    1991    1992    1993    1994    1995    1996    1997    1998    1999    2000    2001    2002
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP)....     3.4     4.1     3.5     1.9     -.2     3.3     2.7     4.0     2.5     3.7     4.5     4.2     4.5     3.7      .5     2.2

Personal consumption expenditures......     3.3     4.1     2.8     2.0      .2     3.3     3.3     3.7     2.7     3.4     3.8     5.0     5.1     4.7     2.5     3.4
  Durable goods........................     1.7     6.0     2.2     -.3    -5.6     5.9     7.8     8.4     4.4     7.8     8.6    11.3    11.7     7.3     4.1     6.5
  Nondurable goods.....................     2.4     3.3     2.8     1.6     -.2     2.0     2.7     3.5     2.2     2.6     2.7     4.0     4.6     3.8     1.9     3.0
  Services.............................     4.3     4.0     3.0     2.9     1.7     3.5     2.8     2.9     2.6     2.9     3.3     4.2     4.0     4.5     2.4     3.0

Gross private domestic investment......     3.1     2.4     4.0    -3.4    -8.1     8.1     8.9    13.6     3.1     8.9    12.4     9.8     7.8     5.7    -8.4    -1.2
  Fixed investment.....................      .6     3.3     3.0    -2.1    -6.5     5.9     8.6     9.3     6.5     9.0     9.2    10.2     8.3     6.5    -3.2    -3.7
    Nonresidential.....................     -.1     5.2     5.6      .5    -5.4     3.2     8.7     9.2    10.5     9.3    12.1    11.1     9.2     8.7    -4.5    -7.2
      Structures.......................    -2.9      .6     2.0     1.5   -11.1    -6.0     -.7     1.8     6.4     5.6     7.3     5.1     -.4     6.8    -2.5   -18.4
      Equipment and software...........     1.4     7.5     7.3      .0    -2.6     7.3    12.5    11.9    12.0    10.6    13.8    13.3    12.7     9.4    -5.2    -2.8
    Residential........................     2.0    -1.0    -3.0    -8.6    -9.6    13.8     8.2     9.6    -3.2     8.0     1.9     7.6     6.0      .8      .4     4.9
  Change in private inventories........   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....

Net exports of goods and services......   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....
  Exports..............................    10.8    16.0    11.5     9.0     6.6     6.9     3.2     8.7    10.1     8.4    11.9     2.4     4.3     8.7    -5.2    -2.4
    Goods..............................    11.1    18.8    11.9     8.4     6.9     7.5     3.3     9.7    11.7     8.8    14.3     2.2     3.8    11.2    -6.1    -4.0
    Services...........................    10.1     9.0    10.3    10.5     6.0     5.5     3.2     6.3     6.3     7.2     5.9     2.9     5.6     2.9    -3.1     1.4
  Imports..............................     5.9     3.9     4.4     3.6     -.6     7.0     8.8    11.9     8.0     8.7    13.6    11.6    11.5    13.1    -2.6     3.3
    Goods..............................     4.6     4.0     4.3     3.0     -.1     9.3    10.1    13.3     9.0     9.3    14.4    11.7    12.4    13.5    -3.2     3.7
    Services...........................    11.7     3.4     4.9     6.5    -2.6    -2.6     2.9     5.7     3.3     5.5     9.4    11.4     6.9    11.1      .4     1.4

Government consumption expenditures
 and gross investment..................     2.5     1.3     2.6     3.2     1.1      .5     -.9      .0      .5     1.0     1.9     1.9     3.9     2.1     2.8     3.8
  Federal..............................     3.6    -1.6     1.5     2.0     -.2    -1.7    -4.2    -3.7    -2.7    -1.2    -1.0    -1.1     2.2      .9     3.7     7.9
    National defense...................     4.7     -.5     -.5      .0    -1.1    -5.0    -5.6    -4.9    -3.8    -1.4    -2.8    -2.1     1.9     -.5     3.9     8.9
    Nondefense.........................      .3    -5.1     8.3     8.3     2.4     6.9     -.7    -1.2     -.4     -.7     2.6      .7     2.8     3.5     3.5     6.2
  State and local......................     1.5     3.7     3.4     4.1     2.1     2.2     1.4     2.6     2.6     2.3     3.6     3.6     4.7     2.7     2.2     1.8

