Macroeconomic Conditions

Abstract

Data on Gross Domestic Product (GDP) are computed by the Department of National Accounts of the National Bureau of Statistics (NBS) based on different approaches in the light of the different features of various sectors, various expenditure structures and different data sources. GDP is a measurement of value which changes depending on changes of price and production. GDP at constant prices converts the gross domestic product based on the current price into a value based on the price of the base period. When adjusted for price changes, the values of two different periods can be compared to reflect changes of both products and production activities.

Notes

Data on Gross Domestic Product (GDP) are computed by the Department of National Accounts of the National Bureau of Statistics (NBS) based on different approaches in the light of the different features of various sectors, various expenditure structures and different data sources. GDP is a measurement of value which changes depending on changes of price and production. GDP at constant prices converts the gross domestic product based on the current price into a value based on the price of the base period. When adjusted for price changes, the values of two different periods can be compared to reflect changes of both products and production activities.

GDP index is derived from the constant-price GDPs of the two periods. As economy grows, changes will take place in the price structures of various industries, and the base period for the measurement of constant-price GDP thus needs to be adjusted every few years in order to better reflect the impact of price change on the economy. Since China started GDP calculation, eight constant-price base periods have been used, i.e., 1952, 1957, 1970, 1980, 1990, 2000,2005, and 2010 and the current base period is 2010. That is to say, the 2011 GDP is calculated on the basis of the 2010 prices. As the calculation of constant-price GDP is based on different base periods, the constant-price GDP data shall also be announced in accordance with various periods.

The coefficient for the conversion of electric power into standard coal equivalent (SCE) is calculated on the basis of the heat value equivalent. One kilowatt is equal to 0.1229 kg SCE.

Data on investments in fixed assets by individuals in rural areas are provided by the Department of Rural Social and Economic Survey of the NBS through its rural social and economic survey. Other data on investments in fixed assets are from surveys conducted by the Department of Investment and Construction Statistics of the NBS. All data on investments in fixed assets are collected by the system of reporting form with complete enumeration, except data on individual investments in fixed assets in rural areas, which are collected through sample surveys.

Data for compilation of the consumer price indices and the retail price indices in China are collected by the Department of Urban Social and Economic Survey, NBS and the Department of Rural Social and Economic Survey, NBS through a combination of sample surveys and surveys of key units. Areas distributed in different economic regions are selected as the sample areas and representative commodities are selected as the sample commodities. Regular surveys are conducted to collect data on their market prices. Population parameters are inferred on the basis of the sample data. At present, 500 cities and counties of all provinces, autonomous regions and municipalities directly under the central government have been selected for this purpose.