STAT/SNA2/Philippines

ASIAN DEVELOPMENT BANK

UNITED NATIONS ECONOMIC AND SOCIALCOMMISSION FOR ASIA AND THE PACIFIC

JOINT ADB/ESCAP WORKSHOP ON REBASING AND LINKING OF NATIONAL ACCOUNTS SERIES 21-24 March 2000

Bangkok, Thailand

Country: Title: Author:

Philippines Rebasing and Linking Constant Price Estimation of the National of the Philippines Romulo A. Virola Estrella V. Domingo Vivian R. Ilarina National Statistical Coordination Board

REBASING, LINKING AND CONSTANT PRICE ESTIMATION OF THE NATIONAL ACCOUNTS OF THE PHILIPPINES
Dr. Romulo A. Virola, Estrella V. Domingo and Vivian R. Ilarina

TABLE OF CONTENTS

I. INTRODUCTION I.a. History of the PSNA Compilation I.b. General Features of the Present PSNA I.c. General Methodology of Compiling GDP I.c.1. GDP At Current Prices I.c.2. GDP At Constant Prices I.d. Problems and Issues on Constant Price Estimation II. II.a. II.b. II.c. II.d. REBASING OF GDP

1 1 3 4 4 5 5 7 7 8 9 10

History of the Rebasing of GDP The Choice of the Base Year Methodology In Latest Rebasing Problems and Issues in Rebasing, Solutions Adopted

III. LINKING OF GDP SERIES AT CONSTANT PRICES III.a. Series Used To Link PSNA III.b. Methodology of Linking the PSNA Series III.c. Problems and Issues in Linking, Solutions Adopted

11 11 12 13

IV. THE COMPILATION OF THE QUARTERLY AND REGIONAL ACCOUNTS IV.a. Quarterly Accounts IV.a.1. GDP by Economic Activity IV.a.1.1. Agriculture, Fishery and Forestry IV.a.1.2. Industry IV.a.1.3. Services

13 13 14 14 15 16

IV.a.2. GDP by Expenditures 18 IV.a.2.1. Personal Consumption Expenditures 18 IV.a.2.2. General Government Consumption 19 Expenditures IV.a.2.3. Gross Domestic Capital Formation 19 IV.a.2.4. Exports and Imports 20 IV.b. Regional Accounts IV.b.1. Gross Regional Domestic Product IV.b.1.1. Agriculture, Fishery & Forestry IV.b.1.2. Industry IV.b.1.3. Services 21 21 22 22 23

IV.b.2. Gross Regional Domestic Expenditures IV.b.2.1. Personal Consumption Expenditures IV.b.2.2. General Government Consumption Expenditures IV.b.2.3. Capital Formation Expenditures IV.b.2.4. Exports and Imports IV.c. Problems and Issues On the Compilation of Quarterly & Regional Accounts

26 26 26 27 28

29

V. PLANS ON REBASING AND LINKING OF THE PSNA SERIES V.a. Short Term Plans V.b. Long Term Plans

29

29 30

VI. VII.

REFERENCES APPENDIX

31

Appendix 1. History of the PSNA Appendix 2. Deflators Used for Constant Price Estimation VII. ANNEX TABLES 1. 2. 3. 4. 5. 6. 7. 8. Annual GDP at Current Prices, 1946 to 1999 Annual GDP at Constant Prices, 1946 to 1999 Quarterly GDP at Current Prices, 1981 to 1999 Quarterly GDP at Constant Prices, 1981 to1999 GRDP at Current Prices, 1975 to 1998 GRDP at Constant Prices, 1975 to 1998 GRDP at Current Prices, 1988 to 1996 GRDE at Constant Prices, 1988 to 1996

REBASING, LINKING AND CONSTANT PRICE ESTIMATION OF THE NATIONAL ACCOUNTS OF THE PHILIPPINES1
By I. Romulo A. Virola, Estrella V. Domingo and Vivian R. Ilarina2 INTRODUCTION The System of National Accounts (SNA) is widely recognized as a powerful tool for monitoring the performance of an economy. The SNA provides a comprehensive accounting framework within which economic data can be compiled and presented for purposes of economic analysis, decision making and policy making. The popular use of the accounts by government planners at the national and sub-national levels as well as by decision makers and researchers from the private sector leads to increased pressure on the compilers of the accounts to come up with timely and reliable national and sub-national accounts estimates on a regular basis. Towards a meaningful analysis of the economic performance over time, users demand longer time series data that are comparable and linked on a regular basis. Moreover, the current pace of development results in structural changes that call for a re-examination of the constant price estimation

methodologies to enable it to capture rapid changes in quality and the technology used in production, as well as to reflect a more recent base year.

