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News Release: Gross Domestic Product

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EMBARGOED UNTIL RELEASE AT 8:30 A.M. EDT, WEDNESDAY, OCTOBER 31, 2007

Virginia H. Mannering:  (202)   606-5304                                            BEA 07-50
Recorded message:       (202)   606-5306



                        GROSS DOMESTIC PRODUCT:  THIRD QUARTER 2007 (ADVANCE)
			
			
	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 3.9 percent in the third quarter of 2007, 
according to advance estimates released by the Bureau of Economic Analysis.  In the second quarter, 
real GDP increased 3.8 percent. 

        The Bureau emphasized that the third-quarter "advance" estimates are based on source data that
are incomplete or subject to further revision by the source agency (see the box on page 3).  The third-
quarter "preliminary" estimates, based on more comprehensive data, will be released on November 29,
2007.

 	The increase in real GDP in the third quarter reflected positive contributions from personal 
consumption expenditures (PCE), exports, federal government spending, equipment and software, 
nonresidential structures, private inventory investment, and state and local government spending that 
were partly offset by a negative contribution from residential fixed investment.  Imports, which are a 
subtraction in the calculation of GDP, increased.
	
	The slight acceleration in real GDP growth in the third quarter primarily reflected accelerations in 
PCE and in exports that were partly offset by an upturn in imports, a larger decrease in residential fixed 
investment, and a deceleration in nonresidential structures.

	Final sales of computers contributed 0.29 percentage point to the third-quarter growth in real GDP 
after contributing 0.21 percentage point to the second-quarter growth.  Motor vehicle output contributed 
0.33 percentage point to the third-quarter growth in real GDP after contributing 0.03 percentage point to 
the second-quarter growth.  



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 are 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.


      The price index for gross domestic purchases, which measures prices paid by U.S. residents,
increased 1.6 percent in the third quarter, compared with an increase of 3.8 percent in the second.  
Excluding food and energy prices, the price index for gross domestic purchases increased 1.7 percent in 
the third quarter, compared with an increase of 1.5 percent in the second.

	Real personal consumption expenditures increased 3.0 percent in the third quarter, compared with 
an increase of 1.4 percent in the second.  Durable goods increased 4.4 percent, compared with an 
increase of 1.7 percent.  Nondurable goods increased 2.7 percent, in contrast to a decrease of 0.5 
percent.  Services expenditures increased 2.9 percent, compared with an increase of 2.3 percent.

      Real nonresidential fixed investment increased 7.9 percent in the third quarter, compared with an
increase of 11.0 percent in the second.  Nonresidential structures increased 12.3 percent, compared with 
an increase of 26.2 percent.  Equipment and software increased 5.9 percent, compared with an increase 
of 4.7 percent.  Real residential fixed investment decreased 20.1 percent, compared with a decrease of 
11.8 percent.

	Real exports of goods and services increased 16.2 percent in the third quarter, compared with an 
increase of 7.5 percent in the second.  Real imports of goods and services increased 5.2 percent, in 
contrast to a decrease of 2.7 percent.

	Real federal government consumption expenditures and gross investment increased 6.8 percent in 
the third quarter, compared with an increase of 6.0 percent in the second.  National defense increased 9.7 
percent, compared with an increase of 8.5 percent.  Nondefense increased 0.9 percent, the same increase 
as in the second.  Real state and local government consumption expenditures and gross investment 
increased 2.0 percent, compared with an increase of 3.0 percent.

	The real change in private inventories added 0.36 percentage point to the third-quarter change in 
real GDP after adding 0.22 percentage point to the second-quarter change.  Private businesses increased 
inventories $15.7 billion in the third quarter, following increases of $5.8 billion in the second quarter 
and $0.1 billion in the first.

	Real final sales of domestic product -- GDP less change in private inventories -- increased 3.5 
percent in the third quarter, compared with an increase of 3.6 percent in the second.


Gross domestic purchases

	Real gross domestic purchases -- purchases by U.S. residents of goods and services wherever 
produced -- increased 2.8 percent in the third quarter, compared with an increase of 2.4 percent in the 
second. 


Disposition of personal income

	Current-dollar personal income increased $165.2 billion (5.8 percent) in the third quarter, 
compared with an increase of $150.0 billion (5.3 percent) in the second.  

	Personal current taxes increased $14.0 billion in the third quarter, compared with an increase of 
$30.9 billion in the second.  

	Disposable personal income increased $151.2 billion (6.1 percent) in the third quarter, compared 
with an increase of $119.1 billion (4.8 percent) in the second.  Real disposable personal income             
increased 4.4 percent, compared with an increase of 0.6 percent. 

	Personal outlays increased $129.1 billion (5.2 percent) in the third quarter, compared with an 
increase of $151.7 billion (6.3 percent) in the second.  Personal saving -- disposable personal income 
less personal outlays -- was $86.5 billion in the third quarter, compared with $64.4 billion in the second.  
The personal saving rate -- saving as a percentage of disposable personal income -- was 0.8 percent in 
the third quarter, compared with 0.6 percent in the second.  Saving from current income may be near 
zero or negative when outlays are financed by borrowing (including borrowing financed through credit 
cards or home equity loans), by selling investments or other assets, or by using savings from previous 
periods.  For more information, see the FAQs on "Personal Saving" on BEA's Web site.  For a
comparison of personal saving in BEA's national income and product accounts with personal saving in
the Federal Reserve Board's flow of funds accounts, go to
http://www.bea.gov/national/nipaweb/Nipa-Frb.asp.


Current-dollar GDP

	Current-dollar GDP -- the market value of the nation's output of goods and services -- increased 
4.7 percent, or $157.9 billion, in the third quarter to a level of $13,926.7 billion.  In the second quarter, 
current-dollar GDP increased 6.6 percent, or $216.9 billion.



BOX
      Information on the assumptions used for unavailable source data is provided in a technical note 
that is posted with the news release on BEA's Web site.  Within a few days after the release, a detailed 
"Key Source Data and Assumptions" file is posted on the Web site.  In the middle of each month, an 
analysis of the current quarterly estimates of GDP and related series is made available on the Web site; 
click on Survey of Current Business, "GDP and the Economy."  




                                    *          *          *



	BEA's national, international, regional, and industry estimates; the Survey of Current Business; 
and BEA news releases are available without charge on BEA's Web site at www.bea.gov.  By visiting 
the site, you can also subscribe to receive free e-mail summaries of BEA releases and announcements.

     

                                    *          *          *



                       Next release -- November 29, 2007, at 8:30 A.M. EST for:
                       Gross Domestic Product:  Third Quarter 2007 (Preliminary)
                       Corporate Profits: Third Quarter 2007
					



		                    Comparisons of Revisions to GDP
                                                                         
   Quarterly estimates of GDP are released on the following schedule: "Advance" estimates, based on source data
that are incomplete or subject to further revision by the source agency, are released near the end of the first month
after the end of the quarter; as more detailed and more comprehensive data become available, "preliminary" and
"final" estimates are released near the end of the second and third months, respectively.  The "latest" estimates reflect
the results of both annual and comprehensive revisions.

   Annual revisions, which cover the quarters of the 3 most recent calendar years, are usually carried out each
summer and incorporate newly available major annual source data.  Comprehensive (or benchmark) revisions
are carried out at about 5-year intervals and incorporate major periodic source data, as well as improvements in
concepts and methods that update the accounts to portray more accurately the evolving U.S. economy.

   The table below shows comparisons of the revisions between quarterly percent changes of current-dollar and
real GDP for the different vintages of the estimates.  From the advance estimate to the preliminary estimate (one
month later), the average revision to real GDP without regard to sign is 0.5 percentage point, while from the advance
estimate to the final estimate (two months later), it is 0.6 percentage point.  From the advance estimate to the latest
estimate, the average revision without regard to sign is 1.2 percentage points.  The average revision (with regard to
sign) from the advance estimate to the latest estimate is 0.3 percentage point, which is larger than the average
revisions from the advance estimate to the preliminary or to the final estimates.  The larger average revisions to the
latest estimate reflect the fact that comprehensive revisions include major improvements such as the introduction of
chain indexes and the capitalization of software.  The current quarterly estimates correctly indicate the direction of change of
real GDP 98 percent of the time, correctly indicate whether it is accelerating or decelerating 74 percent of the time,
and correctly indicate whether real GDP growth is above, near, or below trend growth more than three-fifths of the
time.

			Revisions Between Quarterly Percent Changes of GDP: Vintage Comparisons
                        			    [Annual rates]


Vintages			Average			Average without		  Standard deviation of
compared						regard to sign		  revisions without regard
											to sign

		                          Current-dollar GDP


Advance to preliminary..........  0.2                         0.5			   0.4
Advance to final................   .2 			       .7 			    .4
Preliminary to final............   .0			       .3			    .2

Advance to latest...............   .4                         1.1                           .9


		                               Real GDP

Advance to preliminary..........  0.1			      0.5			   0.4
Advance to final................   .1                          .6                           .4
Preliminary to final............   .0                          .3                           .2


Advance to latest...............   .3                         1.2                          1.0


NOTE.--These comparisons are based on the period from 1983 through 2004.


