5220.0 - Australian National Accounts: State Accounts, 2002-03  
ARCHIVED ISSUE Released at 11:30 AM (CANBERRA TIME) 12/11/2003   
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NOTES

About this publication

This publication contains state and territory estimates of gross domestic product (referred to as gross state product (GSP)) and its components, in current price and chain volume terms, for the years 1994-95 to 2002-03. Historical data starting in 1989-90 are available electronically through the subscription service, AusStats, or as individual spreadsheets.

Revisions in this issue

The estimates contained in this issue are based on annual supply and use benchmarks for Australia as published in the 2002-03 issue of Australian System of National Accounts (cat.no.5204.0). They incorporate new and revised estimates from the annual supply and use tables for 1999-00, 2000-01 and 2001-02, and from other sources which normally become available by this time each year. The revised annual supply and use tables contain revisions to the contributions of each industry. The most significant revision is to Agricultural value added following a review of compilation methods. All states are affected by this revision. Although the supply and use table revisions have not had a significant impact on the aggregate GDP movements for Australia, because the structure of economic activity varies across states there are revisions to GSP for each state in response to the industry changes at the Australia levels.

Changes in this issue

There have been changes made to a number of tables in this issue. The major changes are:

  • Gross state product chain volume measures and associated per capita data are now presented in Table1.
  • Real gross state income chain volume measures and associated per capita data are now presented in Table2.
  • Additional expenditure detail for gross state product chain volume measures are now presented in separate tables - 5, 7, 9, 11, 13, 15, 17, 19 and 21.
Data values and rounding

All values, unless otherwise indicated, are shown in Australian dollars rounded to the nearest million.

Where figures have been rounded, discrepancies may occur between the sums of the component items and totals.


Dennis Trewin
Australian Statistician


ANALYSIS OF RESULTS

Growth in experimental GSP chain volume measures

The chain volume estimates of gross state product (GSP) included in this publication are derived indirectly. The method essentially involves deriving the best possible current price and chain volume estimates of expenditure that encompass as much as possible of GSP. The estimates are labelled as 'experimental' for reasons set out in the Explanatory Notes (paragraphs 30 to 34). Users should therefore exercise caution when using these estimates for economic analysis.

The table below compares annual rates of growth in the experimental estimates of GSP chain volume measures and GSP chain volume measures per capita over the ten years 1992-93 to 2002-03. Over this period, growth in GSP chain volume measures varied considerably between the states, with growth being strongest in Queensland and Victoria and weakest in Tasmania. The dispersion of growth rates was less, but still significant, in terms of GSP chain volume measures per capita.


Average annual compound growth rates of GSP chain volume measures, 1992 - 93 to 2002 - 03(a)
GSP chain volume measures
GSP chain volume measures percapita
%
%
New South Wales
3.6
2.5
Victoria
4
2.8
Queensland
4.6
2.7
South Australia
2.8
2.4
Western Australia
3.5
1.9
Tasmania
1.5
1.5
Northern Territory
3.5
1.9
Australian Capital Territory
3.1
2.5
Australia
3.8
2.5
(a) Experimental. See paragraphs 30 to 34 of Explanatory Notes.


GSP per capita

The graphs below show an index of GSP, in current prices, per capita for each state and territory divided by the Australian estimate for total gross domestic product (GDP) per capita, for the period 1990-91 to 2002-03. It should be noted that GSP per capita cannot be equated with the income of households in a particular state - see comments on gross household disposable income below.

Graph - GSP PER CAPITA


Graph - GSP PER CAPITA


GSP per capita in 2002-03 was above the national average in the Australian Capital Territory, the Northern Territory, Western Australia, New South Wales and Victoria. The Australian Capital Territory had the highest level in all years since 1991-92 except in 2000-01 where the Northern Territory had the highest level. GSP per capita in Queensland, South Australia and Tasmania has not exceeded the national average since 1989-90. Only New South Wales and the Australian Capital Territory showed an increase in this ratio in 2002-03.

