The OECD Input-Output database and
Supply-Use Tables in SNA 1993 Rev 1
OECD-NBS Workshop on National
Accounts
September 25-28, 2007, Beijing
Contact: nadim.ahmad@oecd.org
OECD Input-Output Database
•
•
•
•
•
•
History
2006 Edition
Creating Symmetric Tables
Data Sources
Why Industry by Industry?
Dissemination
History
• 1995 Edition
–
–
–
–
–
10 countries
SNA68
ISIC Rev 2
36 sectors
Up to 1990
• 2002 Edition
-
20 Countries (2 non member)
SNA 93
ISIC Rev 3
42 Sectors
Up to 1998
2006 Edition
• 2006 Edition
–
–
–
–
–
37 countries (9 non members)
SNA93
ISIC Rev 3
48 sectors
Up to 2003
2006 Edition - Country Coverage
• Country coverage corresponds to over 90% of global GDP
(80% in 2002 Ed and 70% in 1995). Population coverage
(66% versus 40 and 10 respectively)
2006 Edition - Tables
Country
ISIC Rev 2
ISIC Rev 3
1970
68
1975
74
1980
-
1985
86
1990
89
1995
94/95
2000
98/99
Austria
-
-
-
-
-
✓
✓
Belgium
-
-
-
-
-
✓
✓
Canada
71
76
81
86
✓
97
✓
-
-
-
-
-
✓
✓
72
77
✓
✓
✓
✓,97
✓
Finland
-
-
-
-
-
✓
France
72
77
✓
✓
✓
Germany
-
78
-
86,88
Greece
-
-
-
Hungary
-
-
-
Australia
Czech Republic
Denmark
Country
ISIC Rev 2
ISIC Rev 3
1970
1975
1980
1985
1990
1995
2000
Poland
-
-
-
-
-
✓
✓
Portugal
-
-
-
-
-
✓
99
Slovak Republic
-
-
-
-
-
✓
✓
Spain
-
-
-
-
-
✓
✓
Sweden
-
-
-
-
-
✓
Switzerland
Turkey
-
-
-
-
-
✓
96
✓
01
98
✓
✓
United Kingdom
68
79
-
84
✓
✓,98
✓
✓
✓
✓
United States
72
77
82
✓
✓
✓,97
✓
-
-
94,✓
99
-
-
98
Argentina
-
-
-
-
-
97
-
Brazil
-
-
-
-
-
✓,96
✓
China
-
-
-
-
-
97
Chinese Taipei
India
-
-
-
-
-
93/94
✓c
01c
98/99
Indonesia
-
-
-
-
-
✓c
✓c
Israel
-
-
-
-
-
✓
-
Russia
-
-
-
-
-
✓
✓
Singapore
-
-
-
-
-
Total
8
9
6
10
8
✓
33
✓
33
Iceland
Ireland
-
-
-
-
-
-
✓
98
Italy
-
-
-
✓
-
92,✓
✓
Japan
✓
✓
✓
✓
✓
95c-97
✓
Korea
-
-
-
-
-
Luxembourg
Mexico
-
-
-
-
-
✓
-
✓c
03
Netherlands
72
77
81
86
-
95-98
New Zealand
Norway
-
-
-
-
-
95/96
97
✓
01
2006 Edition – Industry
Coverage
ISIC Rev.3
code
IO
Industry
1+2+5
10+11+12
13+14
15+16
17+18+19
20
21+22
23
24ex2423
2423
25
26
271+2731
272+2732
28
29
30
31
32
33
34
351
353
352+359
36+37
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
ISIC Rev.3
code
401
Agriculture, hunting, forestry and fishing
Mining and quarrying (energy)
402
Mining and quarrying (non-energy)
403
Food products, beverages and tobacco
41
Textiles, textile products, leather and footwear
45
Wood and products of wood and cork
50+51+52
Pulp, paper, paper products, printing and publishing
55
Coke, refined petroleum products and nuclear fuel
60
Chemicals excluding pharmaceuticals
61
Pharmaceuticals
62
Rubber and plastics products
63
Other non-metallic mineral products
Iron & steel
64
Non-ferrous metals
65+66+67
Fabricated metal products, except machinery and equipment 70
Machinery and equipment, nec
71
Office, accounting and computing machinery
72
Electrical machinery and apparatus, nec
73
Radio, television and communication equipment
74
Medical, precision and optical instruments
75
Motor vehicles, trailers and semi-trailers
80
Building & repairing of ships and boats
85
Aircraft and spacecraft
90-93
Railroad equipment and transport equipment n.e.c.
