FOR WIRE TRANSMISSION: 8:30 A.M. EDT, FRIDAY, MAY 1, 1998 James E. Rankin: (202) 606-5301 (Personal Income)BEA 98-12 Greg Key: 606-5302 (Personal Outlays) Recorded message: 606-5303 PERSONAL INCOME AND OUTLAYS: MARCH 1998 Personal income increased $23.1 billion, or 0.3 percent, and disposable personal income (DPI) increased $22.9 billion, or 0.4 percent, in March, according to the Commerce Department's Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $29.8 billion, or 0.5 percent. In February, personal income increased $45.5 billion, or 0.6 percent, DPI increased $35.4 billion, or 0.6 percent, and PCE increased $15.2 billion, or 0.3 percent, based on revised estimates. 1997 1998 Nov. Dec. Jan. Feb. Mar. (Percent change from preceding month) Personal income, current dollars 0.7 0.4 0.5 0.6 0.3 Disposable personal income: Current dollars .6 .4 .7 .6 .4 Chained (1992) dollars .5 .4 .7 .5 .4 Personal consumption expenditures: Current dollars .3 .4 .7 .3 .5 Chained (1992) dollars .2 .4 .7 .2 .5 Wages and salaries Private wage and salary disbursements increased $8.3 billion in March, compared with an increase of $33.5 billion in February. Goods-producing industries' payrolls decreased $0.4 billion, in contrast to an increase of $3.4 billion; manufacturing payrolls increased $1.2 billion, compared with an increase of $1.4 billion. Distributive industries' payrolls decreased $1.3 billion, in contrast to an increase of $10.9 billion. Service industries' payrolls increased $9.9 billion, compared with an increase of $19.3 billion. Government wage and salary disbursements increased $1.5 billion, compared with an increase of $2.4 billion. Other personal income Proprietors' income increased $5.2 billion in March, compared with an increase of $3.0 billion in February. Farm proprietors' income decreased $0.8 billion, compared with a decrease of $2.2 billion. Nonfarm proprietors' income increased $6.0 billion, compared with an increase of $5.2 billion. Transfer payments increased $5.6 billion in March, compared with an increase of $5.5 billion in February. Personal interest income increased $1.2 billion, compared with an increase of $1.3 billion. Personal dividend income increased $2.0 billion, compared with an increase of $1.9 billion. Rental income of persons decreased $1.1 billion, compared with a decrease of $1.0 billion. Personal taxes and disposable personal income Personal tax and nontax payments increased $0.2 billion in March, compared with an increase of $10.1 billion in February. About half the deceleration in March reflects State tax law changes that resulted in State income tax refunds; the remainder reflects the deceleration in March wages and salaries. Disposable personal income (DPI) -- personal income less personal tax and nontax payments -- increased $22.9 billion, or 0.4 percent, in March, compared with an increase of $35.4 billion, or 0.6 percent, in February. Personal outlays and personal saving Personal outlays -- personal consumption expenditures (PCE), interest paid by persons, and personal transfer payments to the rest of the world (net) -- increased $30.4 billion in March, compared with an increase of $14.5 billion in February. PCE increased $29.8 billion, compared with an increase of $15.2 billion. Personal saving -- DPI less personal outlays -- was $259.1 billion in March, compared with $266.6 billion in February. Personal saving as a percentage of disposable personal income was 4.2 percent in March, compared with 4.4 percent in February. Chained (1992) dollar estimates Real DPI -- DPI adjusted to remove price changes -- increased 0.4 percent in March, compared