Description of demand items covered in the GDP Dashboard

Last Updated:: May 19, 2026

Definitions of each demand item constituting GDP on the expenditure side and GDP on the distribution side are arranged in the form of a list. These items reflect actual economic activities, including consumption and investment activities by households, enterprises and the government, and transactions with foreign countries. They serve as a basis for understanding the breakdown of gross domestic product (GDP).

1. List of demand items
2. Framework of demand items
3. List of items to be distributed

1. List of demand items

Private final consumption expenditure

Household final consumption expenditure

This is the amount of spending on goods and services by households with residents in Japan. The amount of consumption by residents in Japan is estimated by subtracting the amount of consumption in Japan by non-residents from the amount of consumption in Japan and adding the amount of consumption overseas by residents.

Final consumption expenditure of domestic households (13 categories)

Expenditures on goods and services by households in Japan, which are divided into 13 categories according to purposes, such as "food and non-alcohol" and "alcoholic beverages and tobacco." For specific classifications of goods and services, see "Table 7-1: Categories of Domestic Household Final Consumption Expenditure 116" in "Chapter 7: GDP (Expenditure Side) Estimation" in the "Compilation Method of Accounts" in the "Manual of National Accounts Estimation Methods (Annual Estimates) 2020 Standard Edition" published by Statistics Cabinet Office (. 2020

Direct purchases in Japan by non-resident households

This is the amount of spending on goods and services in Japan by households that do not reside in Japan. It is mainly the amount of spending by foreign tourists (so-called inbound) who have come to Japan.

Direct overseas purchases by resident households

This is the amount of spending on goods and services by households residing in Japan overseas. It is mainly the amount of spending by Japanese travelers to foreign countries (so-called outbound tourists).

Final consumption expenditure of private non-profit institutions serving households

Expenditures by non-profit organizations that provide non-market goods and services to households. Non-profit organizations include private schools, nursing care facilities, religious organizations, etc. This item is not covered in the dashboard. If necessary, refer to the page of Annual Estimates of National Accounts of Cabinet Office.

Private house

Expenses for construction and renovation of houses, brokerage fees to real estate companies at the time of purchase of houses, etc., by households (owners of own houses) and private companies are recorded.
In the case of purchasing a used house, brokerage fees, etc. are recorded, and the house price itself is not recorded.

Private sector equipment (13 categories)

"The amount of investment in intangible assets, such as equipment introduced for production activities, software, and R & D, by private companies is recorded. This dashboard shows assets by 13 asset classifications such as" "Transportation machinery" "and" "Computer software." "For specific asset classifications, please refer to the explanation in" " Glossary (Cabinet Office) (PDF format) ." ""

Private inventory change

This shows the extent to which inventories held by private companies have increased or decreased from the previous period. Year-on-year changes or changes from the previous period are not calculated because inventory changes can be zero or negative. Inventory changes are estimated for four categories: "Raw materials," "Work in process," "Finished goods," and "Distributed goods." For details, please refer to "Japan's National Accounts in Response to the 2015 sna (2015 Standard Version)" in "Revision of 2008 Standard of National Accounts (2015) (Cabinet Office) ." 2015

Government final consumption expenditure (69 categories)

This is the amount of expenditure by the general government, such as the central government and local governments, on public services, etc. The classifications are in accordance with international standards. There are 10 classifications by function, such as "general public services," "health," and "education," and each classification is further divided into 69 more detailed classifications. For specific classifications, please refer to "Revision of 2015 (2015) Standards for National Accounts (2015) (Cabinet Office) ," through "Japan's National Accounts in Response to the 2008 sna (2015 (2015) Standard Version)," Appendix 6, General Government Expenditure Classifications by function.

Public fixed capital formation (14 categories)

"This is the amount of investment by the general government and public corporations in intangible assets such as equipment installed for production activities and software / R & D. On this dashboard, assets are classified into 14 categories such as" "Housing," "" "Transportation machinery," "and" "Computer software." "For specific asset classifications, please refer to the explanation in" " Glossary (Cabinet Office) (PDF format) ." ""

Change in official inventories

This shows the degree to which inventories held by the general government and public enterprises have increased or decreased from the previous period. Examples of inventories held by the government and public enterprises include national oil stockpiling and stockpiled rice. For details, refer to "Japan's National Accounts in Response to the 2015 sna (2015 Standard Version)" in "Revision of the 2008 Standard of National Accounts (2015) (Cabinet Office) ." 2015

Exports of goods and services (6 categories)