This paper discusses the following aspects of the Philippine System of National Accounts (PSNA) : a) constant price estimation; b) rebasing procedures; c) linking of the series; and d) the quarterly and regional accounts. An indicative program of activities on improving the linked PSNA series is also presented.

I.a.

History of PSNA Compilation The PSNA has been continuously compiled for more than fifty years now. The first attempt

to estimate the national income accounts was in 1947 when the Joint Philippine American Finance Commission undertook the preparation of the estimates for the years 1938 and 1948 to analyze the economic situation of the country and to assess the rehabilitation program requested by the Philippine government from the United States.

A country paper prepared for the Joint ADB-UN ESCAP Inception Workshop on Rebasing and Linking National Accounts Series, Bangkok, Thailand, March 21-24, 2000. 2 Secretary-General, Director and Statistical Coordination Officer V , respectively, of the National Statistical Coordination Board (NSCB) of the Philippines. 5

In 1950, the Department of Economic Research (DER) of the Central Bank came up with the first series for 1946 to 1950. Like the first estimates, the compilation was based solely on the final value of goods and services produced. In 1952, the DER adopted the double entry method of recording economic transactions and released a new national income series for the period 1946 to 1951. Using this method, the DER compiled another series covering the period from 1952 to 1956.

In 1957, the responsibility of national income estimation was transferred to the Office of the Statistical Coordination and Standards (OSCAS) of the National Economic Council (NEC). During this time, the importance of national income accounts gained increased recognition in major areas like: a) the formulation of policies as well as the preparation and assessment of development plans; and b) the development and coordination of a sound statistical system as the preparation of the accounts would point out data gaps and weaknesses of existing statistical series.
2

Under the

OSCAS, the PSNA was being compiled in a manner aligned with the UN Guidelines and national income series estimates were generated for the period 1946 to 1967. Semestral national accounts were produced in 1972 covering the period 1967-72. The first revision of the accounts was undertaken by the OSCAS in 1968 shifting the base year from 1955 to 1967 and producing the 1946-1967 series.

The National Economic Development Authority (NEDA) was created in 1973 as the successor of the NEC and continued the task of compiling the national income accounts, thru its National Accounts Staff. Under the NEDA, the growing demand for useful information for

planning, policy formulation, analysis and decisionmaking became a major concern. In response to this, the PSNA was expanded to include Gross Regional Domestic Product Accounts (GRDP) and Quarterly National Accounts, which were started in 1974 and 1983, respectively. With the enhanced use of the accounts, the reliability and validity of the accounts became major concerns of the compilers that led to the initiation of programs and activities for revisions and improvements of the accounts.

Improvement efforts continued until the government re-structuring of the Philippine Statistical System (PSS) took place in 1987. By virtue of the Executive Order No. 121, the

Statistical Coordination Office was detached from NEDA and became the National Statistical Coordination Board (NSCB) which took over the task of compiling and maintaining the PSNA.
2

United Nations, A System of National Accounts and Supporting Tables, 1953. 6

Under the NSCB, the third revision of the accounts was started in 1990 together with the compilation of the accounts on factor shares by institution and on the relations among the national accounts aggregates as well as the table on principal indicators. In 1987, the compilation of the Gross Regional Domestic Expenditures (GRDE) started. In 1993, deseasonalized estimates of national accounts aggregates were released and in 1996, confidence interval estimates of quarterly GDP growth rates became a regular feature of the PSNA. An outline of the milestones in the history of the PSNA is shown in Appendix 1.

I.b. General Features of the Present PSNA

With the changing structure of the economy and expansion in the available data system, the PSNA has undergone continuing improvements to make it more responsive to the needs of As compiler of the PSNA, the NSCB has been

development planning and policy formulation.

continuously improving the PSNA particularly in trying to adopt international guidelines in the compilation of national accounts the latest of which is the 1993 System of National Accounts (SNA), to be able to make the accounts more relevant to the emerging concerns of development planners and policymakers.

The features of the present PSNA took off from the latest revision of the PSNA which was launched in 1990 and completed in 1995. This is characterized by the shift of the base year from 1972 to 1985 and the adoption of the recommendations of the 1968 United Nations System of National Accounts (UNSNA) and in a limited scale, also adopting the preliminary

recommendations of the 1993 SNA. The efforts made to closely adhere to the 1968 UNSNA and the availability of new and better information made possible further articulation of transaction flows through additional accounts. Specifically, it has provided for the Consolidated Accounts of the

Nation which include the Gross Domestic Product and Expenditure Account, National Disposable Income and its Appropriation Account, Gross Accumulation Account and the External Transaction Account. At the same time, the present PSNA has incorporated an income and outlay account for

each of the four institutional sectors - private corporations, public corporations, general government, household and unincorporated enterprises. In addition, it also shows estimates of

GDP by factor shares which are also estimated and shown separately for each of the economic activities and institutional sectors.