Manufacturing nec; recycling (include Furniture)
95+99
Description
IO
Industry
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
Description
Production, collection and distribution of electricity
Manufacture of gas; distribution of gaseous fuels through
Steam and hot water supply
Collection, purification and distribution of water
Construction
Wholesale and retail trade; repairs
Hotels and restaurants
Land transport; transport via pipelines
Water transport
Air transport
Supporting & auxiliary transport activities; activities of trav
Post and telecommunications
Finance and insurance
Real estate activities
Renting of machinery and equipment
Computer and related activities
Research and development
Other Business Activities
Public administration and defence; compulsory social security
Education
Health and social work
Other community, social and personal services
Private households with employed persons & extra-territorial or
2006 Edition - Value-Added &
Final Demand
• VA
• FD
Creating Symmetric Tables
• Requests for Industry by Industry (IxI) (preferably
48x48 at BP)
– Or: Supply-Use, or Commodity by Commodity (CxC) and
Supply, or CxC
• Conversion Steps:
– S-U at purchasers’ prices – Convert use table to BP.
– S-U at BP (total economy only) – Convert Use table into
separate domestic and import use tables
– Convert S and Domestic Use tables into IxI tables using
‘Fixed Product Sales Structures’ assumption.
– Aggregate to 48x48
– CxC and Supply – (reverse engineer the Use table and follow
steps above)
– CxC - aggregate only (Japan, Korea. Chinese Taipei and
Indonesia)
– Other: e.g. FISIM, c.i.f/f.o.b
Transforming Supply Use into
Input-Output Tables
• SU tables are CxI not CxC or IxI
• So for CxC, it’s necessary to convert output by
industries into output by products
• And for IxI, it’s necessary to convert demand by
products into demand by industries.
• If each industry produced only one product this
would be trivial.
• Unfortunately this is rarely the case.
(CxC) Input-Output Tables
• Two assumptions prevail in constructing
CxC tables, which can be used in isolation
or often in combination:
– Product technology - Each product is
produced in its own specific way, irrespective
of the industry where it is produced
– Industry technology - Each industry has its
own specific way of production, irrespective of
its product mix.
Product technology
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agriculture
0
60
60
30
150
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agriculture
-8
-3
-2
-7
-20
USE TABLE
SUPPLY TABLE
Manufa
Final
Total Agricul- Manufa
Total
cturing demand
ture cturing
80
50
130
130
0
130
30
130
220
20
200
220
20
80
70
100 one of
- the This- illustrates
200
180
150
200
biggest practical problems
with the implementation
of TABLE
USE TABLE
SUPPLY
the product
Manufa
Final
Total technology
Agricul- Manufa
Total
cturing demand
ture cturing
assumption – although
it
8
0
0
0
0
could of course be used 0
3
0
0
-20
20
0
to
identify
problems
with
2
0
the -original0SU balance
7
20
0
USE TABLE
Agricul- Manufa
Final
Agriculture produces
20
units
of
tural cturing demand
manufacturing
assume the
products– we
products
Agricultural products same structure
-8
88 in
50
as
Manufacturing products
57 hence33 (minus)
130
manufacturing,
Wages and salaries
58
22
80/200*20=-8
etc
Operating surplus
23
77
Total
130
220
-20
Total
130
220
80
100
20
SUPPLY TABLE
Agricul- Manufa
Total
tural cturing
products products
130
0
130
0
220
220
130
220
Industry technology
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agriculture
0
60
60
30
150
USE TABLE
Manufa
Final
cturing demand
80
50
30
130
20
70
200
180
SUPPLY TABLE
Total Agricul- Manufa
Total
ture cturing
130
130
0
130
220
20
200
220
80
100
Note there are
no
150
200
Agriculture
0
-8
-8
-4
-20
USE TABLE
the
Manufa
Final
cturing demand
0
0
8
0
8
4
20
0
negatives. A strength of
SUPPLY TABLE
industry
technology
Total Agricul- Manufa
Total
assumption.
ture cturing
USE TABLE
Agricul- Manufa
Final
Agriculture producestural
20 units
of
cturing demand
manufacturing – we
assume
the
products
products
Agricultural
0
80
50
sameproducts
structure as in agriculture,
Manufacturing
products
52
38
130
hence
zero for agricultural
Wages and salaries
52
28
products and (minus)
Operating surplus
26
74
60/150*20=-8
etc
Total
130
220
0
0
0
0
Total
130
220
80
100
0
-20
-20
0
20
20
0
0
SUPPLY TABLE
Agricul- Manufa
Total
tural cturing
products products
130
0
130
0
220
220
130
220
(CxC) Input-Output Tables
• A third assumption is the hybrid
technology which uses parts of the
industry and product technology
assumptions.
