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

Household final consumption expenditure, etc. (% of GDP) in Malawi was 80.60 as of 2016. Its highest value over the past 56 years was 93.32 in 2005, while its lowest value was 62.72 in 1978.

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
1960 88.75
1961 85.57
1962 86.93
1963 87.23
1964 84.54
1965 84.01
1966 81.99
1967 80.30
1968 81.84
1969 81.22
1970 72.82
1971 78.03
1972 76.37
1973 74.18
1974 69.38
1975 68.94
1976 68.07
1977 66.40
1978 62.72
1979 68.43
1980 69.92
1981 70.34
1982 67.45
1983 68.36
1984 69.48
1985 69.43
1986 69.98
1987 65.98
1988 72.09
1989 74.85
1990 71.54
1991 73.79
1992 85.23
1993 87.89
1994 71.46
1995 79.38
1996 82.74
1997 83.11
1998 77.19
1999 87.18
2000 81.59
2001 80.43
2002 87.37
2003 88.18
2004 90.58
2005 93.32
2006 87.68
2007 75.76
2008 80.20
2009 71.22
2010 75.23
2011 81.38
2012 89.02
2013 77.86
2014 81.38
2015 81.71
2016 80.60

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