Towards implementation of the 1993 SNA, the Philippines thru the NSCB benefits from a grant of the Asian Development Bank (ADB) Technical Assistance on the Institutional

Strengthening of the Philippine System of National Accounts. An initial activity undertaken under the technical assistance was an assessment of the problems in the implementation of the 1993 SNA recommendations which took into account the requirements of the 1993 SNA and the capability of the PSNA to adopt them. This process helped in the formulation of a program on how the The implementation of the 1993 SNA in the

Philippines will implement the 1993 SNA.

Philippines presently focuses on the development of the sequence of accounts for the institutional sectors including a computerized system for compiling these accounts.

I.c. The General Methodology of Compiling the Gross Domestic Product (GDP)

The succeeding sections discuss the general methodology for the compilation of GDP including the general procedures for estimating constant price GDP.

I.c.1. GDP At Current Prices

The gross value added (GVA) for each sector/subsector of the economy is estimated using the production approach, by deducting from the gross value of output , the aggregate of non-factor costs or intermediate inputs such as raw materials and supplies, containers and packing materials, fuels, advertising fee and other non-industrial overhead costs. The production approach is generally applied during the benchmark years for most of the sectors with complete production data on output and inputs, mostly from censuses / surveys of establishments and financial statements. The same approach is likewise adopted when estimates are updated/revised when establishment data become available.

The above procedure for estimating the GVA implies the availability of data on gross output and intermediate inputs for every accounting period. Invariably, however, only production data are available for the current period. In such situations, gross value added ratios(GVAR) derived from the most recent cost of production studies and updated utilizing relative prices of output and inputs are applied to current period estimates of gross output to arrive at the required estimate of GVA. This procedure is generally adopted except for electricity, gas and water and government services which directly estimates GVA by its factor shares.

I.c.2. GDP at Constant Prices

Estimates of GVA at constant prices apply the deflation method for all the sectors. This method adopts the single deflation method by dividing the current price estimates of GVA by the appropriate price deflators. All the sectors except the government services and construction use

output deflators. In the case of government services and construction, input deflators, specifically wage rate indices are used. Appendix 2 shows the deflators used by sector.

I.d. Problems and Issues on Constant Price Estimation

In constant price estimation, the deflators used and the constant price methodologies used for certain sectors have affected the accuracy of the PSNA estimates. Some of these problems are:

a) Quality of the price data series used as deflators for the accounts.

Available price data are generated from regular surveys of the Bureau of Agricultural Statistics (for agricultural commodities) and the National Statistics Office (for non-agricultural commodities). With improvements done on these price surveys, changes in available price data and price series were affected. For example, in 1995, the expansion in the coverage of the farm price survey to include prices for large animals ( such as carabao and cattle) resulted in the discontinuance of the price series for large animals taken from auction markets. The NSCB staff had to link the two sets of prices for comparability and consistency.

Existing price data do not cover all commodities.

For example, for manufactured

commodities, there are no available prices for microcircuits (used for computers) considering that such commodity accounts for seventy percent of the total electrical machinery. With this, trends of proxy prices are used instead. For microcircuits for computers, substitute prices of radio, television and communication equipment are used. In the case of farm prices of large animals, prior to the conduct of farm price survey for these animals starting in 1995 , trends of auction prices adjusted for transport and freight mark-ups were used.

b) Appropriateness of using output and input price deflators for estimating constant GVA.

Conceptually, constant GVA is equal to the difference between output at constant prices and intermediate inputs at constant prices, which is derived through the process of double deflation. Presently, however, due to data limitations, all sectors now follow the single deflation technique where GVA at current prices is deflated using output deflators except for government services and construction which use input deflators. This assumes that prices of output and prices of inputs move in a parallel trend which is not necessarily the case, particularly for sectors like agriculture. Thus, the use of single deflation raises validity issues in sectors like agriculture where prices of inputs may behave differently from prices of output. The lack of updated cost structure data and of input prices for the sector does not allow the use of double deflation .

c) Base year for some price series are not synchronized with the PSNA base year.

While the present base year for the PSNA is 1985, the available price indices have varying base years. For instance, the consumer price index (CPI) is based 1994 and the wholesale price index(WPI) is based 1985. For the estimation of the accounts, sectoral estimates make

adjustments on the available price indices by rebasing the available price indices to 1985 by "splicing" as explained in the rebasing methodology section later.

d) Price indices used as deflators are base-year weighted.

Due to data limitations, all price indices are base year weighted instead of current year weighted. In using base year weights, the resulting trend of the price indices fails to account for the changing structure of the commodity composition of the index since the weights still follow the commodity composition of the index during the base year. For example, the export price index of merchandise exports like coconut, sugar, etc. still takes into account the substantial contribution to export of such commodities during the base year (1985) which has been significantly reduced. Similarly, the entry of new export commodities in the basket of merchandise exports is not provided appropriate weights. e) Lack of proper price deflator to use.