with an increase of 0.5 percent in February. Real PCE -- PCE adjusted to remove price changes -- increased 0.5 percent in March, compared with an increase of 0.2 percent in February. Purchases of durable goods decreased 0.1 percent, compared with a decrease of 0.3 percent. Purchases of nondurable goods increased 0.5 percent in March, compared with an increase of 0.6 percent in February. Purchases of services increased 0.6 percent, compared with an increase of 0.1 percent. Revisions Estimates have been revised for January and February. Changes in personal income, current-dollar and chained (1992) dollar DPI, and current-dollar and chained (1992) dollar PCE for January and February -- revised and as published in the prior release -- are shown below. Change from preceding month January February Previous Revised Previous Revised Previous Revised Previous Revised (Dollars) (Percent) (Dollars) (Percent) Personal income: Current dollars . . 40.9 38.5 0.6 0.5 43.7 45.5 0.6 0.6 Disposable personal income: Current dollars . . 46.9 42.5 .8 .7 34.1 35.4 .6 .6 Chained (1992) dollars 40.4 37.9 .8 .7 26.2 27.6 .5 .5 Personal consumption expenditures: Current dollars . . 37.4 40.5 .7 .7 23.1 15.2 .4 .3 Chained (1992) dollars 32.1 36.3 .6 .7 16.9 9.9 .3 .2 BEA's major national, international, regional, and industry estimates; selected articles from the Survey of Current Business; and BEA news releases are available on BEA's web site: http://www.bea.gov STAT-USA maintains an electronic bulletin board (EBB) and an Internet site, which contain BEA estimates, BEA news releases, and the Survey of Current Business. The information available through STAT-USA is often more detailed and more timely than that available from other sources. 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Second class mail: Annual subscription $35.00 domestic, $43.75 foreign; single issue $11.00 domestic, $13.75 foreign. * * * Next release -- Personal Income and Outlays for April will be released on May 29, at 8:30 A.M. EDT. Table 1. -- Personal Income [Billions of dollars] -------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ----------------------------------------------------------- 1996 1997 Oct. 97 Nov. 97 Dec. 97 Jan. 98r Feb. 98r Mar. 98p -------------------------------------------------------------------------------------------------------------------------- Personal income..................... 6,495.2 6,873.9 6,970.4 7,019.8 7,050.4 7,088.9 7,134.4 7,157.5 Wage and salary disbursements..... 3,632.5 3,877.4 3,943.6 3,989.9 4,007.9 4,037.9 4,073.8 4,083.6 Private industries.............. 2,989.9 3,212.1 3,271.7 3,316.0 3,332.5 3,358.3 3,391.8 3,400.1 Goods-producing industries.... 909.1 960.3 975.4 984.9 992.1 995.7 999.1 998.7 Manufacturing............... 674.7 706.0 717.8 724.4 728.1 729.0 730.4 731.6 Distributive industries....... 823.3 876.3 893.1 904.1 904.7 912.2 923.1 921.8 Service industries............ 1,257.5 1,375.5 1,403.1 1,427.0 1,435.7 1,450.4 1,469.7 1,479.6 Government...................... 642.6 665.3 671.9 673.9 675.4 679.6 682.0 683.5 Other labor income................ 407.6 416.6 420.1 421.4 422.6 423.9 425.1 426.3 Proprietors' income with IVA and CCAdj........................... 520.3 544.5 551.6 552.2 553.9 554.3 557.3 562.5 Farm............................ 37.2 40.7 38.5 38.1 38.1 35.0 32.8 32.0 Nonfarm......................... 483.1 503.8 513.1 514.1 515.8 519.3 524.5 530.5 Rental income of persons with CCAdj........................... 146.3 147.9 146.6 145.5 145.0 143.9 142.9 141.8 Personal dividend income.......... 291.2 321.5 328.6 330.7 332.8 334.9 336.8 338.8 Personal interest income.......... 