(CxC) Input-Output Tables
• These transformations can be described algebraically as
Product Tech
Industry Tech
IO IC (C by C)
U(Make)-1 diag(q)
U(diag(g))-1Make'
IO VA (VA by C)
VA(Make)-1 diag(q)
VA(diag(g))-1Make'
• Where U is the original SU IC CxI Table; VA is the VA
vector (VA by I); q, the vector of domestically produced
products and g, the vector of the output of industries
(IxI) Input-Output Tables
• Like CxC two assumptions prevail in
constructing IxI tables
• Fixed Product Sales Structures – Each
product has its own specific sales
structure, irrespective of the industry
where it’s produced.
• Fixed Industry Sales Structures - Each
industry has its own specific sales
structure, irrespective of its product mix.
Fixed Product Sales Structures
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agriculture
0
60
60
30
150
USE TABLE
Manufa
Final
cturing demand
80
50
30
130
20
70
200
180
Agriculture
5.5
-5.5
0
0
0
USE TABLE
Manufa
Final
cturing demand
2.7
11.8
-2.7
-11.8
0
0
0
0
Total
130
220
80
100
Total
20
-20
0
0
SUPPLY TABLE
Agricul- Manufa
Total
ture cturing
130
0
130
20
200
220
150
200
SUPPLY TABLE
Agricul- Manufa
Total
ture cturing
20
0
20
-20
0
-20
0
0
USE TABLE
SUPPLY TABLE
Agricul- Manufa
Final
Total Agricul- Manufa
Total
Agriculture
produces
20
units
of
manufacturing
–
we
ture cturing demand
ture cturing
assume
that
it
produces
20/220
per
cent
Agriculture
5.5
82.7
61.8
150
150of all
0
150
products54.5
and that
each118.2
consumer200purchases
Manufacturing
27.3
0 this200
200
Wages and salaries share of manufactured
60
20 products
80 the agriculture
from
Operating surplus
70 60 purchased
100
industry, 30
so, of the
by agriculture
Total
150
200
180
150
200
60*20/220 =5.5 is from the agriculture industry.
Fixed Industry Sales Structures
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agricultural products
Manufacturing products
Wages and salaries
Operating surplus
Total
Agriculture
0
60
60
30
150
USE TABLE
Manufa
Final
cturing demand
80
50
30
130
20
70
200
180
Agriculture
0
0
0
0
0
USE TABLE
Manufa
Final
cturing demand
12.3
7.7
-12.3
-7.7
0
0
0
0
Total
130
220
80
100
Total
20
-20
0
0
SUPPLY TABLE
Agricul- Manufa
Total
ture cturing
130
0
130
20
200
220
150
200
SUPPLY TABLE
Agricul- Manufa
Total
ture cturing
20
0
20
-20
0
-20
0
0
USE TABLE
SUPPLY TABLE
Agricul- Manufa
Final
Total Agricul- Manufa
Total
ture cturing demand
ture cturing
Agricultural productsAgriculture produces
0
92.3 20 units
57.7 of manufacturing
150
150 – we0
150
Manufacturing products
60
0
200
200
assume that
the17.7
shares122.3
are split 200
equally between
Wages and salaries
60
20
80
consumers
of
agricultural
products,
so
Operating surplus
30
70
100
80/130*20=12.3
Total
150
200 goes
180to manufacturing,
150
200
50/130*20=7.7 to final demand etc. This can also
result in negatives.
(IxI) Input-Output Tables
• These transformations can be described algebraically as
FPSS
FISS
IO IC (I by I)
Make'(diag(q)-1 U
diag(g)(Make)-1U
IO FD (FD by I)
Make'(diag(q)-1 U
diag(g)(Make)-1fd
• Where U is the original SU IC CxI Table; fd is the final
demand vector; q, the vector of domestically produced
products and g, the vector of the output of industries
So why do the OECD choose
Industry by Industry?
i.
Linkages to other OECD industrial database:
– STAN, ANBERD, SDBS, IEA (emissions) etc
ii. Policy focus –
– Structure of businesses, Entrepreneurship etc
iii. Statistical Quality – whether CxC or IxI, assumptions
are needed:
–
–
Information sources, typically, business (industry) based. IxI
using Fixed Product Sales assumption (FPSA) preserves
observed VA relationships. CxC does not.