Addenda:
  Final sales of domestic product......     3.0     4.3     3.4     2.1      .1     3.0     2.6     3.4     3.0     3.7     4.0     4.2     4.5     3.8     1.4     1.8
  Gross domestic purchases.............     3.1     3.2     3.0     1.4     -.8     3.3     3.2     4.4     2.4     3.8     4.8     5.3     5.3     4.4      .7     2.8
  Final sales to domestic purchasers...     2.7     3.4     2.8     1.6     -.6     3.1     3.2     3.8     2.8     3.8     4.3     5.3     5.4     4.5     1.6     2.4
  Gross national product...............     3.3     4.2     3.5     2.0     -.3     3.3     2.7     3.9     2.6     3.7     4.4     4.0     4.6     3.7      .5     2.1
  Real disposable personal income......     1.7     4.3     2.8     1.9      .5     3.4     1.0     2.7     2.8     3.0     3.5     5.8     3.0     4.8     1.8     3.8

  Price indexes:
    Gross domestic purchases...........     3.1     3.4     3.8     4.1     3.3     2.3     2.2     2.1     2.1     1.8     1.4      .6     1.6     2.5     2.0     1.4
    Gross domestic purchases excluding
     food and energy...................     3.1     3.5     3.7     4.0     3.3     2.5     2.3     2.1     2.1     1.7     1.3     1.0     1.4     1.9     1.9     1.7
    GDP................................     2.7     3.4     3.8     3.9     3.5     2.3     2.3     2.1     2.0     1.9     1.7     1.1     1.4     2.2     2.4     1.5
    GDP excluding food and energy......     2.8     3.4     3.6     3.7     3.6     2.5     2.4     2.2     2.1     1.7     1.7     1.2     1.5     2.0     2.1     1.8
    Personal consumption expenditures..     3.5     4.0     4.4     4.6     3.6     2.9     2.3     2.1     2.1     2.2     1.7      .9     1.7     2.5     2.0     1.4
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------

                                            Table 8.--Real Gross Domestic Product: Percent Change From Quarter One Year Ago
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                          IV 99    I 00   II 00  III 00   IV 00    I 01   II 01  III 01   IV 01    I 02   II 02  III 02   IV 02    I 03   II 03  III 03
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP)....     4.7     4.1     4.8     3.5     2.2     1.9      .2      .0      .0     1.2     1.8     3.0     2.8     2.1     2.4     3.6

Personal consumption expenditures......     4.9     5.5     4.6     4.5     4.1     2.6     2.5     2.0     2.7     3.6     3.7     3.7     2.7     2.3     2.5     3.7
  Durable goods........................     7.3    13.7     5.9     5.2     4.7     -.4     4.5     3.2     9.4     9.3     7.0     8.1     1.8     1.5     5.6    11.0
  Nondurable goods.....................     4.9     3.7     4.1     4.3     3.0     3.0     1.3     1.5     1.7     3.1     3.5     2.8     2.8     2.7     2.9     4.7
  Services.............................     4.4     4.7     4.5     4.4     4.5     3.1     2.7     2.0     1.8     2.6     3.1     3.2     2.9     2.3     1.7     1.9

Gross private domestic investment......     9.3     4.4    11.2     5.8     1.4      .3   -10.1    -9.7   -13.5    -8.6    -3.3     1.6     6.5     2.8     2.8     3.6
  Fixed investment.....................     6.6     7.8     7.7     5.5     5.1     1.6    -3.0    -4.2    -7.0    -7.0    -4.6    -3.1      .2     1.1     2.4     6.1
    Nonresidential.....................     7.7     9.4     9.9     7.9     7.8     3.1    -4.0    -6.5   -10.2   -10.8    -8.2    -6.4    -2.8    -1.2     1.3     4.6
      Structures.......................     -.9     2.7     6.3     9.6     8.8     5.3     -.4    -2.1   -12.4   -17.0   -19.0   -22.6   -14.9    -9.8    -5.3    -1.9
      Equipment and software...........    10.8    11.7    11.1     7.3     7.5     2.4    -5.2    -8.2    -9.4    -8.5    -4.0      .1     1.6     1.8     3.4     6.7
    Residential........................     3.6     3.7     1.9     -.7    -1.9    -2.2     -.4     2.4     1.7     3.2     4.4     4.7     7.1     6.1     5.0     9.2
  Change in private inventories........   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....

