Production approach of gross state product – GSP(P)
21.171 Production of gross state product (GSP(P)) is calculated in both current price values and chain volume measures as the sum of gross value added (GVA) and taxes less subsidies on products:
\(\large GSP(P)= gross \space value \space added+taxes \space on \space products-subsidies \space on \space products\)
21.172 Gross value added is defined as the output of goods and services produced less total intermediate use of the goods and services used in the creation of that output
\(\large Gross \space Value \space Added=Output-Total \space Intermediate \space Use\)
21.173 Estimates of GVA by state are compiled by industry at the ANZSIC division level.
21.174 Taxes and subsidies on products relate to those taxes and subsidies which are payable per unit of a good or service.
21.175 Taxes and subsidies on products relating to state and local governments are allocated directly to the state in which they are collected or paid.
21.176 Commonwealth taxes and subsidies are allocated to states and territories using a range of activity indicators, such as household final consumption expenditure.