Regional gross domestic product: Frequently asked questions

Frequently asked questions What is GDP? Gross domestic product (GDP) is an internationally accepted measure of economic activity. There are three approaches to measuring GDP. The production approach (which is used for compiling regional GDP) measures the value added of producers, by deducting the value of goods and services used up in production from the total value of goods and services produced. GDP statistics can be presented in either current (nominal) or constant (real) prices. Regional GDP is reported in current prices only. What is regional GDP? When GDP is presented on a regional basis provides an indication of the size and structure of a regional economy and measures the changes taking place within. Statistics NZ’s regional GDP measures are compiled by industry using the production-approach and presented in current prices (inflation not removed). What is the use of regional GDP? Economic statistics such as regional GDP provide a basis for evaluating economic activity in a region and give an empirical basis on which to make economic decisions. It provides information to help understand the economic structures of regions and the factors influencing regional economic growth. Could regional GDP be estimated using different regional classifications? The methodology being used for regional GDP could in principle be adapted for different regional classifications, though in practice the choice is restricted to the classification used in the input data. Providing regional GDP estimates for different regional classifications would be a major exercise requiring additional funding. Also, the smaller the region being estimated, the more likely there are to be quality and confidentiality concerns with the estimates. Why are some industries not separately available in your classifications? We cannot publish all the regional statistics by industry because we need to aggregate results from some industries in order to meet quality and confidentiality standards in published statistics. What about other economic statistics? Regional GDP has current price production-based series or components of GDP by region, with statistics presented by industries. Its possible that in future we might produce other regional economic indicators, such as regional expenditure on GDP, regional constant price GDP, regional quarterly GDP, or a wider range of regional economic statistics. Does the release have regional input-output tables? Input-output tables analyse the individual components of the economy, including industries and goods and services. This type of table shows, in a matrix form, the interactions and dependencies between industries and commodities. We do not currently plan to include official regional input-output tables in the release. en-NZ