Real Gross State domestic income

The chain volume estimates of GSP measure the volume of goods and services produced in each state. If the terms of trade for a state change significantly (i.e. the prices for a state's exports and imports change at different rates) then chain volume GSP will not accurately reflect the change in real purchasing power of the income generated within a state. For this reason, real gross state domestic income (RGSDI) is calculated which measures chain volume GSP adjusted for changes in terms of trade. (For details on the calculation method see the Explanatory Notes, paragraphs 35 to 37).

The following graphs show percentage changes in RGSDI per capita over the period 1992-93 to 2002-03. Generally the pattern of growth for each state and territory in RGSDI per capita has been greater than that of GSP per capita over the past ten years reflecting favourable movements in the terms of trade. In 2002-03 there is an exception with Queensland experiencing weaker growth in its RGSDI compared with GSP, reflecting a downward movement in its terms of trade.

Graph - RGSDI PER CAPITA


Graph - RGSDI PER CAPITA


Industry Composition of Total Factor Income

Individual industry contributions to total factor income for 2002-03 are shown below. In line with long term trends, there has been a shift from goods producing industries to service providing industries over the period 1989-90 to 2002-03.

The main industries contributing to 2002-03 total factor income are the services industries, namely property and business services, ownership of dwellings, finance and insurance, wholesale trade, and retail trade. In addition, the construction and manufacturing industries are significant contributors to total factor income.

There are also differing industry impacts in each state in total factor income. The Northern Territory and Western Australia are dominated by the mining industry while the Australian Capital Territory has strong property and business services and government administration and defence industries.


Industry Contribution to Total Factor Income(a) - 2002 - 03
NSW
Vic
Qld
SA
WA
Tas
NT
ACT
Aust
%
%
%
%
%
%
%
%
%
Agriculture, forestry and fishing
2
3
4
5
3
6
3
-
3
Mining
2
2
8
2
20
1
23
-
5
Manufacturing
12
15
10
15
9
14
4
2
12
Electricity, gas & water supply
2
3
2
2
3
5
2
4
2
Construction
6
6
8
7
8
6
7
8
7
Wholesale trade
6
6
6
5
5
4
3
2
6
Retail trade
5
6
7
6
5
6
5
4
6
Accommodation, cafes and restaurants
2
2
3
2
2
3
3
2
2
Transport and storage
5
4
6
5
5
5
5
2
5
Communication services
3
3
3
3
2
3
3
2
3
Finance & insurance
10
9
5
6
5
7
3
4
8
Property & business services
14
13
9
9
10
5
9
13
12
Government administration and defence
4
3
4
3
2
5
7
26
4
Education
4
5
5
5
4
5
5
6
5
Health and community services
6
7
6
8
6
9
7
6
6
Cultural and recreational services
2
2
2
2
1
1
2
3
2
Personal and other services
2
2
3
3
3
2
3
3
2
Ownership of dwellings
12
9
8
9
6
8
5
8
9
General government(b)
2
2
3
2
2
3
3
5
2
Total
100
100
100
100
100
100
100
100
100
- nil or rounded to zero (including null cells)
(a) Industries may not add to total due to rounding differences.
(b) State details for general government gross operating surplus by industry are not available.

Gross Household Disposable Income

The analysis of GSP per capita above concentrates on the level of economic production (GSP) and its growth in current price terms. It does not provide a measure of incomes received by residents of a particular state, because a proportion of income generated in the production process may be transferred to other states or overseas (and conversely income may be received from other states or overseas). A measure that takes these flows into account is gross household disposable income per capita which is shown below.


Gross household disposable income per capita - 2002 - 03
$
New South Wales
26,189
Victoria
25,492
Queensland
21,647
South Australia
22,394
Western Australia
24,045
Tasmania
20,171
Northern Territory
26,078
Australian Capital Territory
36,831
Australia
24,677


Gross household disposable income per capita in 2002-03 was highest in the Australian Capital Territory and lowest in Tasmania. Differences between the states reflect differences, from state to state, in the impact of a range of factors including the average level of compensation of employees received per employee, the proportion of the population in employment, the age distribution of the population, and differences in the level of dwelling rent (including that imputed to owner occupiers). For example, a significant reason for the high level of gross household disposable income per capita in the Australian Capital Territory compared with other states is that the labour force participation rate is much higher there than in the rest of Australia.