Net exports of goods and services......   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....
  Exports..............................     5.6     8.2    10.2    10.1     6.5     3.7    -2.8    -9.8   -11.5    -9.5    -4.2     1.6     3.3     1.7     -.7      .6
    Goods..............................     5.7    10.2    12.6    13.7     8.5     4.8    -3.5   -12.2   -12.7   -12.1    -4.9     1.2      .8     2.0    -1.3     -.3
    Services...........................     5.3     3.6     4.5     1.6     1.8      .9    -1.3    -3.5    -8.3    -3.0    -2.5     2.6     9.3     1.1      .7     2.6
  Imports..............................    12.1    13.6    14.0    13.8    11.2     5.2     -.9    -6.8    -7.4    -4.0     2.2     6.2     9.4     5.3     3.5     2.6
    Goods..............................    13.3    14.3    14.6    14.1    11.3     5.3    -2.1    -7.5    -7.9    -4.8     3.3     7.1     9.9     6.4     4.6     2.9
    Services...........................     6.6    10.1    11.1    12.4    10.6     4.7     5.1    -3.3    -4.5      .5    -3.3     1.9     6.7      .2    -1.8     1.2

Government consumption expenditures
 and gross investment..................     4.2     2.7     3.5     1.7      .4     2.6     2.7     2.1     3.6     3.3     2.9     4.6     4.5     3.3     4.1     3.9
  Federal..............................     4.2      .9     4.6      .3    -2.2     3.8     1.4     3.6     6.3     6.2     7.1     8.2    10.1     7.9    10.9    10.2
    National defense...................     4.3     -.4     3.6    -1.6    -3.5     4.4     1.0     3.6     6.6     6.8     8.5     9.1    10.9     7.2    14.4    12.7
    Nondefense.........................     4.1     3.4     6.3     3.9      .3     2.7     2.0     3.5     5.7     5.1     4.6     6.5     8.7     9.2     4.7     5.6
  State and local......................     4.2     3.6     2.9     2.4     1.7     2.0     3.3     1.4     2.3     1.9      .8     2.8     1.6      .8      .5      .5

Addenda:
  Final sales of domestic product......     4.2     4.6     4.2     3.5     2.9     2.2     1.5     1.0     1.1     1.4     1.6     2.2     1.8     1.9     2.4     4.0
  Gross domestic purchases.............     5.5     4.9     5.5     4.2     3.0     2.2      .3      .0      .1     1.6     2.5     3.5     3.6     2.6     2.8     3.8
  Final sales to domestic purchasers...     5.1     5.4     4.9     4.2     3.6     2.4     1.6     1.0     1.3     1.8     2.2     2.8     2.7     2.3     2.8     4.1
  Gross national product...............     4.9     4.1     4.8     3.5     2.4     1.8      .1     -.2      .2     1.1     1.6     3.1     2.4     2.2     2.7     3.8
  Real disposable personal income......     2.8     4.4     4.9     5.7     4.4     2.0     1.0     2.6     1.3     4.0     5.4     2.2     3.5     1.6     1.7     3.5

  Price indexes:
    Gross domestic purchases...........     2.0     2.6     2.5     2.5     2.4     2.1     2.3     1.9     1.6     1.2     1.2     1.4     1.7     2.3     1.8     1.8
    Gross domestic purchases excluding
     food and energy...................     1.5     1.9     1.8     1.9     1.8     1.7     1.8     1.9     2.1     1.8     1.7     1.6     1.4     1.6     1.4     1.3
    GDP................................     1.6     2.1     2.1     2.3     2.2     2.2     2.5     2.4     2.4     1.9     1.4     1.4     1.4     1.7     1.6     1.7
    GDP excluding food and energy......     1.7     2.1     2.0     2.1     2.0     1.8     2.0     2.1     2.3     2.1     1.9     1.8     1.5     1.6     1.4     1.3
    Personal consumption expenditures..     2.1     2.7     2.5     2.4     2.3     2.2     2.3     2.0     1.6     1.0     1.1     1.5     1.8     2.4     1.8     1.7
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------

