Iceland - Household final consumption expenditure, etc. (% of GDP)

Household final consumption expenditure, etc. (% of GDP) in Iceland was 49.01 as of 2016. Its highest value over the past 51 years was 61.88 in 1967, while its lowest value was 49.01 in 2016.

Definition: Household final consumption expenditure (formerly private consumption) is the market value of all goods and services, including durable products (such as cars, washing machines, and home computers), purchased by households. It excludes purchases of dwellings but includes imputed rent for owner-occupied dwellings. It also includes payments and fees to governments to obtain permits and licenses. Here, household consumption expenditure includes the expenditures of nonprofit institutions serving households, even when reported separately by the country. This item also includes any statistical discrepancy in the use of resources relative to the supply of resources.

Source: World Bank national accounts data, and OECD National Accounts data files.

See also:

Year Value
1965 59.35
1966 59.80
1967 61.88
1968 60.51
1969 58.41
1970 58.22
1971 56.64
1972 55.94
1973 52.45
1974 54.01
1975 53.26
1976 52.73
1977 52.39
1978 53.43
1979 54.35
1980 53.96
1981 55.38
1982 56.32
1983 57.11
1984 58.41
1985 59.90
1986 58.41
1987 59.93
1988 58.59
1989 58.35
1990 59.23
1991 59.96
1992 60.31
1993 57.96
1994 57.11
1995 57.78
1996 58.04
1997 57.55
1998 57.64
1999 59.35
2000 60.01
2001 55.78
2002 54.78
2003 57.03
2004 56.93
2005 58.96
2006 57.68
2007 56.43
2008 52.95
2009 51.35
2010 51.30
2011 51.76
2012 53.40
2013 52.33
2014 52.24
2015 49.79
2016 49.01

Limitations and Exceptions: Because policymakers have tended to focus on fostering the growth of output, and because data on production are easier to collect than data on spending, many countries generate their primary estimate of GDP using the production approach. Moreover, many countries do not estimate all the components of national expenditures but instead derive some of the main aggregates indirectly using GDP (based on the production approach) as the control total. Household final consumption expenditure is often estimated as a residual, by subtracting all other known expenditures from GDP. The resulting aggregate may incorporate fairly large discrepancies. When household consumption is calculated separately, many of the estimates are based on household surveys, which tend to be one-year studies with limited coverage. Thus the estimates quickly become outdated and must be supplemented by estimates using price- and quantity-based statistical procedures. Complicating the issue, in many developing countries the distinction between cash outlays for personal business and those for household use may be blurred. Informal economic activities pose a particular measurement problem, especially in developing countries, where much economic activity is unrecorded. A complete picture of the economy requires estimating household outputs produced for home use, sales in informal markets, barter exchanges, and illicit or deliberately unreported activities. The consistency and completeness of such estimates depend on the skill and methods of the compiling statisticians.

Statistical Concept and Methodology: Gross domestic product (GDP) from the expenditure side is made up of household final consumption expenditure, general government final consumption expenditure, gross capital formation (private and public investment in fixed assets, changes in inventories, and net acquisitions of valuables), and net exports (exports minus imports) of goods and services. Such expenditures are recorded in purchaser prices and include net taxes on products.

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: National accounts