   Table 1.--Real Gross Domestic Product and Related Measures: Percent Change From Preceding Period
                                                             [Quarters seasonally adjusted at annual rates]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2004   2005   2006  IV 03   I 04  II 04 III 04  IV 04   I 05  II 05 III 05  IV 05   I 06  II 06 III 06  IV 06   I 07  II 07 III 07
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP).    3.6    3.1    2.9    2.7    3.0    3.5    3.6    2.5    3.1    2.8    4.5    1.2    4.8    2.4    1.1    2.1     .6    3.8    3.9

Personal consumption expenditures...    3.6    3.2    3.1    2.3    4.4    2.4    3.5    4.2    2.4    3.5    4.1    1.2    4.4    2.4    2.8    3.9    3.7    1.4    3.0
  Durable goods.....................    6.3    4.9    3.8     .7    5.8    1.9    7.8    7.0    2.2   11.3    6.2  -13.0   16.6     .8    5.6    3.9    8.8    1.7    4.4
  Nondurable goods..................    3.5    3.6    3.6    1.8    4.6    1.5    3.1    4.9    3.5    3.7    2.5    4.7    4.5    2.3    3.2    4.3    3.0    -.5    2.7
  Services..........................    3.2    2.7    2.7    2.8    4.1    3.0    2.9    3.4    1.9    1.8    4.4    2.6    2.1    2.7    2.0    3.7    3.1    2.3    2.9

Gross private domestic investment...    9.7    5.6    2.7    9.3    2.1   20.7    8.0    6.4    5.3   -3.9    7.0   13.4    4.3     .6   -4.1  -14.1   -8.2    4.6     .8
  Fixed investment..................    7.3    6.9    2.4    5.5    -.2   12.9    9.3    7.3    4.0    7.9    8.0    2.3    7.9   -1.9   -4.7   -7.1   -4.4    3.2   -1.5
    Nonresidential..................    5.8    7.1    6.6    2.8   -2.6   10.7   12.3   10.3    3.3    5.0    8.6    3.4   13.3    4.2    5.1   -1.4    2.1   11.0    7.9
      Structures....................    1.3     .5    8.4   -4.7    -.3    6.1    3.6    -.2    2.1   -1.6   -6.3    4.8   15.0   16.4   10.8    7.4    6.4   26.2   12.3
      Equipment and software........    7.4    9.6    5.9    5.6   -3.4   12.4   15.5   14.3    3.8    7.4   14.5    3.1   13.0    -.1    2.9   -4.9     .3    4.7    5.9
    Residential.....................   10.0    6.6   -4.6   10.6    4.0   16.7    4.2    2.4    5.3   13.1    6.9     .5    -.7  -11.7  -20.4  -17.2  -16.3  -11.8  -20.1
  Change in private inventories.....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....

Net exports of goods and services...  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....
  Exports...........................    9.7    6.9    8.4   20.8   10.0    6.5    3.1   10.0    6.0    9.5    2.1   10.6   11.5    5.7    5.7   14.3    1.1    7.5   16.2
    Goods...........................    9.0    7.5    9.9   19.8    7.4    7.2    6.2    7.2    5.8   13.6    1.9   12.6   15.5    6.5    7.4    9.6     .9    6.6   23.0
    Services........................   11.5    5.4    4.8   23.1   16.2    5.1   -3.4   16.8    6.5     .9    2.6    6.3    2.9    3.9    2.0   26.0    1.6    9.6    1.6
  Imports...........................   11.3    5.9    5.9   17.6   12.3   15.2    4.8   13.8    2.1     .8    2.1   16.2    6.9     .9    5.4    1.6    3.9   -2.7    5.2
    Goods...........................   11.3    6.6    6.0   17.2   11.5   16.6    5.5   14.5    3.2    1.0    2.5   17.3    6.5    1.1    6.2    -.6    4.2   -2.9    6.2
    Services........................   11.5    2.3    5.2   19.6   16.5    8.9    1.8   10.5   -3.5    -.5     .0   10.3    9.5    -.1    1.3   14.2    2.3   -1.7     .4

Government consumption expenditures
 and gross investment...............    1.4     .7    1.8     .7    1.5    1.3    1.6   -1.8    1.3    1.2    3.2   -1.9    4.9    1.0     .8    3.5    -.5    4.1    3.7
  Federal...........................    4.2    1.5    2.2    3.1    6.1    2.4    6.2   -4.6    2.8     .7    8.6   -6.2    8.4   -1.6     .9    7.3   -6.3    6.0    6.8
    National defense................    5.8    1.5    1.9    8.1    8.1    2.0   10.9   -9.7    4.6    2.6   10.0  -11.7    6.8    2.3   -1.5   16.9  -10.8    8.5    9.7
    Nondefense......................    1.1    1.3    2.8   -6.0    2.3    3.2   -2.7    6.5    -.8   -3.0    5.8    5.8   11.9   -8.8    6.0  -10.0    3.8     .9     .9
  State and local...................    -.2     .3    1.6    -.6   -1.0     .7   -1.1    -.1     .4    1.5     .0     .7    2.9    2.5     .7    1.3    3.0    3.0    2.0

Addenda:
  Final sales of domestic product...    3.3    3.3    2.8    2.1    2.6    2.4    3.8    2.7    2.9    4.8    4.6    -.5    5.4    2.0    1.0    3.5    1.3    3.6    3.5
  Gross domestic purchases..........    4.1    3.1    2.8    3.0    3.6    4.8    3.8    3.4    2.6    1.9    4.3    2.5    4.5    1.9    1.3     .8    1.1    2.4    2.8
  Final sales to domestic
   purchasers.......................    3.8    3.3    2.7    2.5    3.2    3.7    4.0    3.6    2.4    3.7    4.5     .8    5.0    1.5    1.2    2.1    1.7    2.1    2.5
  Gross national product (GNP)......    3.8    3.0    2.8    3.5    3.6    2.6    3.9    1.5    3.6    2.7    5.1     .0    5.2    2.4     .5    2.6     .7    4.0  .....
  Disposable personal income........    3.6    1.7    3.1    1.7    3.7    2.4    2.9    7.5   -3.3    2.5   -1.2    6.6    4.9     .2    1.7    6.2    5.4     .6    4.4

  Current-dollar measures:
    GDP.............................    6.6    6.4    6.1    4.9    6.8    7.4    6.0    5.9    7.1    5.5    8.1    4.8    8.4    6.0    3.4    3.8    4.9    6.6    4.7
    Final sales of domestic product.    6.2    6.6    6.1    4.4    6.4    6.2    6.1    6.0    6.9    7.5    8.3    3.0    9.0    5.5    3.4    5.2    5.5    6.3    4.3
    Gross domestic purchases........    7.3    6.9    6.1    4.9    8.0    9.2    6.7    7.2    6.3    5.5    9.1    6.3    7.3    6.2    3.8     .9    4.9    6.2    4.4
    Final sales to domestic
     purchasers.....................    7.0    7.1    6.1    4.4    7.6    8.0    6.8    7.3    6.1    7.4    9.3    4.6    7.9    5.7    3.7    2.1    5.5    6.0    4.1
    GNP.............................    6.8    6.3    6.0    5.8    7.4    6.5    6.3    4.8    7.6    5.4    8.7    3.5    8.8    6.0    2.8    4.3    4.9    6.8  .....
    Disposable personal income......    6.4    4.7    5.9    3.2    7.3    6.3    4.9   10.8   -1.2    6.0    3.0    9.6    6.7    4.5    4.4    5.2    9.1    4.8    6.1
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  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]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2004   2005   2006  IV 03   I 04  II 04 III 04  IV 04   I 05  II 05 III 05  IV 05   I 06  II 06 III 06  IV 06   I 07  II 07 III 07
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Percent change at annual rate:

    Gross domestic product..........    3.6    3.1    2.9    2.7    3.0    3.5    3.6    2.5    3.1    2.8    4.5    1.2    4.8    2.4    1.1    2.1     .6    3.8    3.9

Percentage points at annual rates:

  Personal consumption expenditures.   2.56   2.24   2.15   1.59   3.12   1.73   2.46   2.93   1.68   2.40   2.82    .84   3.00   1.63   1.88   2.68   2.56   1.00   2.11

    Durable goods...................    .53    .40    .31    .06    .49    .16    .64    .57    .18    .90    .51  -1.13   1.23    .07    .43    .30    .67    .14    .35
      Motor vehicles and parts......    .08    .00   -.11   -.29    .09   -.11    .17    .23   -.27    .48    .20  -1.57    .48   -.04    .16    .00    .35   -.10   -.18
      Furniture and household
       equipment....................    .35    .31    .35    .27    .29    .27    .36    .25    .31    .28    .39    .35    .54    .17    .24    .25    .28    .13    .34
      Other.........................    .10    .09    .07    .08    .11    .00    .10    .09    .13    .14   -.08    .09    .22   -.06    .04    .05    .04    .11    .18

    Nondurable goods................    .71    .72    .74    .36    .92    .31    .62    .97    .71    .74    .50    .93    .91    .47    .64    .86    .61   -.10    .56
      Food..........................    .31    .38    .38    .02    .59    .10    .21    .60    .31    .38    .49    .40    .47    .13    .24    .68    .16   -.14    .17
      Clothing and shoes............    .14    .17    .13   -.02    .31   -.13    .15    .23    .18    .27    .00    .29    .11    .05    .14    .10    .22    .06    .20
      Gasoline, fuel oil, and other
       energy goods.................    .03   -.02   -.01    .06    .00    .04   -.03    .00    .05   -.11   -.11    .06    .02    .02    .05   -.15    .06   -.12   -.01
      Other.........................    .24    .19    .23    .30    .03    .29    .29    .14    .17    .20    .13    .18    .31    .27    .20    .23    .17    .10    .19

    Services........................   1.32   1.12   1.11   1.18   1.71   1.25   1.21   1.39    .79    .76   1.81   1.05    .86   1.10    .81   1.52   1.28    .96   1.20
      Housing.......................    .32    .33    .28    .40    .35    .25    .29    .31    .36    .36    .36    .30    .30    .23    .18    .20    .26    .29    .27
      Household operation...........    .10    .08   -.03    .17    .13    .06    .06    .15    .04   -.02    .33   -.22   -.40    .17    .16    .13    .04    .05    .11
        Electricity and gas.........    .02    .04   -.05    .12    .04   -.05   -.05    .15    .03   -.04    .29   -.21   -.42    .14    .17    .07    .03    .02    .06
        Other household operation...    .08    .03    .02    .05    .08    .11    .12    .01    .01    .02    .04   -.01    .02    .03   -.01    .07    .01    .03    .05
      Transportation................    .04    .03    .03    .02    .04    .08    .02    .06    .02    .01    .01    .03    .06   -.03    .06    .11    .07    .11    .07
      Medical care..................    .36    .41    .40    .28    .33    .45    .52    .40    .27    .38    .53    .53    .49    .26    .12    .34    .47    .28    .32
      Recreation....................    .14    .06    .09    .16    .21    .12    .09    .03    .09    .03    .06    .08    .07    .02    .19    .30    .06    .03    .10
      Other.........................    .36    .21    .34    .15    .66    .29    .22    .44    .00    .00    .53    .32    .34    .45    .11    .44    .39    .19    .33