For the agriculture sector, the Producers Price Index (PPI) for the sector is appropriate. However, at present, these are available only on a semestral basis without the quarterly breakdown needed in the quarterly national accounts. As a consequence, the available quarterly farm prices are

10

used as proxy for the PPI. Similarly, the manufacturing sector continues to use the WPI as proxy deflator for the PPI.

f) Difficulty in measuring quality change

For a number of deflators such as those used in foreign trade, changes in the index generally reflect both price and quality change. As a result, the constant price estimates do not capture changes due to improvement in product/service quality.

II.

REBASING OF GDP

II.a. History of the Rebasing of GDP

The PSNA has undergone four rebasings/revisions. In general, rebasing of the PSNA is done simultaneously with the overall revision of the accounts. Rebasing of the PSNA is generally directed through a statistical policy resolution ( issued now by the NSCB Executive Board) and includes the rebasing of other statistical series as well.

The first constant price estimation of the PSNA was attempted in 1950 with 1955 as the base year. The first rebasing was completed on August 30, 1968, changing the base period from 1955 to 1967 for the national accounts series from 1946 to 1967. In 1976, the second rebasing shifted the base year from 1967 to 1972 which coincided with the preparation of the Manual on Sources and Methods for the National Accounts. Estimates for 1967-72 and 1971-72 with 1972 as base year were produced but the two series were not comparable because of the changes in sources and methods.

However, on February 12, 1973, revised and comparable estimates for 1967-72 were completed. The sources and methods used in the revision integrated the piecemeal improvements previously made and a few new ones. The significant revisions that were adopted in the 1973

revisions were: use of the 1968, 1969 and 1970 Annual Survey of Manufactures and quarterly surveys to update the series; improvements in deflators such as salary rate index instead of the CPI for Government Services and Government Consumption Expenditures; wage rate index for GVA of Construction, etc.; use of income elasticity for PCE; and improvements in coverage of Insurance and Non-Banks.
11

A new series of the National Accounts of the Philippines was completed in September 1976 after an intensive program of overall revision was launched in early 1975 to make the national and regional accounts responsive to the needs of development planning and policy formulation. Among others, the revision shifted the base year from 1967 to 1972 in compliance with NEDA Resolution No. 8, series 1976, requiring all statistical series to be rebased to 1972.

After the 1976 revision, efforts continued towards the improvement of the PSNA. In a workshop held on December 12, 1985, a proposal for a comprehensive approach to revise the PSNA was presented. The proposed revisions considered recommendations of the 1971, 1976 and 1982 PSNA workshops and the 1968 UNSNA. The program included changing the base year from 1972 to 1985 in response to a resolution by the Statistical Advisory Board (SAB), the forerunner of the NSCB Board, prescribing the shift from 1972 to 1985 of the national accounts and other statistical series. The revision, which was started in 1990 and completed in 1995, took into account the series of recommendations in the previous PSNA workshops (1971, 1976, 1982 and 1985) as well as the recommendations in the 1968 UNSNA and to a limited extent the 1993 SNA. The NSCB Resolution No. 6 series of 1991, approved in July 1991, requires that the next synchronized rebasing of all price indices shall have 1994 as the base year. The NSCB is currently drawing up its plans to do a revised-rebased PSNA series with 1994 as base year.

II.b. The Choice of the Base Year

The base year should of course be a normal year.

A normal year is theoretically

characterised as having a relatively stable economy, where there are no irregular or unusual occurrences or undue fluctuations in the prices of commodities during the entire year. Although there are no established criteria of a normal year, the economy during the base period should be in close equilibrium or not obviously in violent disequilibrium. These considerations cannot be made very precise and in practice, are not very easy to tell. The rational thing to do is to avoid periods which are clearly dominated by exceptional events such as elections, stockmarket crash, general strike, price control and other institutional events that affect prices and production.

The PSNA considers other criteria in choosing the base year, one of which is the availability of data such as establishment and household censuses and surveys, price indices and other related data needed to develop benchmark estimates for the PSNA. The NSCB likewise
12

considers to the extent possible, the UN recommendation that the base year should not be too far from the previous base year, say five to ten years separating them.

II.c. Methodology In Rebasing

As mentioned previously, the rebasing of the PSNA generally coincides with the overall revision of the accounts. The latest rebasing of the PSNA, the shift from 1972 to 1985, covered the period from 1980 to 1990.

Under the rebasing methodology followed, the current price estimates of GDP and GNP by sectors/subsectors are first revised given the identified changes in data, concepts, coverage and methodology.