735.7 768.6 776.3 778.3 780.5 782.0 783.3 784.5 Transfer payments to persons...... 1,068.0 1,121.1 1,131.5 1,132.9 1,140.0 1,148.4 1,153.9 1,159.5 Old-age, survivors, disability, and health insurance benefits. 537.6 566.7 572.0 572.7 577.8 582.4 585.0 587.7 Government unemployment insurance benefits............ 22.0 21.8 21.4 21.4 21.6 21.3 21.3 21.3 Other........................... 508.4 532.7 538.1 538.8 540.6 544.7 547.7 550.4 Less: Personal contributions for social insurance................ 306.3 323.7 327.9 331.0 332.2 336.4 338.8 339.4 -------------------------------------------------------------------------------------------------------------------------- p Preliminary. r Revised. IVA Inventory valuation adjustment CCAdj Capital consumption adjustment Source: U.S. Department of Commerce, Bureau of Economic Analysis. Table 2. -- The Disposition of Personal Income [Billions of dollars] -------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ------------------------------------------------------ 1996 1997 Oct. 97 Nov. 97 Dec. 97 Jan. 98r Feb. 98r Mar. 98p -------------------------------------------------------------------------------------------------------------------------- Personal income....................... 6,495.2 6,873.9 6,970.4 7,019.8 7,050.4 7,088.9 7,134.4 7,157.5 Less: Personal tax and nontax payments........................... 886.9 988.7 1,012.1 1,024.4 1,029.7 1,025.6 1,035.7 1,035.9 Equals: Disposable personal income... 5,608.3 5,885.2 5,958.3 5,995.3 6,020.8 6,063.3 6,098.7 6,121.6 Less: Personal outlays............... 5,368.8 5,658.5 5,735.8 5,752.4 5,778.8 5,817.6 5,832.1 5,862.5 Personal consumption expenditures... 5,207.6 5,485.8 5,559.3 5,575.4 5,598.8 5,639.3 5,654.5 5,684.3 Interest paid by persons............ 145.2 154.8 157.8 158.3 161.3 159.5 158.9 159.5 Personal transfer payments to the rest of the world (net)........... 15.9 17.9 18.7 18.7 18.7 18.7 18.7 18.7 Equals: Personal saving.............. 239.6 226.7 222.5 243.0 242.0 245.7 266.6 259.1 Addenda: Disposable personal income: Chained (1992) dollars 1/........... 5,076.9 5,221.9 5,264.7 5,293.6 5,316.1 5,354.0 5,381.6 5,400.5 Per capita: Current dollars................... 21,117 21,969 22,183 22,299 22,373 22,518 22,636 22,706 Chained (1992) dollars............ 19,116 19,493 19,601 19,689 19,754 19,884 19,974 20,031 Population (thousands).............. 265,579 267,889 268,594 268,859 269,108 269,263 269,424 269,604 Personal saving as a percentage of disposable personal income ......... 4.3 3.9 3.7 4.1 4.0 4.1 4.4 4.2 -------------------------------------------------------------------------------------------------------------------------- p Preliminary. r Revised. 1/ Disposable personal income in chained (1992) dollars equals the current-dollar figure divided by the implicit price deflator for personal consumption expenditures. Source: U.S. Department of Commerce, Bureau of Economic Analysis. Table 3. -- Personal Income and Its Disposition, Change From Preceding Period [Billions of dollars] -------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates ------------------------------------------------------ 1996 1997 Oct. 97 Nov. 97 Dec. 97 Jan. 98r Feb. 98r Mar. 98p -------------------------------------------------------------------------------------------------------------------- Personal income....................... 344.4 378.7 34.9 49.4 30.6 38.5 45.5 23.1 Wage and salary disbursements........ 203.0 244.9 27.5 46.3 18.0 30.0 35.9 9.8 Private industries................ 183.4 222.2 25.5 44.3 16.5 25.8 33.5 8.3 Goods-producing industries...... 