Exports of goods produced in Japan and services provided to foreign companies are counted. So-called inbound consumption is also included. On this dashboard, goods are classified into six categories, such as "Goods," "Transportation," and "Travel." For specific categories, please refer to the explanation in "Chapter 6: Estimation of Accounts" in the "Manual of National Accounts Estimation Methods (Annual Estimates) 2020 Standard Edition" published by Statistics Cabinet Office (). 2020

Imports of goods and services (6 categories)

This accounts for expenditures on imports of goods produced overseas and services provided by foreign companies. These items are not domestically produced value added and are therefore deducted from GDP. On this dashboard, items are classified into six categories, such as "Goods," "Transportation," and "Travel." For specific categories, please refer to the explanation in "Chapter 6: Estimates of Accounts" in the "Manual of National Accounts Estimation Methods (Annual Estimates) 2020 Standard Edition" published by Statistics Cabinet Office (). 2020

2. Framework of demand items

Demand items can be divided into a larger framework of "domestic demand" and "external demand," and domestic demand is further divided into "private demand" and "public demand." This division makes it easier to analyze which parts of the economy support growth. The correspondence between these classifications and demand items is shown below.

Domestic demand
- Private demand
  - Private final consumption expenditure
  - Private house
  - Private sector facilities
  - Private inventory change
- Public demand
  - Government final consumption expenditure
  - Public fixed capital formation
  - Change in official inventories
External demand
- Exports of goods and services
- Import of goods and services (credit)

3. List of items to be distributed

Compensation of employees

This is the total amount of compensation distributed to employers for providing labor out of the value added generated by production activities (sales minus the cost of raw materials, etc.). Eligible "employers" include regular employees as well as officers of incorporated companies, public officer, etc., but do not include sole proprietors.

Wages and salaries

This mainly includes cash and in-kind salaries (paid in a form other than money) paid to the employer. The total amount (so-called face amount) is recorded before deductions such as income tax and social insurance premiums paid by the employee himself / herself, in addition to basic salaries, bonuses, and officers' remuneration.

Employer's burden on society

Social insurance premiums are borne jointly by employees and employers. Of these, the portion borne by employers (enterprises, general government, etc.) is included in this item. In addition to the portion borne by employers such as public pensions, health insurance, long-term care insurance, employment insurance, etc., contributions to corporate pensions, retirement allowances, etc. are also included.

Operating surplus / mixed income (net)

"Among the added value generated by production activities, it is the amount distributed to companies and sole proprietors who provided capital, equivalent to profits from business activities. However, general government and private non-profit organizations serving households do not aim for profits, and the value of services provided is defined as the total cost. Therefore, there is no operating surplus / mixed income (net). The" "(net)" "represents pure profits excluding the consumption of fixed capital."

Operating surplus (net)

Profits from the production activities of incorporated enterprises (non-financial incorporated enterprises and financial institutions). In addition, profits arising from owner-occupied houses in the household sector are also included here. The operating surplus of owner-occupied houses is calculated as imputed rent in the same way as rental housing, assuming that the house is rented to itself. Then, the profit is obtained by deducting the intermediate input.

Mixed net income

Income from the household sector, excluding owner-occupied houses, earned by sole proprietors (such as self-employed persons). This income is recorded as "mixed income," separate from "operating surplus," which refers to income earned by a business, because it includes compensation for the proprietor's own labor.

Taxes on production and imports

A tax levied on producers with respect to the production, sale, purchase, or use of goods or services. It is considered to constitute a part of the production cost for producers, and in principle, it accounts for the tax that is reflected in the price of goods, etc. and borne by the purchaser.

Value-added tax

Consumption tax and local consumption tax are included.

Import duty

The duties imposed on imported goods are accounted for.

Other:

Alcohol taxes, tobacco taxes, gasoline tax (mainly gasoline taxes), and other taxes are calculated.

Other taxes imposed on production

Other taxes levied in connection with production activities, such as property tax and stamp revenue, are accounted for. Taxes levied directly on products, such as excise tax and liquor tax, are not included.

Subsidy (deduction)

Among ordinary grants granted by the general government to market producers, those that are used to cover the costs of daily business operations, not to support capital investment or compensate for losses, and are considered to have the effect of lowering the market prices of goods and services fall under this category. GDP is calculated based on the prices actually traded in the market, but since subsidies have the effect of lowering those prices, they are treated as deductions in the calculation of GDP on the distribution side.

Consumption of fixed capital

This is the amount of decrease in the value of fixed assets such as buildings, structures, machinery, equipment, and software that occurs as a result of their use in production activities. This is a concept similar to "depreciation" in corporate accounting. However, it is recorded at the market price at that time (replacement price = the price of newly acquiring equivalent assets) rather than the price at the time of purchase (book value). Unforeseeable losses such as loss due to a major disaster are not recorded in this item because their nature is different from the decrease in value due to normal production activities.