  Gross private domestic investment.   1.48    .91    .45   1.39    .30   3.00   1.26   1.04    .89   -.64   1.15   2.13    .78    .13   -.70  -2.50  -1.36    .71    .13

    Fixed investment................   1.10   1.09    .39    .83   -.07   1.88   1.41   1.14    .68   1.26   1.28    .38   1.27   -.32   -.80  -1.19   -.70    .49   -.23
      Nonresidential................    .56    .70    .68    .29   -.28   1.00   1.16   1.00    .36    .51    .87    .35   1.31    .44    .53   -.15    .22   1.12    .82
        Structures..................    .03    .01    .24   -.12   -.01    .15    .09    .00    .06   -.04   -.17    .12    .39    .45    .31    .23    .20    .78    .40
        Equipment and software......    .53    .69    .44    .41   -.27    .85   1.07   1.01    .30    .55   1.04    .23    .92   -.01    .21   -.38    .02    .34    .42
          Information processing
           equipment and software...    .33    .34    .27    .70    .04    .15    .24    .41    .46    .32    .32    .26    .48    .05    .24   -.06    .56    .36    .20
            Computers and peripheral
             equipment..............    .08    .17    .12    .21   -.16    .04    .19    .24    .13    .19    .11    .23    .06    .11    .09    .03    .25    .08    .07
            Software................    .14    .10    .06    .20    .14    .00    .11    .17    .07    .14    .02    .05    .08    .03    .05    .04    .14    .16    .11
            Other...................    .12    .08    .10    .29    .05    .12   -.06    .00    .26   -.01    .19   -.01    .34   -.09    .10   -.12    .18    .11    .02
          Industrial equipment......   -.04    .09    .05   -.22   -.14    .09    .19    .06    .15   -.12    .23    .11   -.08    .17   -.04   -.08   -.04    .19    .10
          Transportation equipment..    .16    .13    .09   -.13   -.07    .52    .43    .40   -.34    .14    .40   -.21    .46   -.24    .10   -.18   -.20   -.32    .05
          Other equipment...........    .07    .12    .04    .07   -.10    .09    .20    .13    .04    .21    .09    .07    .06    .00   -.09   -.05   -.30    .11    .07
      Residential...................    .53    .39   -.29    .55    .21    .89    .24    .14    .32    .75    .42    .03   -.05   -.76  -1.33  -1.04   -.93   -.62  -1.05

    Change in private inventories...    .39   -.18    .06    .56    .37   1.12   -.14   -.11    .21  -1.90   -.14   1.74   -.49    .46    .10  -1.31   -.65    .22    .36
      Farm..........................    .06   -.07    .00   -.05    .28    .37   -.32   -.14   -.25    .13    .12    .01   -.04   -.23    .10    .25    .04   -.05   -.04
      Nonfarm.......................    .32   -.11    .06    .60    .08    .75    .18    .03    .46  -2.04   -.26   1.73   -.45    .69    .01  -1.56   -.69    .27    .40

  Net exports of goods and services.   -.68   -.23   -.08   -.47   -.75  -1.50   -.42  -1.07    .26    .83   -.10  -1.41    .13    .49   -.25   1.25   -.51   1.32    .93

    Exports.........................    .93    .70    .88   1.81    .95    .64    .31    .97    .60    .95    .22   1.07   1.19    .61    .62   1.51    .13    .85   1.79
      Goods.........................    .60    .53    .73   1.20    .49    .48    .42    .49    .40    .92    .14    .87   1.10    .49    .56    .73    .07    .53   1.73
      Services......................    .33    .17    .16    .61    .46    .16   -.11    .49    .20    .03    .08    .20    .10    .13    .07    .78    .05    .33    .06

    Imports.........................  -1.61   -.92   -.96  -2.29  -1.70  -2.14   -.73  -2.04   -.34   -.12   -.32  -2.47  -1.07   -.12   -.88   -.26   -.63    .47   -.86
      Goods.........................  -1.33   -.86   -.83  -1.86  -1.32  -1.92   -.69  -1.78   -.43   -.13   -.32  -2.22   -.83   -.12   -.84    .09   -.57    .42   -.86
      Services......................   -.27   -.06   -.13   -.43   -.37   -.21   -.05   -.26    .09    .01    .00   -.26   -.24    .00   -.03   -.35   -.06    .05   -.01

  Government consumption expenditures
   and gross investment.............    .27    .14    .35    .14    .29    .25    .30   -.35    .25    .22    .60   -.37    .92    .18    .14    .66   -.09    .79    .73

    Federal.........................    .29    .11    .15    .21    .41    .17    .43   -.33    .19    .05    .59   -.46    .57   -.11    .06    .50   -.46    .41    .48
      National defense..............    .27    .07    .09    .35    .36    .09    .49   -.48    .22    .12    .46   -.59    .31    .11   -.07    .74   -.54    .39    .45
        Consumption expenditures....    .21    .04    .05    .31    .35    .03    .34   -.45    .26    .01    .41   -.57    .30   -.05    .00    .60   -.40    .35    .37
        Gross investment............    .06    .03    .04    .05    .01    .06    .15   -.04   -.05    .11    .05   -.02    .01    .15   -.07    .15   -.14    .04    .08
      Nondefense....................    .03    .03    .06   -.14    .06    .08   -.06    .15   -.02   -.07    .13    .13    .27   -.22    .14   -.24    .08    .02    .02
       Consumption expenditures.....    .02    .01    .05   -.12    .07    .03   -.04    .12   -.02   -.08    .07    .06    .23   -.15    .13   -.23    .14   -.02    .03
       Gross investment.............    .00    .02    .02   -.03   -.02    .05   -.03    .03    .00    .01    .06    .07    .04   -.07    .01   -.02   -.06    .04   -.01

    State and local.................   -.02    .04    .19   -.07   -.12    .09   -.13   -.01    .05    .17    .01    .09    .35    .29    .08    .16    .36    .37    .25
        Consumption expenditures....    .01    .07    .13    .07   -.04    .02    .04    .11    .02    .09    .12    .09    .15    .11    .18    .19    .20    .19    .14
        Gross investment............   -.03   -.03    .06   -.15   -.08    .07   -.17   -.12    .03    .08   -.11    .00    .20    .18   -.10   -.03    .17    .18    .11

Addenda:
    Goods...........................   1.50   1.36   1.53    .81    .68   1.10   2.06   1.18   1.32   1.23   1.83    .49   2.95   1.45   1.06    .36    .06   1.65   2.63
    Services........................   1.62   1.36   1.36   1.63   2.17   1.27   1.40   1.41   1.34    .82   2.50    .56   1.39   1.15   1.15   2.50   1.21   1.85   1.80
    Structures......................    .51    .35   -.01    .22    .10   1.11    .14   -.03    .42    .76    .14    .14    .48   -.16  -1.14   -.77   -.68    .32   -.53
    Motor vehicle output............    .14    .14   -.04   -.23    .29   -.21    .87   -.34    .18    .16    .92  -1.21    .51   -.37    .44   -.74    .18    .03    .33
    Final sales of computers........    .04    .22    .13    .15   -.28   -.04    .13    .29    .24    .31    .15    .22    .05    .13    .03    .16   -.01    .21    .29
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  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
                                            --------------------------------------------          --------------------------------------------  -------------------------
                                       2006   III 06    IV 06     I 07    II 07   III 07     2006   III 06    IV 06     I 07    II 07   III 07     2006    II 07   III 07
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
     Gross domestic product....... 13,194.7 13,266.9 13,392.3 13,551.9 13,768.8 13,926.7 11,319.4 11,336.7 11,395.5 11,412.6 11,520.1 11,630.7    316.0    107.5    110.6

Personal consumption expenditures.  9,224.5  9,305.7  9,373.7  9,540.5  9,674.0  9,785.6  8,044.1  8,063.8  8,141.2  8,215.7  8,244.3  8,305.3    240.5     28.6     61.0

  Durable goods...................  1,048.9  1,053.8  1,056.5  1,074.0  1,074.7  1,081.6  1,180.5  1,186.3  1,197.6  1,223.2  1,228.4  1,241.8     43.1      5.2     13.4
    Motor vehicles and parts......    434.2    437.6    434.8    444.5    441.5    437.1    437.3    439.5    439.6    451.5    448.2    442.0    -14.0     -3.3     -6.2
    Furniture and household
     equipment....................    404.1    405.1    409.0    414.2    414.5    419.6    550.9    555.4    566.9    579.9    585.9    602.5     58.7      6.0     16.6
    Other.........................    210.6    211.1    212.8    215.3    218.8    224.8    213.9    213.6    215.2    216.6    220.2    226.4      8.4      3.6      6.2

  Nondurable goods................  2,688.0  2,732.4  2,705.4  2,759.4  2,822.7  2,849.8  2,337.7  2,343.9  2,368.8  2,386.6  2,383.8  2,399.8     82.3     -2.8     16.0
    Food..........................  1,259.3  1,263.2  1,291.7  1,312.2  1,322.7  1,343.9  1,091.8  1,091.4  1,110.7  1,115.3  1,111.4  1,116.2     41.8     -3.9      4.8
    Clothing and shoes............    357.2    359.6    363.2    371.1    368.4    373.6    391.1    393.3    397.0    405.1    407.5    415.1     18.5      2.4      7.6
    Gasoline, fuel oil, and other
     energy goods.................    340.1    373.1    306.3    320.9    373.6    366.2    198.6    199.9    197.0    198.2    195.9    195.8      -.6     -2.3      -.1
    Other.........................    731.4    736.5    744.3    755.1    758.1    766.1    666.2    669.5    676.5    681.7    684.7    690.6     27.1      3.0      5.9