44.7 51.2 8.8 9.5 7.2 3.6 3.4 -0.4 Manufacturing................. 26.3 31.3 7.8 6.6 3.7 0.9 1.4 1.2 Distributive industries......... 40.2 53.0 6.7 11.0 0.6 7.5 10.9 -1.3 Service industries.............. 98.5 118.0 9.8 23.9 8.7 14.7 19.3 9.9 Government........................ 19.6 22.7 2.1 2.0 1.5 4.2 2.4 1.5 Other labor income.................. 0.8 9.0 1.2 1.3 1.2 1.3 1.2 1.2 Proprietors' income with IVA and CCAdj............................. 31.4 24.2 2.9 0.6 1.7 0.4 3.0 5.2 Farm.............................. 13.8 3.5 -0.5 -0.4 0.0 -3.1 -2.2 -0.8 Nonfarm........................... 17.6 20.7 3.5 1.0 1.7 3.5 5.2 6.0 Rental income of persons with CCAdj............................. 13.5 1.6 -1.6 -1.1 -0.5 -1.1 -1.0 -1.1 Personal dividend income............ 39.3 30.3 2.0 2.1 2.1 2.1 1.9 2.0 Personal interest income............ 16.8 32.9 2.0 2.0 2.2 1.5 1.3 1.2 Transfer payments to persons........ 53.0 53.1 2.5 1.4 7.1 8.4 5.5 5.6 Old-age, survivors, disability, and health insurance benefits... 29.8 29.1 1.6 0.7 5.1 4.6 2.6 2.7 Government unemployment insurance benefits.............. 0.6 -0.2 -0.2 0.0 0.2 -0.3 0.0 0.0 Other............................. 22.7 24.3 1.1 0.7 1.8 4.1 3.0 2.7 Less: Personal contributions for social insurance.................. 13.2 17.4 1.8 3.1 1.2 4.2 2.4 0.6 Less: Personal tax and nontax payments............................ 91.8 101.8 8.6 12.3 5.3 -4.1 10.1 0.2 Equals: Disposable personal income.... 252.6 276.9 26.3 37.0 25.5 42.5 35.4 22.9 Less: Personal outlays................ 267.7 289.7 23.2 16.6 26.4 38.8 14.5 30.4 Personal consumption expenditures... 249.9 278.2 21.5 16.1 23.4 40.5 15.2 29.8 Interest paid by persons............ 16.7 9.6 1.2 0.5 3.0 -1.8 -0.6 0.6 Personal transfer payments to the rest of the world (net)........... 1.1 2.0 0.5 0.0 0.0 0.0 0.0 0.0 Equals: Personal saving............... -15.0 -12.9 3.1 20.5 -1.0 3.7 20.9 -7.5 Addenda: Disposable personal income, chained (1992) dollars.......... 112.7 145.0 16.9 28.9 22.5 37.9 27.6 18.9 -------------------------------------------------------------------------------------------------------------------- ----------------------------------------- p Preliminary. r Revised. IVA Inventory valuation adjustment CCAdj Capital consumption adjustment Source: U.S. Department of Commerce, Bureau of Economic Analysis. Table 4. -- Personal Consumption Expenditures by Major Type of Product ------------------------------------------------------------------------------------------------------------------------- Seasonally adjusted at annual rates --------------------------------------------------------- 1996 1997 Oct. 97 Nov. 97 Dec. 97 Jan. 98r Feb. 98r Mar. 98p ------------------------------------------------------------------------------------------------------------------------- Billions of current dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 5,207.6 5,485.8 5,559.3 5,575.4 5,598.8 5,639.3 5,654.5 5,684.3 Durable goods....................... 634.5 659.3 655.4 670.0 675.1 695.1 692.3 689.2 Nondurable goods.................... 1,534.7 1,592.0 1,604.8 1,600.9 1,597.0 1,609.1 1,618.0 1,621.3 Services............................ 3,038.4 3,234.5 3,299.1 3,304.5 3,326.6 3,335.1 3,344.1 3,373.8 -------------------------------------------------------------------------------- Billions of chained (1992) dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 4,714.1 4,867.5 4,912.2 4,922.8 4,943.4 4,979.7 4,989.6 5,014.7 Durable goods....................... 611.1 645.5 647.0 663.0 667.9 689.1 687.4 686.5 Nondurable goods.................... 1,432.3 1,458.5 1,464.0 1,460.6 1,458.1 1,470.6 1,480.1 1,488.0 Services............................ 