Chapter 12 The production account
12.1 Production accounts record the expenses incurred in production and the receipts from sales of goods and services. Sales of goods and services (including goods and services produced for own use) are recorded on the credit (or receipts) side of the account (referred to as the "Resources" side of the accounts in the 2008 SNA). On the debit (or payments) side, expenses of production are recorded; namely, intermediate consumption, compensation of employees, taxes less subsidies on production and imports, gross operating surplus and gross mixed income (referred to as the "Uses" side of the accounts in the 2008 SNA). The gross domestic product account is, in effect, a consolidation of the trading accounts of individual enterprises.
12.2 The receipts side of the gross domestic product account in the ASNA shows sales of goods and services to final consumers (including exports less imports) and changes in inventories. Because only sales to final consumers are shown, revenue from the sale of intermediate goods and services (i.e. goods and services used up in the production of final output) does not appear. In the process of consolidation of the production accounts of all sectors, intermediate goods and services cancel out as the revenue of one producer is a cost to another. On the payments side the incomes from production are shown; namely, compensation of employees, gross operating surplus, gross mixed income and net taxes on production and imports. Where the gross domestic product account has been derived from balanced S-U tables, the sums of the two sides of the account are balanced; otherwise, statistical discrepancies are inserted to achieve balance.
12.3 In the ASNA, the GDP accounts are shown as:
|Gross value added||Final consumption expenditure||Compensation of employees|
|Taxes less subsidies on products||Gross fixed capital formation||Gross operating surplus|
|Domestic final demand||Gross mixed income|
|Changes in inventories||Total factor income|
|Gross national expenditure||Taxes less subsidies on|
production and imports
|Exports of goods and services|
less Imports of goods and services
|Statistical discrepancy (P)||Statistical discrepancy (E)||Statistical discrepancy (I)|
|Gross domestic product||Gross domestic product||Gross domestic product|