  Services........................  5,487.6  5,519.5  5,611.8  5,707.1  5,776.5  5,854.3  4,545.5  4,554.0  4,595.5  4,630.7  4,656.7  4,689.6    118.2     26.0     32.9
    Housing.......................  1,381.3  1,392.5  1,413.9  1,435.1  1,455.4  1,474.9  1,148.3  1,151.0  1,156.6  1,163.7  1,171.6  1,178.9     30.0      7.9      7.3
    Household operation...........    501.6    503.3    509.7    520.0    526.2    529.3    412.9    415.4    419.1    420.1    421.6    424.6     -3.6      1.5      3.0
      Electricity and gas.........    209.8    211.3    212.7    220.6    223.5    222.4    148.5    150.9    152.5    153.1    153.6    155.1     -4.7       .5      1.5
      Other household operation...    291.8    292.1    297.0    299.4    302.7    306.9    265.1    264.7    266.8    267.1    268.1    269.6      2.0      1.0      1.5
    Transportation................    340.6    342.5    346.8    349.6    355.1    361.9    291.2    291.0    294.1    296.0    299.2    301.3      3.4      3.2      2.1
    Medical care..................  1,587.7  1,596.1  1,617.9  1,656.9  1,674.6  1,696.6  1,300.3  1,301.4  1,310.5  1,323.2  1,330.8  1,339.4     42.1      7.6      8.6
    Recreation....................    381.0    384.4    392.8    395.3    400.2    404.6    321.3    321.9    330.3    332.0    332.7    335.4      9.7       .7      2.7
    Other.........................  1,295.3  1,300.5  1,330.7  1,350.1  1,365.0  1,387.0  1,069.9  1,071.6  1,083.5  1,094.1  1,099.3  1,108.3     36.2      5.2      9.0

Gross private domestic investment.  2,209.2  2,224.1  2,152.4  2,117.3  2,139.1  2,139.0  1,919.5  1,928.2  1,856.2  1,816.9  1,837.4  1,841.3     50.2     20.5      3.9

  Fixed investment................  2,162.5  2,161.3  2,132.4  2,118.9  2,133.9  2,122.3  1,874.7  1,869.6  1,835.5  1,815.2  1,829.3  1,822.5     43.3     14.1     -6.8
    Nonresidential................  1,397.7  1,415.2  1,417.1  1,431.4  1,469.1  1,494.9  1,306.8  1,319.4  1,314.8  1,321.7  1,356.6  1,382.7     81.0     34.9     26.1
      Structures..................    405.1    416.1    428.4    439.6    464.5    478.5    268.6    273.3    278.3    282.6    299.5    308.4     20.8     16.9      8.9
      Equipment and software......    992.6    999.1    988.7    991.8  1,004.5  1,016.4  1,050.6  1,057.6  1,044.4  1,045.3  1,057.4  1,072.7     58.8     12.1     15.3
        Information processing
         equipment and software...    480.9    484.9    480.5    497.6    507.7    511.4    595.9    602.0    599.6    623.3    638.5    647.1     41.6     15.2      8.6
          Computers and peripheral
           equipment..............     91.3     91.6     90.4     96.6     96.6     95.2    .....    .....    .....    .....    .....    .....    .....    .....    .....
          Software................    203.3    204.9    205.9    210.5    216.1    220.0    213.0    213.8    215.1    219.9    225.6    229.6      7.3      5.7      4.0
          Other...................    186.2    188.4    184.3    190.5    195.0    196.2    204.8    207.1    202.6    209.2    213.4    214.2     13.3      4.2       .8
        Industrial equipment......    166.7    169.2    167.5    168.1    176.0    180.4    149.6    150.9    148.4    147.3    152.9    156.0      5.3      5.6      3.1
        Transportation equipment..    171.9    172.4    168.0    162.9    153.3    154.0    155.2    156.3    150.9    144.8    135.3    136.9     10.1     -9.5      1.6
        Other equipment...........    173.2    172.6    172.7    163.2    167.5    170.5    156.2    155.2    153.7    144.8    148.0    150.1      4.3      3.2      2.1
    Residential...................    764.8    746.1    715.3    687.5    664.8    627.4    569.5    555.0    529.4    506.3    490.7    463.9    -27.6    -15.6    -26.8

  Change in private inventories...     46.7     62.8     20.0     -1.6      5.1     16.7     40.3     53.9     17.4       .1      5.8     15.7      7.1      5.7      9.9
    Farm..........................     -1.2     -3.7      4.7      5.5      4.0      2.0      -.9     -2.9      3.8      5.0      3.6      2.9      -.5     -1.4      -.7
    Nonfarm.......................     47.8     66.5     15.3     -7.0      1.1     14.8     41.7     57.6     13.6     -5.8      1.3     12.4      7.7      7.1     11.1

Net exports of goods and services.   -762.0   -799.1   -705.3   -714.2   -714.2   -712.8   -624.5   -633.8   -597.3   -612.1   -573.9   -546.2     -6.5     38.2     27.7

  Exports.........................  1,467.6  1,484.5  1,531.9  1,549.9  1,598.7  1,676.0  1,304.1  1,306.6  1,350.9  1,354.7  1,379.5  1,432.2    100.7     24.8     52.7
    Goods.........................  1,030.5  1,047.8  1,072.3  1,084.0  1,115.2  1,183.8    927.4    933.7    955.4    957.6    973.1  1,024.8     83.9     15.5     51.7
    Services......................    437.1    436.7    459.6    465.9    483.5    492.2    377.1    373.4    395.6    397.2    406.4    408.1     17.3      9.2      1.7

  Imports.........................  2,229.6  2,283.6  2,237.2  2,264.0  2,312.9  2,388.8  1,928.6  1,940.4  1,948.2  1,966.8  1,953.4  1,978.4    107.1    -13.4     25.0
    Goods.........................  1,880.4  1,933.3  1,879.9  1,902.7  1,947.2  2,016.8  1,646.9  1,661.0  1,658.7  1,675.6  1,663.4  1,688.4     93.3    -12.2     25.0
    Services......................    349.2    350.3    357.3    361.4    365.7    372.0    283.8    281.9    291.4    293.1    291.9    292.1     14.0     -1.2       .2

Government consumption expenditures
 and gross investment.............  2,523.0  2,536.1  2,571.4  2,608.3  2,670.0  2,714.9  1,981.4  1,980.2  1,997.2  1,994.7  2,014.8  2,033.3     35.1     20.1     18.5

  Federal.........................    932.5    932.0    949.7    946.6    969.5    989.2    742.3    739.2    752.3    740.2    751.0    763.5     15.8     10.8     12.5
    National defense..............    624.3    620.7    645.2    634.8    654.5    672.6    491.5    486.4    505.8    491.6    501.7    513.5      9.1     10.1     11.8
      Consumption expenditures....    544.8    542.0    561.5    555.7    573.8    588.5    416.6    412.6    427.7    417.4    426.2    435.5      4.9      8.8      9.3
      Gross investment............     79.5     78.7     83.7     79.1     80.7     84.2     76.6     75.5     80.1     75.6     77.0     79.8      4.9      1.4      2.8
    Nondefense....................    308.2    311.3    304.5    311.7    315.0    316.6    250.7    252.7    246.1    248.4    248.9    249.5      6.8       .5       .6
      Consumption expenditures....    268.0    271.3    264.9    274.0    276.0    277.9    212.6    214.8    208.8    212.5    212.0    212.9      4.7      -.5       .9
      Gross investment............     40.2     40.0     39.6     37.7     39.1     38.7     38.5     38.3     37.8     35.9     37.2     36.9      2.3      1.3      -.3

  State and local.................  1,590.5  1,604.1  1,621.7  1,661.7  1,700.5  1,725.6  1,239.0  1,240.9  1,244.9  1,254.2  1,263.5  1,269.8     19.4      9.3      6.3
      Consumption expenditures....  1,276.5  1,287.7  1,300.8  1,326.7  1,355.9  1,373.9    990.9    992.7    997.5  1,002.5  1,007.4  1,011.0     13.2      4.9      3.6
      Gross investment............    314.0    316.4    320.9    335.0    344.5    351.7    248.0    248.1    247.3    251.5    256.0    258.7      6.2      4.5      2.7

Residual..........................    .....    .....    .....    .....    .....    .....    -93.4    -99.3   -108.2   -130.7   -136.3   -150.2    .....    .....    .....

Addenda:
  Final sales of domestic product. 13,148.0 13,204.1 13,372.3 13,553.5 13,763.6 13,909.9 11,275.9 11,279.7 11,375.8 11,411.6 11,512.8 11,612.9    309.0    101.2    100.1
  Gross domestic purchases........ 13,956.7 14,065.9 14,097.6 14,266.1 14,483.0 14,639.5 11,937.1 11,963.6 11,987.1 12,018.7 12,088.9 12,172.8    324.0     70.2     83.9
  Final sales to domestic
   purchasers..................... 13,910.1 14,003.2 14,077.6 14,267.7 14,477.9 14,622.7 11,893.4 11,906.4 11,967.3 12,017.4 12,081.4 12,155.0    317.0     64.0     73.6

  Gross domestic product.......... 13,194.7 13,266.9 13,392.3 13,551.9 13,768.8 13,926.7 11,319.4 11,336.7 11,395.5 11,412.6 11,520.1 11,630.7    316.0    107.5    110.6
  Plus: Income receipts from
   the rest of the world..........    691.4    709.7    733.8    752.2    814.2    .....    595.0    607.9    628.3    638.2    684.3    .....    112.5     46.1    .....
  Less: Income payments to
   the rest of the world..........    633.4    664.7    673.7    689.0    743.5    .....    543.6    568.0    575.1    583.2    623.5    .....    122.8     40.3    .....
  Equals: Gross national product.. 13,252.7 13,311.9 13,452.4 13,615.1 13,839.4    ..... 11,370.1 11,375.9 11,447.8 11,466.7 11,580.0    .....    305.4    113.3    .....