2,671.0 2,764.1 2,800.7 2,800.3 2,818.2 2,823.2 2,825.5 2,842.9 -------------------------------------------------------------------------------- Implicit price deflators (Index numbers, 1992 = 100) -------------------------------------------------------------------------------- Personal consumption expenditures..... 110.47 112.70 113.17 113.26 113.26 113.25 113.33 113.35 Durable goods....................... 103.83 102.12 101.30 101.06 101.08 100.86 100.72 100.40 Nondurable goods.................... 107.15 109.15 109.62 109.61 109.53 109.42 109.32 108.96 Services............................ 113.76 117.02 117.79 118.00 118.04 118.13 118.36 118.67 ------------------------------------------------------------------------------------------------------------------------- Change from preceding period ------------------------------------------------------------------------------------------------------------------------- Billions of current dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 249.9 278.2 21.5 16.1 23.4 40.5 15.2 29.8 Durable goods....................... 26.0 24.8 -5.3 14.6 5.1 20.0 -2.8 -3.1 Nondurable goods.................... 58.9 57.3 -0.1 -3.9 -3.9 12.1 8.9 3.3 Services............................ 165.0 196.1 26.9 5.4 22.1 8.5 9.0 29.7 -------------------------------------------------------------------------------- Billions of chained (1992) dollars -------------------------------------------------------------------------------- Personal consumption expenditures..... 118.8 153.4 13.2 10.6 20.6 36.3 9.9 25.1 Durable goods....................... 27.5 34.4 -3.9 16.0 4.9 21.2 -1.7 -0.9 Nondurable goods.................... 19.7 26.2 -1.6 -3.4 -2.5 12.5 9.5 7.9 Services............................ 71.4 93.1 17.5 -0.4 17.9 5.0 2.3 17.4 __________________________________________________________________________________________________________________________ Table 5. -- Percent Change From Preceding Period in Selected Series -------------------------------------------------------------------------------------------------------------------------- 1996 1997 Oct. 97 Nov. 97 Dec. 97 Jan. 98r Feb. 98r Mar. 98p -------------------------------------------------------------------------------------------------------------------------- Based on current dollars --------------------------------------------------------------------------------- Personal income....................... 5.6 5.8 0.5 0.7 0.4 0.5 0.6 0.3 Disposable personal income............ 4.7 4.9 0.4 0.6 0.4 0.7 0.6 0.4 Personal consumption expenditures..... 5.0 5.3 0.4 0.3 0.4 0.7 0.3 0.5 Durable goods....................... 4.3 3.9 -0.8 2.2 0.8 3.0 -0.4 -0.5 Nondurable goods.................... 4.0 3.7 0.0 -0.2 -0.2 0.8 0.6 0.2 Services............................ 5.7 6.5 0.8 0.2 0.7 0.3 0.3 0.9 --------------------------------------------------------------------------------- Based on chained (1992) dollars --------------------------------------------------------------------------------- Disposable personal income............ 2.3 2.9 0.3 0.5 0.4 0.7 0.5 0.4 Personal consumption expenditures..... 2.6 3.3 0.3 0.2 0.4 0.7 0.2 0.5 Durable goods....................... 4.7 5.6 -0.6 2.5 0.7 3.2 -0.3 -0.1 Nondurable goods.................... 1.4 1.8 -0.1 -0.2 -0.2 0.9 0.6 0.5 Services............................ 2.7 3.5 0.6 0.0 0.6 0.2 0.1 0.6 -------------------------------------------------------------------------------------------------------------------------- ---------------------------------------- p Preliminary. r Revised. Source: U.S. Department of Commerce, Bureau of Economic Analysis.