The implicit price deflator for each subsector is then estimated based on available price series data. Most production sectors use output deflators except for Government Services and Construction which use wage rates as input deflators. For the expenditure items, the CPI is generally used. Since some of the price indices used have been rebased to 1985, these price

indices were used directly as deflators. Otherwise, the price series had to be rebased to 1985 which in practice is done simply by "splicing". For example, the CPI for year Y at 1994 prices is spliced by dividing the 1994 based CPI for year Y by the 1994-based CPI for 1985 to derive the 1985based CPI for year Y.

Given the current estimates and the price deflators, the constant price estimates for 1980 to 1990 are derived by simply dividing the current price estimates by the corresponding 1985-based price deflators. This process is applied on a subsectoral / sectoral basis, whichever is appropriate.

To estimate the rebased-revised PSNA series for the period prior to 1980 at current prices, estimates from 1946 to 1980 (1972=100) were linked to the 1980-1990 revised series (1985=100) by splicing. The splicing is implemented by applying/assuming the growth rates for the period for which new backward estimates are to be made. This is done by applying the 1979-1980 growth rate on the 1980 estimate to derive the backward estimate for 1979, and so on.

The 1946-1980 revised current price estimates are deflated using price deflators for said period. These price deflators are the results of linking by splicing the 1946 to 1980 price deflators
13

with the revised 1980-1990 price deflators. The current estimates are simply divided by the price deflators to come up with the revised 1946-1980 revised constant price estimates.

II.d. Problems and Issues In Rebasing, Some Solutions Proposed/Adopted.

1. The problem that has always been raised during rebasing is the choice of the base year. The choice of the 1985 as the base year was questioned because it was later noted that this year was an abnormal year , or at least not a normal year so that it may not provide a good benchmark for analysis. The NSCB Technical Staff will soon recommend that a new base year for the National Accounts be adopted.

2. The second problem concerns the different base years of the statistical series needed for rebasing the accounts particularly on prices. The solution is to come up with a policy resolution on the synchronization of all data series for the accounts everytime a rebasing is programmed.

3. With recent economic developments, particularly the structural changes occurring in the Philippine economy, the need for more frequent rebasing becomes necessary, otherwise growth rates may no longer be realistic. An example is the PSNA estimate of exports of electronics and microcircuits from 1990 to the present. As a result of using a base year too far in the past, quality changes in electronics and microcircuits have diluted the validity of the present estimates. Questions have been raised therefore on whether growth rates of exports of

commodities are being underestimated in the PSNA. Attempts have been made to use finer commodity classifications such as moving from the 2 or 3-digit to the 7-digit classification of the Philippine Standard Commodity Classification (PSCC). So far, the results of these attempts have not been conclusive. Other possibilities are to shift the base year to a more recent one or to look for alternative methodologies such as the use of chain index. Maybe, there should also be a policy decision on how frequently the change in base year should be implemented.

III.

LINKING OF GDP SERIES AT CONSTANT PRICES

III.a. Series Used to Link the PSNA

The first continuous series at current and constant 1955 prices covered the period from 1946 to 1967. For subsequent estimates at current and constant 1967 prices, comparability was not
14

considered. While internal consistency was maintained for a given set of estimates (covering three years) published at one period of time, this was not comparable with other sets compiled at other times. Thus, the 1967 base estimates did not provide a continously comparable series even for the last five years despite changes made due to sources of basic data as well as estimation procedures. Also these sets of estimates were not linked to the 1946-1967 PSNA series.

In the newly revised series for 1967-1972 (completed as of February12, 1973), there was an effort to provide a continuous and comparable series over the period to resolve the problem of discontinuity. Although there was a plan to reconcile this series with the 1946 to 1967 series, this was not completed.

The overall revision that was completed in September 1976 included doing a link series from 1946 to 1976. This was in compliance to the NEDA Resolution Number 8 Series of 1976. National accounts data prior to 1967 (1946-1967) were simply linked to the revised series (1967 to 1976) since data needed for the revision could only be generated to as far back as 1967.

The next linking exercise was undertaken in 1987 as a consequence of the initial compilation of the Gross Regional Domestic Expenditures (GRDE) Accounts. Since the GRDE was estimated from 1975 to 1988, the Gross Regional Domestic Product (GRDP) series was also revised and updated to cover the same period. Consequently also, the national accounts series was revised and a linked PSNA series from 1975 to 1988 was compiled. published. This link series was

In response to the proposal made in 1985 to again revise the PSNA, one of the activities that was carried out by the NSCB was to revise the PSNA series from 1980 to 1987 to reflect the change in base period from 1972 to 1985. The revised series was presented during the January 1990 PSNA Workshop in Talisay, Batangas to elicit comments from the participating institutions. The

comments served as basis for the revised series to be improved. This was to be presented to the NSCB Board afterwhich the official PSNA linked series was to be released by the middle of 1990. The first revised series with 1985=100 was published in May 1991 for estimates of 1988-1990. This was followed by the 1980-1990 series which was completed in 1995. Again earlier PSNA series from 1946 to 1980 was simply linked to the revised PSNA series from 1980 to 1990.