                     Table 9.--Relation of Gross Domestic Product, Gross National Product, and National Income
                                                       [Billions of dollars]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                         Seasonally adjusted at annual rates
                                                                                ---------------------------------------------------
                                                  2000       2001       2002     III 02      IV 02       I 03      II 03     III 03
-----------------------------------------------------------------------------------------------------------------------------------
Gross domestic product.....................    9,817.0   10,100.8   10,480.8   10,542.0   10,623.7   10,735.8   10,846.7   11,107.0

Plus: Income receipts from the rest of the
 world.....................................      382.7      319.0      299.1      308.3      304.8      296.8      299.5      312.1
Less: Income payments to the rest of the
 world.....................................      343.7      283.8      277.6      289.9      266.9      269.0      266.2      274.3

Equals: Gross national product.............    9,855.9   10,135.9   10,502.3   10,560.5   10,661.6   10,763.7   10,880.0   11,144.8

Less: Consumption of fixed capital.........    1,187.8    1,266.9    1,288.6    1,295.8    1,300.4    1,305.7    1,303.4    1,309.1
Less: Statistical discrepancy..............     -127.2     -112.2      -77.2      -50.3      -15.7       23.2       -8.3       54.0

Equals: National income....................    8,795.2    8,981.2    9,290.8    9,314.9    9,376.9    9,434.8    9,584.9    9,781.7
  Compensation of employees................    5,782.7    5,940.4    6,019.1    6,031.1    6,058.0    6,115.8    6,164.8    6,213.6
    Wage and salary accruals...............    4,829.2    4,942.9    4,974.6    4,980.9    4,999.1    5,034.6    5,070.8    5,104.1
    Supplements to wages and salaries......      953.4      997.6    1,044.5    1,050.2    1,058.8    1,081.2    1,093.9    1,109.6
  Proprietors' income with inventory
   valuation and capital consumption
   adjustments.............................      728.4      770.6      797.7      803.2      812.2      813.5      838.8      860.9
  Rental income of persons with capital
   consumption adjustment..................      150.3      163.1      173.0      172.7      159.0      163.2      153.4      157.0
  Corporate profits with inventory
   valuation and capital consumption
   adjustments.............................      817.9      770.4      904.2      899.8      934.9      927.1    1,022.8    1,124.2
  Net interest and miscellaneous payments..      559.0      568.4      582.4      585.7      589.7      589.3      581.7      579.9
  Taxes on production and imports less
   subsidies...............................      664.6      674.5      721.8      729.1      732.8      729.4      725.2      745.2
  Business current transfer payments.......       87.1       92.5       89.8       87.8       86.2       90.1       92.5       97.1
  Current surplus of government
   enterprises.............................        5.3        1.2        2.8        5.4        4.1        6.3        5.8        3.7

Addendum:
  Gross domestic income....................    9,944.1   10,213.0   10,558.0   10,592.3   10,639.4   10,712.7   10,855.0   11,053.0
-----------------------------------------------------------------------------------------------------------------------------------

                                          Table 10.--Personal Income and Its Disposition
                                                       [Billions of dollars]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                         Seasonally adjusted at annual rates
                                                                                ---------------------------------------------------
                                                  2000       2001       2002     III 02      IV 02       I 03      II 03     III 03
-----------------------------------------------------------------------------------------------------------------------------------
Personal income\1\.........................    8,429.7    8,713.1    8,910.3    8,944.0    8,981.3    9,048.7    9,145.9    9,242.5