  Net domestic product............ 11,579.5 11,638.1 11,737.9 11,881.0 12,085.4 12,236.6  9,872.8  9,884.7  9,928.3  9,937.7 10,037.2 10,139.8    358.1     99.5    102.6
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  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]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2004   2005   2006  IV 03   I 04  II 04 III 04  IV 04   I 05  II 05 III 05  IV 05   I 06  II 06 III 06  IV 06   I 07  II 07 III 07
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP).    2.9    3.2    3.2    2.2    3.7    3.8    2.3    3.2    3.9    2.6    3.5    3.5    3.4    3.5    2.4    1.7    4.2    2.6     .8

Personal consumption expenditures...    2.6    2.9    2.8    1.5    3.5    3.8    2.0    3.0    2.2    3.4    4.3    2.8    1.7    4.3    2.6    -.9    3.5    4.3    1.7
  Durable goods.....................   -1.8    -.7   -1.3   -3.5    -.5     .3   -2.5     .2     .1    -.4   -2.8   -1.1   -1.0    -.7   -1.3   -2.7   -1.9   -1.4   -1.8
  Nondurable goods..................    3.3    3.7    3.1     .5    5.3    6.2    1.4    4.7     .3    5.0    9.5     .8     .3    8.6    2.8   -7.9    5.0   10.0    1.1
  Services..........................    3.2    3.4    3.4    3.0    3.5    3.4    3.1    2.8    3.6    3.4    3.3    4.6    3.0    3.2    3.2    3.0    3.8    2.6    2.6

Gross private domestic investment...    3.4    4.2    3.5    3.5    4.1    4.7    3.9    3.9    5.2    2.8    4.0    5.8    4.0    2.5    1.6    2.2    2.0    -.4    -.7
  Fixed investment..................    3.4    4.3    3.5    3.5    4.1    4.7    3.9    3.9    5.3    2.9    4.2    6.0    3.9    2.4    1.5    2.0    1.9    -.3    -.7
    Nonresidential..................    1.3    2.9    3.1    1.4    1.1    2.4    1.3    2.5    4.5    2.4    1.6    4.6    3.9    2.8    1.9    2.0    1.9     .0    -.7
      Structures....................    6.2   11.7   11.7    4.2    6.8    7.6   10.1   12.0   12.8    8.7   13.8   17.6   13.0   10.7    5.6    4.6    4.1   -1.1     .2
      Equipment and software........    -.3    -.1     .0     .4    -.8     .7   -1.7    -.6    1.8     .3   -2.5     .2     .6    -.2     .4     .8    1.0     .5   -1.1
    Residential.....................    7.3    6.7    4.4    7.7    9.8    8.8    8.5    6.2    6.6    3.6    8.7    8.5    3.9    1.8     .8    2.1    2.0    -.8    -.8
  Change in private inventories.....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....

Net exports of goods and services...  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....  .....
  Exports...........................    3.5    3.6    3.4    3.0    5.5    4.8    1.9    4.2    4.6    3.6    2.5    3.0    2.7    6.0    4.6    -.8    3.6    5.3    4.0
    Goods...........................    3.7    3.1    3.3    4.1    6.3    5.2    1.0    3.6    4.3    3.0    1.3    2.3    3.0    6.3    5.2     .1    3.5    5.1    3.2
    Services........................    3.2    4.9    3.7     .7    3.9    3.8    3.8    5.5    5.0    4.9    5.2    4.8    2.2    5.5    3.3   -2.7    3.9    5.8    5.7
  Imports...........................    4.9    6.3    4.0     .4    9.2    7.3    5.3    6.9    2.2    9.7   10.3    4.3   -1.5   10.1    4.7   -9.4    1.0   11.9    8.1
    Goods...........................    4.9    6.5    4.2     .5   10.0    7.9    5.0    7.0    2.0   10.1   10.9    4.9   -1.9   10.4    5.3  -10.1     .7   13.0    8.4
    Services........................    4.4    5.6    3.1     .0    4.9    4.7    6.7    6.0    3.5    7.7    7.5    1.3     .5    8.4    1.4   -5.3    2.3    6.7    6.7

Government consumption expenditures
 and gross investment...............    4.5    5.8    4.9    2.2    7.2    5.0    4.8    5.7    7.5    4.6    6.4    5.0    5.1    5.7    3.0    2.1    6.4    5.5    3.0
  Federal...........................    4.7    4.8    3.9    1.1   11.6    5.5    2.5    2.6   11.5    2.3    3.4     .8    9.1    4.0    1.3     .5    5.3    3.8    1.5
    National defense................    4.7    5.3    4.1    1.3   10.6    5.6    2.9    3.1   12.2    2.5    3.5    1.3    9.3    4.2    1.6    -.1    5.0    4.1    1.7
    Nondefense......................    4.9    4.0    3.5     .6   13.8    5.2    1.4    1.7   10.1    1.8    3.2    -.2    8.9    3.5     .7    1.7    5.9    3.3    1.0
  State and local...................    4.3    6.4    5.4    2.9    4.6    4.7    6.2    7.6    5.2    6.1    8.1    7.6    2.7    6.7    4.0    3.1    7.0    6.5    4.0

Addenda:
  Final sales of domestic product...    2.9    3.2    3.2    2.2    3.7    3.8    2.3    3.2    3.9    2.6    3.5    3.5    3.4    3.5    2.3    1.7    4.2    2.7     .8
  Gross domestic purchases..........    3.1    3.7    3.3    1.9    4.3    4.2    2.8    3.6    3.6    3.5    4.6    3.7    2.7    4.2    2.5     .1    3.8    3.8    1.6
  Final sales to domestic
   purchasers.......................    3.1    3.7    3.3    1.9    4.3    4.2    2.7    3.6    3.6    3.5    4.6    3.7    2.7    4.2    2.5     .1    3.8    3.8    1.6
  Gross national product (GNP)......    2.9    3.2    3.1    2.2    3.7    3.8    2.3    3.2    3.9    2.6    3.5    3.5    3.4    3.5    2.4    1.7    4.2    2.6  .....

  Implicit price deflators:
    GDP.............................    2.9    3.2    3.2    2.2    3.7    3.8    2.3    3.2    3.9    2.6    3.5    3.5    3.4    3.5    2.4    1.7    4.2    2.6     .7
    Gross domestic purchases........    3.1    3.6    3.3    1.9    4.3    4.2    2.7    3.7    3.6    3.6    4.6    3.7    2.7    4.2    2.5     .1    3.8    3.8    1.5
    GNP.............................    2.9    3.2    3.2    2.2    3.7    3.8    2.3    3.2    3.9    2.6    3.5    3.5    3.4    3.5    2.4    1.7    4.2    2.6  .....
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  See "Explanatory Note" at the end of the tables.

                                      Table 5.--Real Gross Domestic Product, Quantity Indexes
                                                     [Index numbers, 2000=100]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                   Seasonally adjusted
                                                                                ---------------------------------------------------
                                                  2004       2005       2006     III 06      IV 06       I 07      II 07     III 07
-----------------------------------------------------------------------------------------------------------------------------------
        Gross domestic product.............    108.748    112.086    115.304    115.481    116.080    116.254    117.349    118.475

Personal consumption expenditures..........    112.197    115.791    119.359    119.652    120.801    121.906    122.331    123.235
  Durable goods............................    125.652    131.748    136.735    137.413    138.720    141.680    142.283    143.840
  Nondurable goods.........................    111.833    115.828    120.051    120.370    121.650    122.563    122.419    123.241
  Services.................................    109.726    112.687    115.696    115.911    116.969    117.865    118.527    119.363

Gross private domestic investment..........    102.003    107.709    110.607    111.106    106.955    104.690    105.875    106.096
  Fixed investment.........................    102.012    109.080    111.657    111.354    109.325    108.113    108.956    108.549
    Nonresidential.........................     92.873     99.490    106.062    107.090    106.711    107.277    110.109    112.227
      Structures...........................     78.760     79.127     85.770     87.270     88.849     90.241     95.639     98.463
      Equipment and software...............     98.505    107.935    114.332    115.100    113.662    113.753    115.075    116.740
    Residential............................    125.343    133.608    127.433    124.190    118.462    113.301    109.791    103.809
  Change in private inventories............      .....      .....      .....      .....      .....      .....      .....      .....

Exports of goods and services..............    102.723    109.775    118.957    119.182    123.222    123.568    125.833    130.646

Imports of goods and services..............    116.546    123.425    130.683    131.483    132.014    133.272    132.363    134.061

Government consumption expenditures and
 gross investment..........................    112.210    113.050    115.092    115.022    116.007    115.865    117.028    118.106
  Federal..................................    123.693    125.524    128.255    127.708    129.977    127.886    129.756    131.913
  State and local..........................    106.384    106.721    108.418    108.584    108.935    109.748    110.564    111.115

Addenda:
  Final sales of domestic product..........    108.804    112.360    115.526    115.565    116.550    116.916    117.953    118.979
  Gross domestic purchases.................    110.444    113.894    117.071    117.331    117.562    117.871    118.560    119.383
  Final sales to domestic purchasers.......    110.505    114.166    117.292    117.421    118.021    118.515    119.146    119.872
  Gross national product...................    109.031    112.265    115.363    115.422    116.152    116.344    117.493      .....
-----------------------------------------------------------------------------------------------------------------------------------
  See "Explanatory Note" at the end of the tables.