15

Subsequently, starting 1996, linking was undertaken annually after the annual release of the national accounts in May of each year. The schedule for the link series is now included in the Schedule of Releases for the PSNA for the following year, which is, announced at the end of each year.

III.b. Methodology of Linking the PSNA Series

In the Philippines, linking of the PSNA series is timed during its overall revision. The revision of the PSNA series generally starts with the earliest year not covered by the previous revision.

Actual revision of the series entails revising the estimates across all the production sectors and the expenditure items including the Income and Outlay Accounts. The revisions are the results of new or revised data, changes in concepts and methodology, additional coverage and rebasing of the accounts.

The portion of the PSNA series not covered by the latest revision is linked to the revised series through the method of splicing described earlier. This is done by applying and thus assuming the growth rates of the old estimates starting with the first year covered by the latest revised series and moving backwards. For example, in the last linking exercise, actual revisions were applied to the PSNA series from 1980 to 1990. The portion of the PSNA series covering the period prior to 1980 was linked to the revised series by applying the growth rate for 1979 to 1980 on the 1980 estimate to derive the backward estimate for 1979 and so on.

III.c. Problems and Issues in Linking, Some Solutions Adopted/Proposed

1. The major problem in linking the PSNA series is the lack of pertinent data for the earlier years to allow a complete revision going all the way down to the first component of the series. This is addressed by linking the earlier years estimates with the revised current series through splicing.

2. Another issue is the absence of well-defined policies or guidelines on the generation of a linked PSNA series. While users generally look for the timely generation of a linked series to enhance
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their analysis, statistical offices are faced with resource constraints that translate into the data limitations associated with the linking process. The NSCB will be proposing the issuance of a policy resolution to rationalize the linking of the PSNA series including the Quarterly and Regional Accounts.

IV.

THE COMPILATION OF THE QUARTERLY & REGIONAL ACCOUNTS

IV.a. Quarterly Accounts

The compilation of the quarterly national income accounts was initiated in 1983, a time when the country was in recession and there was an urgent need for more frequent and up-to-date indicators on the performance of the economy. The quarterly estimates are produced to provide

comprehensive measures of short-term changes in overall economic activity.

The quarterly accounts of the PSNA are limited to showing only breakdowns of the GDP by economic activity and by expenditure items. The estimates of the quarterly GDP and its sectoral components maybe classified into : a) preliminary or advanced estimates; and b) revised estimates. The preliminary or advanced GDP are based on preliminary quarterly data and/or quarterly indicators that serve to provide quarterly trends in the absence of more complete data. estimates, however, are based on more complete data and indicators. The revised

IV.a.1. GDP by Economic Activity

The quarterly GDP by economic activity is the aggregate of the GVAs of the different industry groups classified into major sectors namely: a) Agriculture, Fishery and Forestry; b) Industry; and c) Services.

For benchmark estimates on an annual basis,

sectoral estimation of GVA follows the

production approach. For the quarterly estimates however, sectoral and subsectoral estimates of the GDP components rely heavily on the use of production indicators to extrapolate quarterly GVAs. This is true for most of the sectors, particularly during the preliminary rounds of estimation. In some sectors particularly the agriculture, fishery and forestry sectors, however, the production approach is used because of the availability of quarterly data.

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IV.a.1.1. Agriculture, Fishery and Forestry

The GVA estimates of agriculture includes the production of agricultural crops, the raising of livestock and poultry including the production of milk and eggs, the provision of agricultural services on a fee or contract basis and other agricultural activities such as horticulture, landscape, gardening and own-account capital formation. Fishing covers commercial, municipal and

aquaculture fishing including the gathering of marine products. Forestry comprises logging and the gathering of minor forestry products. The GVA is estimated by first estimating the gross output (GO) and then multiplying it by the appropriate GVAR.

After the benchmark estimation, quarterly GVA is estimated

by extrapolation using

indicators on the value of agricultural production to provide trends for the quarterly GVA estimates. For constant price estimates, the deflator used is farm gate prices.

IV.a.1.2. Industry

Mining and Quarrying

GVA estimates for mining and quarrying cover the extraction of metallic and nonmetallic commodity and its related processes including prospecting for minerals on contract basis. Quarterly GVA for mining and quarrying is estimated indirectly using the GVAR. The GVA at

current prices is derived by applying the GVAR to the value of production based on reports of the mining firms and supplemented by data from the Quarterly Survey of Establishments (QSE). The deflators used are the prices of metallic and non-metallic mining commodities.