  Compensation of employees, received......    5,782.7    5,940.4    6,019.1    6,031.1    6,058.0    6,114.4    6,166.2    6,213.6
    Wage and salary disbursements..........    4,829.2    4,942.9    4,974.6    4,980.9    4,999.1    5,033.2    5,072.2    5,104.1
    Supplements to wages and salaries......      953.4      997.6    1,044.5    1,050.2    1,058.8    1,081.2    1,093.9    1,109.6
  Proprietors' income with inventory
   valuation and capital consumption
   adjustments.............................      728.4      770.6      797.7      803.2      812.2      813.5      838.8      860.9
    Farm...................................       22.7       25.0       14.3       13.5       16.3       13.0       20.0       21.5
    Nonfarm................................      705.7      745.6      783.4      789.7      795.9      800.5      818.8      839.4
  Rental income of persons with capital
   consumption adjustment..................      150.3      163.1      173.0      172.7      159.0      163.2      153.4      157.0
  Personal income receipts on assets.......    1,387.0    1,374.9    1,378.5    1,387.5    1,392.0    1,388.6    1,390.2    1,389.2
    Personal interest income...............    1,011.0    1,003.7      982.4      985.3      981.2      970.6      964.9      957.0
    Personal dividend income...............      376.1      371.2      396.2      402.2      410.8      418.0      425.3      432.2
  Personal current transfer receipts.......    1,084.0    1,192.6    1,292.2    1,301.6    1,315.6    1,337.6    1,369.7    1,398.7

  Less: Contributions for government
   social insurance........................      702.7      728.5      750.3      752.1      755.5      768.7      772.3      776.9

Less: Personal current taxes...............    1,235.7    1,243.7    1,053.1    1,053.0    1,045.6    1,009.4    1,000.2      936.0

Equals: Disposable personal income.........    7,194.0    7,469.4    7,857.2    7,891.0    7,935.6    8,039.2    8,145.8    8,306.6

Less: Personal outlays.....................    7,025.6    7,342.2    7,674.0    7,722.0    7,789.2    7,888.3    7,956.7    8,118.5

Equals: Personal saving....................      168.5      127.2      183.2      169.0      146.4      151.0      189.0      188.1

  Personal saving as a percentage of
   disposable personal income..............        2.3        1.7        2.3        2.1        1.8        1.9        2.3        2.3

Addendum:
  Disposable personal income, billions of
   chained (2000) dollars\2\...............    7,194.0    7,320.2    7,596.7    7,605.2    7,615.8    7,662.0    7,753.5    7,872.3
-----------------------------------------------------------------------------------------------------------------------------------
  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                                       Quarterly        Quarter one
                                                                         at annual rates                                           rates             year ago
                                                              ---------------------------------------                 ------------------------------- -------
                                         2000    2001    2002  III 02   IV 02    I 03   II 03  III 03    2001    2002   IV 02    I 03   II 03  III 03  III 03
-------------------------------------------------------------------------------------------------------------------------------------------------------------
Corporate profits with inventory
 valuation and capital consumption
 adjustments.........................   817.9   770.4   904.2   899.8   934.9   927.1 1,022.8 1,124.2    -5.8    17.4     3.9     -.8    10.3     9.9    24.9

Less: Taxes on corporate income......   265.2   201.1   195.0   198.6   202.9   213.9   211.4   230.6   -24.1    -3.0     2.2     5.5    -1.2     9.0    16.1

Equals: Profits after tax with
 inventory valuation and capital
 consumption adjustments.............   552.7   569.3   709.1   701.2   732.0   713.2   811.3   893.7     3.0    24.6     4.4    -2.6    13.8    10.1    27.4
  Net dividends......................   377.9   373.2   398.3   404.3   413.1   420.3   427.5   434.3    -1.3     6.7     2.2     1.8     1.7     1.6     7.4
  Undistributed profits with
   inventory valuation and capital
   consumption adjustments...........   174.8   196.0   310.8   296.9   318.9   292.9   383.8   459.3    12.2    58.6     7.4    -8.2    31.0    19.7    54.7

Cash flow:
  Net cash flow with inventory
   valuation and capital consumption
   adjustments.......................   864.8   937.3 1,058.2 1,049.0 1,070.8 1,043.3 1,129.4 1,206.6     8.4    12.9     2.1    -2.6     8.3     6.8    15.0
    Undistributed profits with
     inventory valuation and capital
     consumption adjustments.........   174.8   196.0   310.8   296.9   318.9   292.9   383.8   459.3    12.2    58.6     7.4    -8.2    31.0    19.7    54.7
    Consumption of fixed capital.....   690.0   741.3   747.3   752.1   751.9   750.4   745.6   747.2     7.4      .8      .0     -.2     -.6      .2     -.6

  Less: Inventory valuation
   adjustment........................   -14.1     9.1    -2.2   -11.1   -10.8   -28.1     1.2    -1.8   .....   .....   .....   .....   .....   .....   .....