                                        Table 6.--Price Indexes for Gross Domestic Product
                                                     [Index numbers, 2000=100]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                                   Seasonally adjusted
                                                                                ---------------------------------------------------
                                                  2004       2005       2006     III 06      IV 06       I 07      II 07     III 07
-----------------------------------------------------------------------------------------------------------------------------------
        Gross domestic product.............    109.462    113.005    116.568    117.030    117.527    118.750    119.527    119.756

Personal consumption expenditures
 (PCE).....................................    108.392    111.588    114.675    115.406    115.143    116.129    117.345    117.828
  Durable goods............................     90.696     90.018     88.857     88.827     88.213     87.799     87.488     87.090
  Nondurable goods.........................    107.626    111.561    114.989    116.576    114.210    115.620    118.413    118.750
  Services.................................    112.929    116.726    120.725    121.209    122.122    123.252    124.055    124.843

Gross private domestic investment..........    106.686    111.155    115.090    115.335    115.958    116.532    116.426    116.234
  Fixed investment.........................    106.845    111.404    115.352    115.592    116.162    116.718    116.636    116.435
    Nonresidential.........................    100.896    103.778    106.961    107.267    107.789    108.301    108.293    108.114
      Structures...........................    120.912    135.013    150.806    152.344    154.071    155.637    155.199    155.283
      Equipment and software...............     94.600     94.527     94.485     94.470     94.667     94.892     95.002     94.749
    Residential............................    120.587    128.653    134.288    134.390    135.076    135.736    135.459    135.200
  Change in private inventories............      .....      .....      .....      .....      .....      .....      .....      .....

Exports of goods and services..............    104.997    108.803    112.537    113.641    113.424    114.433    115.912    117.041

Imports of goods and services..............    104.526    111.117    115.610    117.689    114.834    115.114    118.408    120.744

Government consumption expenditures and
 gross investment..........................    114.754    121.435    127.334    128.076    128.757    130.765    132.527    133.525
  Federal..................................    115.322    120.914    125.622    126.097    126.244    127.886    129.098    129.572
  State and local..........................    114.431    121.758    128.370    129.271    130.272    132.499    134.586    135.899

Addenda:
  PCE excluding food and energy............    107.338    109.670    112.130    112.519    113.052    113.730    114.116    114.627
  Market-based PCE\1\......................    107.386    110.307    113.168    113.926    113.456    114.472    115.784    116.181
  Market-based PCE excluding food
   and energy\1\...........................    105.857    107.667    109.717    110.072    110.507    111.161    111.498    111.907
  Final sales of domestic product..........    109.487    113.040    116.603    117.065    117.553    118.773    119.555    119.783
  Gross domestic purchases.................    109.235    113.225    116.920    117.575    117.609    118.702    119.809    120.276
  Final sales to domestic purchasers.......    109.259    113.261    116.956    117.612    117.636    118.727    119.838    120.304
  Gross national product...................    109.456    112.999    116.558    117.022    117.515    118.740    119.518      .....

  Implicit price deflators:
    Gross domestic product.................    109.462    113.000    116.567    117.026    117.522    118.745    119.519    119.741
    Final sales of domestic product........    109.487    113.040    116.603    117.061    117.550    118.770    119.551    119.780
    Gross domestic purchases...............    109.234    113.221    116.919    117.573    117.606    118.700    119.804    120.264
    Final sales to domestic purchasers.....    109.259    113.261    116.956    117.610    117.634    118.725    119.837    120.303
    Gross national product.................    109.455    112.994    116.558    117.019    117.511    118.736    119.512      .....
-----------------------------------------------------------------------------------------------------------------------------------
  1. This index is a supplemental measure that is based on household
expenditures for which there are observable price measures.  It
excludes most implicit prices (for example, the services furnished
without payment by financial intermediaries) and the expenses of
nonprofit institutions.  Percentage changes for these series are
included in the addenda to table 8 and in appendix table A.
  See "Explanatory Note" at the end of the tables.

                                               Table 7.--Real Gross Domestic Product: Percent Change from Preceding Year
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                           1991    1992    1993    1994    1995    1996    1997    1998    1999    2000    2001    2002    2003    2004    2005    2006
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP)....     -.2     3.3     2.7     4.0     2.5     3.7     4.5     4.2     4.5     3.7      .8     1.6     2.5     3.6     3.1     2.9

Personal consumption expenditures......      .2     3.3     3.3     3.7     2.7     3.4     3.8     5.0     5.1     4.7     2.5     2.7     2.8     3.6     3.2     3.1
  Durable goods........................    -5.6     5.9     7.8     8.4     4.4     7.8     8.6    11.3    11.7     7.3     4.3     7.1     5.8     6.3     4.9     3.8
  Nondurable goods.....................     -.2     2.0     2.7     3.5     2.2     2.6     2.7     4.0     4.6     3.8     2.0     2.5     3.2     3.5     3.6     3.6
  Services.............................     1.7     3.5     2.8     2.9     2.6     2.9     3.3     4.2     4.0     4.5     2.4     1.9     1.9     3.2     2.7     2.7

Gross private domestic investment......    -8.1     8.1     8.9    13.6     3.1     8.9    12.4     9.8     7.8     5.7    -7.9    -2.6     3.6     9.7     5.6     2.7
  Fixed investment.....................    -6.5     5.9     8.6     9.3     6.5     9.0     9.2    10.2     8.3     6.5    -3.0    -5.2     3.4     7.3     6.9     2.4
    Nonresidential.....................    -5.4     3.2     8.7     9.2    10.5     9.3    12.1    11.1     9.2     8.7    -4.2    -9.2     1.0     5.8     7.1     6.6
      Structures.......................   -11.1    -6.0     -.7     1.8     6.4     5.6     7.3     5.1     -.4     6.8    -2.3   -17.1    -4.1     1.3      .5     8.4
      Equipment and software...........    -2.6     7.3    12.5    11.9    12.0    10.6    13.8    13.3    12.7     9.4    -4.9    -6.2     2.8     7.4     9.6     5.9
    Residential........................    -9.6    13.8     8.2     9.6    -3.2     8.0     1.9     7.6     6.0      .8      .4     4.8     8.4    10.0     6.6    -4.6
  Change in private inventories........   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....

Net exports of goods and services......   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....
  Exports..............................     6.6     6.9     3.2     8.7    10.1     8.4    11.9     2.4     4.3     8.7    -5.4    -2.3     1.3     9.7     6.9     8.4
    Goods..............................     6.9     7.5     3.3     9.7    11.7     8.8    14.3     2.2     3.8    11.2    -6.1    -4.0     1.8     9.0     7.5     9.9
    Services...........................     6.0     5.5     3.2     6.3     6.3     7.2     5.9     2.9     5.6     2.9    -3.7     1.9      .0    11.5     5.4     4.8
  Imports..............................     -.6     7.0     8.8    11.9     8.0     8.7    13.6    11.6    11.5    13.1    -2.7     3.4     4.1    11.3     5.9     5.9
    Goods..............................     -.1     9.3    10.1    13.3     9.0     9.3    14.4    11.7    12.4    13.5    -3.2     3.7     4.9    11.3     6.6     6.0
    Services...........................    -2.6    -2.6     2.9     5.7     3.3     5.5     9.4    11.4     6.9    11.1     -.3     2.1      .0    11.5     2.3     5.2

Government consumption expenditures
 and gross investment..................     1.1      .5     -.9      .0      .5     1.0     1.9     1.9     3.9     2.1     3.4     4.4     2.5     1.4      .7     1.8
  Federal..............................     -.2    -1.7    -4.2    -3.7    -2.7    -1.2    -1.0    -1.1     2.2      .9     3.9     7.0     6.8     4.2     1.5     2.2
    National defense...................    -1.1    -5.0    -5.6    -4.9    -3.8    -1.4    -2.8    -2.1     1.9     -.5     3.9     7.4     8.7     5.8     1.5     1.9
    Nondefense.........................     2.4     6.9     -.7    -1.2     -.4     -.7     2.6      .7     2.8     3.5     3.9     6.3     3.4     1.1     1.3     2.8
  State and local......................     2.1     2.2     1.4     2.6     2.6     2.3     3.6     3.6     4.7     2.7     3.2     3.1      .2     -.2      .3     1.6

Addenda:
  Final sales of domestic product......      .1     3.0     2.6     3.4     3.0     3.7     4.0     4.2     4.5     3.8     1.6     1.2     2.5     3.3     3.3     2.8
  Gross domestic purchases.............     -.8     3.3     3.2     4.4     2.4     3.8     4.8     5.3     5.3     4.4      .9     2.2     2.8     4.1     3.1     2.8
  Final sales to domestic purchasers...     -.6     3.1     3.2     3.8     2.8     3.8     4.3     5.3     5.4     4.5     1.8     1.8     2.8     3.8     3.3     2.7
  Gross national product...............     -.3     3.3     2.7     3.9     2.6     3.7     4.4     4.0     4.6     3.7      .8     1.5     2.7     3.8     3.0     2.8
  Real disposable personal income......      .5     3.4     1.0     2.7     2.8     3.0     3.5     5.8     3.0     4.8     1.9     3.1     2.2     3.6     1.7     3.1

  Price indexes:
    Gross domestic purchases...........     3.3     2.3     2.2     2.1     2.1     1.8     1.4      .6     1.6     2.5     2.0     1.6     2.3     3.1     3.7     3.3
    Gross domestic purchases excluding
     food and energy...................     3.5     2.6     2.3     2.2     2.2     1.5     1.3     1.0     1.4     1.9     1.9     1.9     1.9     2.7     3.1     2.9
    GDP................................     3.5     2.3     2.3     2.1     2.0     1.9     1.7     1.1     1.4     2.2     2.4     1.7     2.1     2.9     3.2     3.2
    GDP excluding food and energy......     3.6     2.5     2.4     2.2     2.1     1.7     1.7     1.2     1.5     2.0     2.1     2.1     1.9     2.7     3.2     3.1
    Personal consumption expenditures..     3.6     2.9     2.3     2.1     2.1     2.2     1.7      .9     1.7     2.5     2.1     1.4     2.0     2.6     2.9     2.8
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------