Manufacturing

The manufacturing sector covers the organized and the unorganized activities of the 20 major industry groups namely: food, beverages, tobacco, textile, footwear and wearing apparel, wood and wood products, furniture, paper and paper products, publishing and printing, leather and leather products, rubber and rubber products, chemical and chemical products, products of petroleum and coal, non-metallic products basic metal products, fabricated metal products, machinery except electrical, electrical machinery, transport equipment and miscellaneous
18

manufactures. The GVA estimation for all subsectors follows the production approach using both survey-based and administrative-based data.

The quarterly GVA for the manufacturing sector is obtained by extrapolating the GVA of the previous year using the trends of production data. For most of the subsectors, the data come from the Monthly Integrated Survey of Selected Industries (MISSI). Additional indicators come

from other agencies such as the Sugar Regulatory Administration for sugar, Philippine Cement Manufactures for cement and Department of Energy for petroleum and coal. price estimates, the WPI is used as deflator. For constant

Construction

The GVA of the sector covers public and private construction, secondary activities, own account capital formation and the unorganized sector. For quarterly estimates, output for

residential and non-residential buildings is computed using indicators on floor area from building permits multiplied by the average cost per unit area. Since gross output is equal only to what has been put in place for a particular period, the allocation of accomplishment is derived by applying the S-curve method. The GVA at constant prices is derived using the composite deflator on compensation, materials and repairs and maintenance. For compensation, the average earning index for construction is used while for maintenance and repair, the WPI and CPI are used, respectively.

Electricity, Gas and Water

The major activities included in the sector are the generation, transmission and distribution of electricity to households, industrial and commercial users, the production and distribution of natural gas or pipeline gas and the collection and purification and distribution of water for final or intermediate consumption.

For quarterly estimates for electricity, the GVA is extrapolated using the growth rates of the sales of the National Power Corporation and the Manila Electric Companies and the National Electric Administration. For water, quarterly growth rates of the sales of the MWSS (within
19

Manila) and LWUA (outside Manila) are used.

For constant price estimates, the deflator used

is the computed index based on the price per kilowatt-hour for electricity and price per cubic meter for water.

IV.1.3. Services

Wholesale and Retail Trade

Trade consists of wholesaling and retailing activities. Wholesale trade covers the units which resell without transformation new and used goods in bulk while retail trade covers units which resale without transformation new and used goods to the general public mainly for personal and household consumption. Repair and installation services rendered by establishments mainly engaged in retail trade are also included.

Quarterly estimates for both wholesale and retail trade are estimated by extrapolation using growth trends of the gross revenue from the QSE. The deflators used are the wholesale and retail price indices.

Transportation, Storage and Communications

Transport services consist of the transport of passengers and freight by land, water, air and services related to this operation like the operation of roads, terminal facilities, piers, airports and the like including the operation of warehouses and storage facilities. Communication includes mail and courier services, telephone and radio and related services. Quarterly estimates of GVA for all subsectors use the growth rates of revenues derived from QSE. At constant prices, the CPI for transportation is used as deflator.

Finance

The finance sector covers the activities of financial institutions such as banks, non-banks and insurance companies. The sectors quarterly estimates are computed using the growth rates of revenues and compensation from the QSE. For banks the estimates are validated with some indicators (such as deposits) on the performance of the top banks from the Central Bank of the

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Philippines. For constant price estimation, in the absence of more appropriate deflator, the CPI for all items is used.

Private Services

Private services include educational, medical and health, business, recreational, hotel and restaurant and other private services. Producers of these services are industries and private nonprofit organizations engaged mainly in social and community services. For all subsectors, the quarterly GVA is estimated using the growth rate of revenues from the QSE. In addition, for hotel and restaurant, data on hotel occupancy and tourist arrivals from the DOT are used.

The constant price estimates for educational, medical and health, recreational and personal services use the CPI as deflator. For business, hotel and restaurants and other private services, the compensation per employee index is used.

Government Services

Government services refer to such services as public, administration, defense and regulation of public order, provision of health, education, cultural, recreational and other social services, provision of social security arrangements and the promotion of economic growth and welfare and technological development.

GVA of government services is equivalent to the compensation of employees, depreciation and indirect taxes. For quarterly estimates, data are available on a quarterly basis for compensation from the monthly cash disbursement program of the national government and social security agencies, for depreciation from the inventory of equipment for national and local government, and for taxes from the budget expenditures and sources of financing.

At constant prices, the average earnings index from the Quarterly Survey of National Government Employment and Compensation is used as deflator.

IV.a.2. GDP By Expenditures

IV.a.2.1. Personal Consumption Expenditures

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The personal consumption expenditures (PCE) represent the final consumption expenditures by the households and non-profit institutions serving households. Benchmark estimates of are derived using the commodity flow method. PCE

Such approach calculates the share of final

consumption of households and non-profit institutions serving households from the total supply of commodities available from domestic production and importation.