  Equals: Net cash flow..............   878.9   928.2 1,060.4 1,060.2 1,081.7 1,071.4 1,128.2 1,208.4     5.6    14.2     2.0    -1.0     5.3     7.1    14.0

Addenda:
  Profits before tax (without
   inventory valuation and capital
   consumption adjustments)..........   773.4   696.8   745.0   756.3   795.0   809.0   792.5   865.9    -9.9     6.9     5.1     1.8    -2.0     9.3    14.5
  Profits after tax (without
   inventory valuation and capital
   consumption adjustments)..........   508.2   495.6   549.9   557.7   592.1   595.0   581.0   635.4    -2.5    11.0     6.2      .5    -2.4     9.4    13.9
  Inventory valuation adjustment.....   -14.1     9.1    -2.2   -11.1   -10.8   -28.1     1.2    -1.8   .....   .....   .....   .....   .....   .....   .....
  Capital consumption adjustment.....    58.6    64.5   161.5   154.7   150.7   146.3   229.2   260.1    10.1   150.3    -2.6    -2.9    56.7    13.5    68.1
-------------------------------------------------------------------------------------------------------------------------------------------------------------

                                      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
                                                                      ---------------------------------------  ----------------------------------------------
                                                 2000    2001    2002  III 02   IV 02    I 03   II 03  III 03    2001    2002   IV 02    I 03   II 03  III 03
-------------------------------------------------------------------------------------------------------------------------------------------------------------
    Corporate profits with inventory
     valuation and capital consumption
     adjustments.............................   817.9   770.4   904.2   899.8   934.9   927.1 1,022.8 1,124.2   -47.5   133.8    35.1    -7.8    95.7   101.4

Domestic industries..........................   672.2   608.9   750.8   748.7   767.9   778.4   874.3   966.5   -63.3   141.9    19.2    10.5    95.9    92.2
  Financial..................................   184.7   213.3   259.1   252.5   248.6   268.4   279.6   299.2    28.6    45.8    -3.9    19.8    11.2    19.6
  Nonfinancial...............................   487.5   395.6   491.7   496.1   519.3   510.0   594.7   667.3   -91.9    96.1    23.2    -9.3    84.7    72.6

Rest of the world............................   145.7   161.5   153.4   151.1   166.9   148.7   148.5   157.7    15.8    -8.1    15.8   -18.2     -.2     9.2
  Receipts from the rest of the world........   202.5   178.6   202.4   213.0   214.0   215.4   220.8   236.2   -23.9    23.8     1.0     1.4     5.4    15.4
  Less: Payments to the rest of the world....    56.8    17.1    49.1    61.8    47.0    66.6    72.3    78.4   -39.7    32.0   -14.8    19.6     5.7     6.1

    Corporate profits with inventory
     valuation adjustment....................   759.3   705.9   742.7   745.1   784.2   780.9   793.6   864.2   -53.4    36.8    39.1    -3.3    12.7    70.6

Domestic industries..........................   613.6   544.4   589.4   594.0   617.2   632.1   645.1   706.4   -69.2    45.0    23.2    14.9    13.0    61.3
  Financial..................................   200.2   225.6   255.1   249.0   243.4   261.8   260.6   274.6    25.4    29.5    -5.6    18.4    -1.2    14.0
    Federal Reserve banks....................    30.8    28.3    22.9    22.6    21.2    21.2    20.5    18.9    -2.5    -5.4    -1.4      .0     -.7    -1.6
    Other financial..........................   169.4   197.3   232.2   226.4   222.1   240.7   240.1   255.7    27.9    34.9    -4.3    18.6     -.6    15.6