                                            Table 8.--Real Gross Domestic Product: Percent Change From Quarter One Year Ago
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                          IV 03    I 04   II 04  III 04   IV 04    I 05   II 05  III 05   IV 05    I 06   II 06  III 06   IV 06    I 07   II 07  III 07
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
       Gross domestic product (GDP)....     3.7     4.1     4.1     3.2     3.1     3.2     3.0     3.2     2.9     3.3     3.2     2.4     2.6     1.5     1.9     2.6

Personal consumption expenditures
 (PCE).................................     3.4     4.0     3.7     3.2     3.7     3.1     3.4     3.5     2.8     3.3     3.0     2.7     3.4     3.2     2.9     3.0
  Durable goods........................     8.3     9.8     6.1     4.0     5.6     4.7     7.0     6.6     1.2     4.6     2.1     2.0     6.6     4.7     5.0     4.7
  Nondurable goods.....................     3.9     4.1     3.9     2.8     3.5     3.3     3.8     3.6     3.6     3.8     3.5     3.7     3.6     3.2     2.5     2.4
  Services.............................     2.2     2.9     3.2     3.2     3.3     2.8     2.5     2.9     2.7     2.7     3.0     2.4     2.6     2.9     2.8     3.0

Gross private domestic investment......     7.0     7.9    12.2     9.8     9.1     9.9     3.8     3.6     5.3     5.0     6.2     3.4    -3.6    -6.6    -5.7    -4.5
  Fixed investment.....................     7.2     7.3     7.8     6.8     7.2     8.3     7.1     6.8     5.5     6.5     4.0      .8    -1.6    -4.5    -3.3    -2.5
    Nonresidential.....................     4.9     4.9     4.9     5.6     7.5     9.1     7.7     6.8     5.1     7.5     7.3     6.4     5.2     2.5     4.1     4.8
      Structures.......................      .2     2.0      .0     1.1     2.3     2.9     1.0    -1.6     -.3     2.7     7.1    11.6    12.3    10.2    12.4    12.8
      Equipment and software...........     6.6     6.0     6.7     7.3     9.4    11.4    10.1     9.9     7.1     9.4     7.4     4.6     2.5     -.5      .7     1.4
    Residential........................    11.7    11.6    13.2     8.8     6.7     7.0     6.2     6.9     6.4     4.8    -1.5    -8.5   -12.8   -16.5   -16.5   -16.4
  Change in private inventories........   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....

Net exports of goods and services......   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....   .....
  Exports..............................     5.8     9.8    12.0     9.9     7.4     6.4     7.1     6.9     7.0     8.4     7.4     8.4     9.3     6.6     7.1     9.6
    Goods..............................     7.1     8.4    10.7    10.0     7.0     6.6     8.1     7.0     8.3    10.7     9.0    10.4     9.7     6.1     6.1     9.8
    Services...........................     3.0    13.0    15.3     9.8     8.3     6.0     4.9     6.6     4.1     3.2     3.9     3.8     8.3     7.9     9.4     9.3
  Imports..............................     4.8     9.3    12.1    12.4    11.5     8.8     5.3     4.6     5.1     6.3     6.4     7.2     3.7     2.9     2.0     2.0
    Goods..............................     5.3     9.3    11.3    12.6    11.9     9.8     5.9     5.2     5.8     6.6     6.7     7.6     3.2     2.7     1.7     1.7
    Services...........................     2.2     9.2    16.4    11.5     9.3     4.3     1.9     1.5     1.4     4.7     4.8     5.2     6.1     4.3     3.9     3.6

Government consumption expenditures
 and gross investment..................     1.7     2.5     1.3     1.3      .7      .6      .6      .9      .9     1.8     1.8     1.2     2.5     1.2     1.9     2.7
  Federal..............................     5.5     7.1     3.0     4.4     2.4     1.6     1.2     1.8     1.3     2.7     2.1      .3     3.7      .0     1.8     3.3
    National defense...................     7.5    10.8     3.1     7.2     2.5     1.7     1.8     1.6     1.1     1.6     1.5    -1.3     5.9     1.2     2.8     5.6
    Nondefense.........................     1.9      .3     2.8     -.9     2.3     1.5     -.1     2.1     1.9     5.0     3.4     3.4     -.7    -2.5      .0    -1.2
  State and local......................     -.4     -.1      .3     -.5     -.4      .0      .2      .5      .7     1.3     1.5     1.7     1.8     1.9     2.0     2.3

Addenda:
  Final sales of domestic product......     3.7     4.0     3.5     2.7     2.8     2.9     3.5     3.7     2.9     3.5     2.8     1.9     3.0     1.9     2.3     3.0
  Gross domestic purchases.............     3.6     4.3     4.5     3.8     3.9     3.7     2.9     3.1     2.8     3.3     3.3     2.5     2.1     1.2     1.4     1.7
  Final sales to domestic purchasers...     3.7     4.2     3.9     3.3     3.6     3.4     3.4     3.5     2.9     3.5     2.9     2.1     2.4     1.6     1.8     2.1
  Gross national product...............     3.9     4.6     4.2     3.4     2.9     2.9     2.9     3.2     2.8     3.2     3.2     2.0     2.7     1.5     1.9   .....
  Real disposable personal income......     3.7     4.2     3.5     2.7     4.1     2.3     2.3     1.3     1.1     3.1     2.6     3.3     3.2     3.4     3.4     4.1

  Price indexes:
    Gross domestic purchases...........     2.2     2.2     3.1     3.3     3.7     3.5     3.4     3.8     3.8     3.6     3.8     3.3     2.4     2.6     2.5     2.3
    Gross domestic purchases excluding
     food and energy...................     1.9     2.1     2.7     2.9     3.1     3.2     3.0     3.0     3.1     2.9     3.1     3.0     2.8     2.8     2.3     2.1
    GDP................................     2.2     2.3     2.9     3.0     3.2     3.3     3.0     3.3     3.4     3.2     3.5     3.2     2.7     2.9     2.7     2.3
    GDP excluding food and energy......     1.9     2.1     2.7     2.9     3.2     3.3     3.1     3.2     3.3     3.1     3.3     3.2     2.9     2.9     2.5     2.2
    PCE................................     1.9     2.0     2.8     2.7     3.1     2.8     2.6     3.2     3.2     3.1     3.3     2.9     1.9     2.3     2.3     2.1
    PCE excluding food and energy......     1.4     1.8     2.1     2.1     2.2     2.3     2.1     2.1     2.2     2.0     2.2     2.4     2.3     2.4     2.0     1.9
    Market-based PCE\1\................     1.6     1.6     2.4     2.3     2.8     2.4     2.4     3.1     3.0     2.9     3.2     2.7     1.6     2.2     2.2     2.0
    Market-based PCE excluding food
     and energy\1\.....................     1.0     1.3     1.5     1.4     1.6     1.8     1.7     1.7     1.7     1.6     1.9     2.1     2.0     2.2     1.8     1.7
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------
  1. This index is a supplemental measure that is based on household
expenditures for which there are observable price measures.  It
excludes most implicit prices (for example, the services furnished
without payment by financial intermediaries) and the expenses of
nonprofit institutions.

                     Table 9.--Relation of Gross Domestic Product, Gross National Product, and National Income
                                                       [Billions of dollars]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                         Seasonally adjusted at annual rates
                                                                                ---------------------------------------------------
                                                  2004       2005       2006     III 06      IV 06       I 07      II 07     III 07
-----------------------------------------------------------------------------------------------------------------------------------
Gross domestic product.....................   11,685.9   12,433.9   13,194.7   13,266.9   13,392.3   13,551.9   13,768.8   13,926.7

Plus: Income receipts from the rest of the
 world.....................................      437.5      544.1      691.4      709.7      733.8      752.2      814.2      .....
Less: Income payments to the rest of the
 world.....................................      361.3      475.6      633.4      664.7      673.7      689.0      743.5      .....

Equals: Gross national product.............   11,762.1   12,502.4   13,252.7   13,311.9   13,452.4   13,615.1   13,839.4      .....

Less: Consumption of fixed capital.........    1,436.1    1,609.5    1,615.2    1,628.8    1,654.4    1,670.9    1,683.4    1,690.1
Less: Statistical discrepancy..............       19.1        5.4      -18.1       -2.5      -46.6      -66.3      -88.8      .....