Equally the CxC assumption of heterogeneity in products is
intrinsically linked to empirical facts – classification systems are
too aggregate and businesses rarely have the same cost
structures.
iv. Simplicity –
– IxI tables easily produced using FPSS (no negatives)
Sources
Tables
Country
Year
Supply
Australia
Use
Total
Use
Import
1998/99
Tables
Country
IO
Total
IO
Import
✓
✓
Poland
Year
Supply
Use
Total
2000
✓ (99)
Use
Import
IO
Total
IO
Import
✓
✓c
✓c
✓c
Austria
2000
✓
✓ PU
✓c
✓c
Portugal
1999
✓
✓ PU
✓c
Belgium
2000
✓
✓
✓c
✓c
Slovak Republic
2000
✓
✓ PP
✓c
Canada
2000
✓
✓
Spain
2000
✓
✓
Czech Republic
2000
Sweden
2000
✓
✓ PU
✓c
2000
✓
✓
Denmark
✓
2001
✓
✓
✓c
2000
✓
Switzerland
Finland
✓ PU
✓c
1998
✓
✓
✓c
✓c
2000
✓
Turkey
France
✓ PU
✓c
✓c
2000
✓
✓ PU
2000
✓
United Kingdom
Germany
✓ PU
2000
2000
✓
United States(i)
Greece
✓
✓ PR
✓ PU
✓c
✓c
1997
2000
✓
Argentina
Hungary
✓
✓
Ireland
1998
✓
✓ PU
✓c
✓c
Brazil
2000
✓
✓
Italy(i)
2000
✓
✓ PU
✓c
✓c
China
2000
✓c,PR
✓c,PR
Japan (i)
2000
✓
✓c
✓c
Chinese Taipei
2001
✓
✓
Korea
2000
✓c
✓c
India
Mexico
2003
✓
✓
Indonesia
2000
✓c
✓c
Netherlands
2000
✓
✓
Israel
1995
✓
✓
New Zealand
1995/96
✓
✓
Russia
2000
✓
✓
2001
✓
✓
Singapore
2000
✓
✓
Norway
✓
✓
✓
1998/99
✓
✓
✓
✓c
✓
✓
Dissemination
• http://www.oecd.org/std/io-tables/data
– 2002 Edition available now (on request)
from
– 1995 Edition available on-line
– 2006 Edition release imminent
• See also Ahmad & Yamano, 2006 for more
information.
Special Issues
SNA93 – Rev 1 implications
• Although the SU tables are not in
themselves subject to change in the SNA
revision, a number of changes in other
areas will have an effect.
Special Issues
SNA93 – Rev 1 implications
Ancillary Units
• The 1993 SNA specifies that units conducting only a
specified list of activities designated as “ancillary” should
not be treated as separate units but their costs should be
consolidated with the units they serve. This means that
when accounts for a region are compiled, head offices
and other ancillary units located there are excluded if the
units they serve are located outside the region. This
results in a difference between ancillary units located
abroad, which are treated as separate units, and those
that are resident but distant from their related
enterprises.
Special Issues
SNA93 – Rev 1 implications
Ancillary Units
• The AEG recommended that ancillary
units can be establishments in their own
right if they satisfy the normal
requirements of an establishment –
allocated to the main service classification
provided by the unit.
Special Issues
SNA93 – Rev 1 implications
Goods sent abroad for processing
• The 1993 SNA and BoP treat goods sent abroad for
processing differently. The SNA records gross flows only
in the case of substantial processing (reclassification of
the good at three-digit CPC). The Balance of Payments
Manual, as a practical matter, suggests a convention
that all processing be assumed substantial and therefore
gross flows are recorded.
• Further, the position is that when goods are sent abroad
for processing, no change in ownership takes place and
thus there are no actual transactions.
• Does the advent of globalization and the increasing
amount of goods processed abroad suggest a change in
practice would be appropriate?
Special Issues
SNA93 – Rev 1 implications
Goods sent abroad for processing
• The AEG has decided to resolve this issue by
never imputing a change of ownership, and, so,
not recording gross flows. Further the AEG also
recommended that the same approach should
be used in dealing with goods processed
domestically even if between related
enterprises,
Special Issues
SNA93 – Rev 1 implications
Merchanting
• Merchanting is defined in BoP as the purchase
of a good by a resident of country A from a
resident of country B which is then sold to a
resident of country C, without the good entering
the merchant’s economy. The SNA does not
cover this topic.
• There is a need for a clear and precise definition
of merchanting; arising out of this there needs to
be clear guidance on whether merchanting
(when redefined) should be recorded on a net or
a gross basis and under goods or services.
Special Issues
SNA93 – Rev 1 implications
Merchanting
• The AEG has recommended that, the
acquisition of goods by the merchanter
should be recorded as an import, identified
as a negative export, of the merchanter.
The resale of these goods is then shown
as an export with the difference in values
(exclusive of holding gains/losses)
allocated to wholesale/retail exports.