  Nonfinancial...............................   413.4   318.8   334.3   345.0   373.9   370.3   384.5   431.8   -94.6    15.5    28.9    -3.6    14.2    47.3
    Utilities................................    24.4    24.1    22.0    21.5    22.8    28.1    21.1    21.5     -.3    -2.1     1.3     5.3    -7.0      .4
    Manufacturing............................   144.3    54.0    73.3    87.2    95.1    87.1    80.3    97.7   -90.3    19.3     7.9    -8.0    -6.8    17.4
      Durable goods..........................    60.0   -24.9     8.8    20.4    25.2    17.1    13.9    19.4   -84.9    33.7     4.8    -8.1    -3.2     5.5
        Fabricated metal products............    15.5     9.7     9.7     8.4    12.1     8.9    12.1    12.6    -5.8      .0     3.7    -3.2     3.2      .5
        Machinery............................     8.2     3.2     1.5     2.6    -1.3    -2.8    -2.7    -2.4    -5.0    -1.7    -3.9    -1.5      .1      .3
        Computer and electronic products.....     4.0   -49.4   -18.4    -8.7    -1.2    -5.6    -1.8    -1.5   -53.4    31.0     7.5    -4.4     3.8      .3
        Electrical equipment, appliances,
         and components......................     5.6     2.0     1.7     1.6      .7      .7     -.9    -1.5    -3.6     -.3     -.9      .0    -1.6     -.6
        Motor vehicles, bodies and trailers,
         and parts...........................    -1.0    -7.2    -1.0     1.1    -1.7     7.3    -1.9    -3.5    -6.2     6.2    -2.8     9.0    -9.2    -1.6
        Other durable goods..................    27.7    16.7    15.3    15.3    16.6     8.6     9.1    15.7   -11.0    -1.4     1.3    -8.0      .5     6.6

      Nondurable goods.......................    84.3    78.9    64.6    66.8    69.9    70.0    66.4    78.4    -5.4   -14.3     3.1      .1    -3.6    12.0
        Food and beverage and tobacco
         products............................    25.4    27.5    32.8    34.4    32.4    32.4    30.6    31.8     2.1     5.3    -2.0      .0    -1.8     1.2
        Petroleum and coal products..........    26.9    29.9     6.4     7.7     8.7    20.2    20.6    19.5     3.0   -23.5     1.0    11.5      .4    -1.1
        Chemical products....................    14.2    13.8    17.5    17.7    19.4    18.9    15.8    23.7     -.4     3.7     1.7     -.5    -3.1     7.9
        Other nondurable goods...............    17.8     7.7     7.9     7.0     9.4    -1.5     -.5     3.4   -10.1      .2     2.4   -10.9     1.0     3.9

    Wholesale trade..........................    59.7    51.6    49.1    45.7    47.9    39.8    42.6    51.0    -8.1    -2.5     2.2    -8.1     2.8     8.4
    Retail trade.............................    59.6    71.1    76.7    77.5    73.9    72.9    85.0    84.3    11.5     5.6    -3.6    -1.0    12.1     -.7
    Transportation and warehousing...........    14.9     -.1    -2.3    -3.5     2.4     5.6    12.9    14.7   -15.0    -2.2     5.9     3.2     7.3     1.8
    Information..............................   -17.6   -27.2   -20.2   -20.1   -12.6   -11.4    -8.0     2.3    -9.6     7.0     7.5     1.2     3.4    10.3
    Other nonfinancial.......................   128.2   145.3   135.5   136.7   144.4   148.1   150.7   160.2    17.1    -9.8     7.7     3.7     2.6     9.5

Rest of the world............................   145.7   161.5   153.4   151.1   166.9   148.7   148.5   157.7    15.8    -8.1    15.8   -18.2     -.2     9.2
-------------------------------------------------------------------------------------------------------------------------------------------------------------
Note.--Estimates in this table are based on the 1997 North
American Industry Classification System (NAICS).



     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 2001-02
annual percent change in real GDP uses prices for 2001 and 2002 as weights, and the 2001-02 annual
percent change in GDP prices uses quantities for 2001 and 2002 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.