Equals: National income....................   10,306.8   10,887.6   11,655.6   11,685.6   11,844.6   12,010.5   12,244.9      .....
  Compensation of employees................    6,656.4    7,029.6    7,448.3    7,442.5    7,649.9    7,764.9    7,874.9    7,972.9
    Wage and salary accruals...............    5,379.5    5,672.9    6,025.7    6,015.8    6,203.0    6,294.4    6,388.7    6,470.1
    Supplements to wages and salaries......    1,276.9    1,356.8    1,422.6    1,426.7    1,446.9    1,470.5    1,486.2    1,502.9
  Proprietors' income with inventory
   valuation and capital consumption
   adjustments.............................      911.6      969.9    1,006.7    1,003.6    1,009.8    1,027.4    1,038.4    1,045.7
  Rental income of persons with capital
   consumption adjustment..................      118.4       42.9       54.5       52.9       50.9       53.2       62.1       67.6
  Corporate profits with inventory
   valuation and capital consumption
   adjustments.............................    1,231.2    1,372.8    1,553.7    1,592.5    1,531.2    1,547.7    1,642.4      .....
  Net interest and miscellaneous payments..      491.2      558.0      598.5      594.2      596.0      599.6      592.4      593.1
  Taxes on production and imports less
   subsidies...............................      819.2      863.1      917.6      922.9      931.1      943.8      956.8      971.8
  Business current transfer payments.......       83.0       66.5       90.2       91.4       91.8       91.8       92.8       94.7
  Current surplus of government
   enterprises.............................       -4.2      -15.1      -13.9      -14.5      -16.0      -17.8      -15.0      -12.2

Addendum:
  Gross domestic income....................   11,666.8   12,428.6   13,212.8   13,269.4   13,438.9   13,618.2   13,857.6      .....
-----------------------------------------------------------------------------------------------------------------------------------

                                          Table 10.--Personal Income and Its Disposition
                                                       [Billions of dollars]
-----------------------------------------------------------------------------------------------------------------------------------
                                                                                         Seasonally adjusted at annual rates
                                                                                ---------------------------------------------------
                                                  2004       2005       2006     III 06      IV 06       I 07      II 07     III 07
-----------------------------------------------------------------------------------------------------------------------------------
Personal income\1\.........................    9,727.2   10,301.1   10,983.4   11,030.9   11,200.2   11,469.2   11,619.2   11,784.4

  Compensation of employees, received......    6,671.4    7,024.6    7,440.8    7,442.5    7,599.9    7,764.9    7,849.9    7,947.9
    Wage and salary disbursements..........    5,394.5    5,667.9    6,018.2    6,015.8    6,153.0    6,294.4    6,363.7    6,445.1
    Supplements to wages and salaries......    1,276.9    1,356.8    1,422.6    1,426.7    1,446.9    1,470.5    1,486.2    1,502.9
  Proprietors' income with inventory
   valuation and capital consumption
   adjustments.............................      911.6      969.9    1,006.7    1,003.6    1,009.8    1,027.4    1,038.4    1,045.7
    Farm...................................       37.3       30.8       19.4       18.1       23.9       29.1       33.1       38.4
    Nonfarm................................      874.3      939.1      987.4      985.5      985.8      998.3    1,005.3    1,007.3
  Rental income of persons with capital
   consumption adjustment..................      118.4       42.9       54.5       52.9       50.9       53.2       62.1       67.6
  Personal income receipts on assets.......    1,432.1    1,617.8    1,796.5    1,828.1    1,836.6    1,882.9    1,930.0    1,969.3
    Personal interest income...............      895.1    1,018.9    1,100.2    1,119.7    1,102.8    1,126.1    1,148.4    1,164.3
    Personal dividend income...............      537.0      598.9      696.3      708.4      733.8      756.8      781.6      805.0
  Personal current transfer receipts.......    1,422.5    1,520.7    1,612.5    1,630.6    1,647.7    1,710.7    1,717.1    1,742.3

  Less: Contributions for government
   social insurance........................      828.8      874.8      927.6      926.8      944.6      969.8      978.4      988.4

Less: Personal current taxes...............    1,046.3    1,209.1    1,354.3    1,355.2    1,401.0    1,454.7    1,485.6    1,499.6

Equals: Disposable personal income.........    8,680.9    9,092.0    9,629.1    9,675.8    9,799.2   10,014.5   10,133.6   10,284.8

Less: Personal outlays.....................    8,499.2    9,047.4    9,590.3    9,677.1    9,757.2    9,917.5   10,069.2   10,198.3

Equals: Personal saving....................      181.7       44.6       38.8       -1.4       42.0       97.0       64.4       86.5

  Personal saving as a percentage of
   disposable personal income..............        2.1         .5         .4         .0         .4        1.0         .6         .8

Addendum:
  Disposable personal income, billions of
   chained (2000) dollars\2\...............    8,008.9    8,147.9    8,396.9    8,384.5    8,510.7    8,623.9    8,636.0    8,729.0
-----------------------------------------------------------------------------------------------------------------------------------
  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.

                      Appendix Table A.--Real Gross Domestic Product and Related Aggregates and Price Indexes: Percent Change From Preceding Period
                                                             [Quarters seasonally adjusted at annual rates]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                       2004   2005   2006  IV 03   I 04  II 04 III 04  IV 04   I 05  II 05 III 05  IV 05   I 06  II 06 III 06  IV 06   I 07  II 07 III 07
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Gross domestic product (GDP) and
 related aggregates:
  GDP...............................    3.6    3.1    2.9    2.7    3.0    3.5    3.6    2.5    3.1    2.8    4.5    1.2    4.8    2.4    1.1    2.1     .6    3.8    3.9

  Goods.............................    4.7    4.3    5.0    2.5    2.1    3.4    6.6    3.7    4.2    3.9    5.8    1.5    9.6    4.6    3.4    1.1     .2    5.4    8.8
  Services..........................    2.8    2.3    2.3    2.8    3.8    2.2    2.4    2.4    2.3    1.4    4.4    1.0    2.4    2.0    2.0    4.4    2.1    3.1    3.0
  Structures........................    5.2    3.4    -.1    2.2    1.0   11.5    1.3    -.3    4.0    7.3    1.2    1.2    4.3   -1.4   -9.9   -7.0   -6.2    3.0   -5.1

  Motor vehicle output..............    4.0    4.2   -1.3   -6.5    8.8   -6.1   29.0   -9.6    5.4    4.7   30.6  -30.5   17.0  -10.9   15.1  -21.6    6.2    1.0   12.0
  GDP excuding motor vehicle
   output...........................    3.6    3.0    3.0    3.0    2.8    3.8    2.8    3.0    3.0    2.7    3.6    2.5    4.4    2.9     .6    2.9     .4    3.9    3.7

  Final sales of computers\1\.......    5.4   35.1   19.4   20.0  -31.0   -6.6   19.8   50.1   39.5   51.7   21.8   34.2    7.3   20.7    5.1   27.0   -1.3   35.7   51.1
  GDP excluding final sales of
   computers........................    3.6    2.9    2.8    2.5    3.3    3.6    3.5    2.3    2.8    2.5    4.3    1.0    4.8    2.3    1.0    1.9     .6    3.6    3.6

  Farm gross value added\2\.........    8.1    5.9     .6  -36.1  149.5  -30.8   18.9   40.8  -10.9   14.0   -3.0    6.0   -8.9   17.5  -12.4     .8  -12.5   14.8    3.0

  Nonfarm business gross value
   added\3\.........................    4.1    3.6    3.2    1.6    2.6    5.0    3.8    2.6    3.9    3.2    5.6     .9    5.7    2.4     .8    2.6     .3    4.2    4.3

Price indexes:
  GDP...............................    2.9    3.2    3.2    2.2    3.7    3.8    2.3    3.2    3.9    2.6    3.5    3.5    3.4    3.5    2.4    1.7    4.2    2.6     .8
  GDP excluding food and energy.....    2.7    3.2    3.1    2.1    3.5    3.4    2.8    3.1    4.1    2.6    2.9    3.5    3.4    3.2    2.6    2.4    3.3    1.6    1.6
  GDP excluding final sales of
   computers........................    3.0    3.4    3.3    2.3    3.8    3.8    2.4    3.4    4.1    2.7    3.6    3.7    3.5    3.6    2.5    1.8    4.3    2.8    1.0

  Gross domestic purchases..........    3.1    3.7    3.3    1.9    4.3    4.2    2.8    3.6    3.6    3.5    4.6    3.7    2.7    4.2    2.5     .1    3.8    3.8    1.6
  Gross domestic purchases excluding
   food and energy..................    2.7    3.1    2.9    2.0    3.5    3.4    2.6    2.8    4.0    2.6    2.7    3.2    3.2    3.2    2.5    2.3    3.1    1.5    1.7
  Gross domestic purchases excluding
   final sales of computers to
   domestic purchasers..............    3.2    3.9    3.5    2.0    4.4    4.3    2.9    3.9    3.8    3.7    4.8    3.9    2.9    4.5    2.7     .2    3.9    4.0    1.8

  Personal consumption expenditures
   (PCE)............................    2.6    2.9    2.8    1.5    3.5    3.8    2.0    3.0    2.2    3.4    4.3    2.8    1.7    4.3    2.6    -.9    3.5    4.3    1.7
  Personal consumption expenditures
   excluding food and energy........    2.1    2.2    2.2    1.6    2.4    2.7    1.7    2.1    2.6    2.1    1.7    2.4    2.0    2.9    2.3    1.9    2.4    1.4    1.8
  Market-based PCE\4\...............    2.3    2.7    2.6     .9    3.2    3.4    1.5    2.9    1.9    3.1    4.3    2.6    1.5    4.3    2.4   -1.6    3.6    4.7    1.4
  Market-based PCE excluding food
   and energy\4\....................    1.5    1.7    1.9     .9    1.8    1.9    1.1    1.8    2.3    1.5    1.2    1.9    1.8    2.6    2.1    1.6    2.4    1.2    1.5
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------
  1. Some components of final sales of computers include
computer parts.
  2. Farm output less intermediate goods and services purchased.
  3. Consists of GDP less gross value added of farm, of
households and institutions, and of general government.
  4. This index is a supplemental measure that is based on household
expenditures for which there are observable price measures.  It
excludes most implicit prices (for example, the services furnished
without payment by financial intermediaries) and the expenses of
nonprofit institutions.
  See "Explanatory Note" at the end of the tables.



                          Explanatory Note: NIPA Measures of Quantities and Prices


     Current-dollar GDP is a measure of the market value of goods, services, and structures produced in
the economy in a particular period.  Changes in current-dollar GDP can be decomposed into quantity and
price components.  Quantities, or "real" measures, and prices are expressed as index numbers with the
reference year -- at present, the year 2000 -- equal to 100. 

     Annual changes in quantities and prices are calculated using a Fisher formula that incorporates
weights from two adjacent years.  (Quarterly changes in quantities and prices are calculated using a
Fisher formula that incorporates weights from two adjacent quarters; quarterly indexes are adjusted for
consistency to the annual indexes before percent changes are calculated.)  For example, the 2005-06
annual percent change in real GDP uses prices for 2005 and 2006 as weights, and the 2005-06 annual
percent change in GDP prices uses quantities for 2005 and 2006 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, 8,
and Appendix Table A.  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.