For the quarterly estimates, appropriate indicators for each expenditure item are used. For instance, for food, the quarterly trends of production of agricultural commodities and manufactured food are used while for fuel light and water, the GVA estimates of electricity and water are used. The residential consumption of electricity from MERALCO and MWSS are also used to validate the PCE estimates. Estimates at constant prices are obtained by deflating the current values by

the appropriate components of the CPI.

IV.a.2.2. Government Consumption Expenditures

The final consumption expenditures of the general government is equal to its gross output which is the GVA (from the production side) plus intermediate inputs (MOOE less the sales to the households) . For constant price estimation, each major item of expenditure is deflated by an appropriate index; like for travel, the COA allowable per diem is used; for communication, transport services and service incidental to transport, supplies and materials, electricity, gas and water and other services, the corresponding CPI is used. For repairs and maintenance, construction and durable equipment expenditure for the military, deflator used is the implicit price index of construction and durable equipment.

IV.a.2.3. Gross Domestic Capital Formation

Gross fixed capital formation consists of the gross fixed capital formation and the changes in stocks. This refers to outlays on construction, durable equipment, and breeding stocks, orchard development and afforestation. For benchmark estimates, the following are covered:

Construction For construction, this covers all constructions owned by the government, government corporations and private construction including transfer costs and own account capital formation
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done by industries. For quarterly estimates, available indicators on building permits and the Scurve approach are used. A composite price index on construction materials, compensation and

other value added is used as deflator.

Durable Equipment Durable equipment consists of the outlays for new or used capital goods acquired by all resident producers less sales or transfers of used capital goods. approach, Following the commodity flow

quarterly estimation makes use of indicators such as imported durable equipment

sourced from the Foreign Trade Statistics and local production for the locally produced equipment. At constant prices, different deflators are used for imported and local component. The deflator for imported component makes use of the trend of the gross kilos index while for local component, the wholesale price index specifically for electrical and non-electrical machinery, transport and miscellaneous is used.

Breeding Stocks, Orchard Development and Afforestation For breeding stocks, orchard development and afforestation, benchmark estimates cover the outlays for raising animals for breeding, draught and dairy, for cultivation of plantations of permanent crops and for clearing and planting of forest trees to develop new forest areas. For

succeeding estimates, the quarterly indicators used are the available data on inventory of animals, production of permanent crops and area reforested. Estimates for constant prices make use of the farm gate prices as deflators for breeding stocks and orchard development while for afforestation , the cost per unit area reforested is used.

Changes In Stocks Changes in stocks cover the goods and services produced or purchased but not yet put to final use or sold during the accounting period in the agriculture, general government, public corporations and other non-agricultural sectors. This is estimated for stocks in the agriculture and non-agriculture sectors. stock commodity. For constant price estimates, base year prices are used for each of the

IV.a.2.4. Exports and Imports of Goods and Services

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Exports and imports of goods and services consist mainly of transactions between the residents of a given country and the rest of the world covering merchandise goods and non-factor services.

In the estimation of merchandise goods, these are valued at free on board (F.O. B) for exports and at cost plus insurance and freight for imports. To derive the estimates at constant

prices, the corresponding export and import unit value in the base year is multiplied by the gross kilos. For non-factor services such as transport, communication and insurance services,

government services, travel items, purchases of foreign government in the domestic territory, and miscellaneous services , quarterly estimates are based on non-factor exports as reported in the Balance of Payments. These values are deflated using the appropriate domestic price indices like

the used of the WPI (for mineral fuels) for transport services, CPI (Metro Manila) for government services and CPI for the Philippines for the rest of the commodities such as insurance services and expenditures of non-resident households on miscellaneous commodities.

IV.b. Regional Accounts

The regional compilation of the Gross Domestic Product provides disaggregated information on economic activities in support of decentralised planning and decision making. The first attempt on the compilation of regional accounts was to estimate the regional GDP by

economic activity (GRDP) in 1974 and covering the period 1971 to 1978. In 1987, regional GDP by expenditure (GRDE) was first estimated for the period 1975 to 1987. The generation of these accounts provided subnational users of the GRDP and GRDE with comprehensive indicator for analysing the workings of the regional economy. At the same time, the development of such regional accounts has paved the way to further improve the generation of regional information. With the compilation of the regional accounts both by economic activity and by expenditure, demands for regional data inputs necessarily increased. As the current data system cannot fully support the requirements of the regional accounts, while the importance of the regional accounts to users at the sub-national levels cannot be underscored, the GRDP and GRDE estimates are faced with limitations which demand continuing improvements.

The succeeding sections present the sectoral estimation methodology of the regional accounts at constant prices. The discussion takes off from previous presentation of the quarterly methodology and will discuss how regional distributions are derived using available indicators.
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IV.b.1 Gross Regional Domestic Product

The Gross Regional Domestic Product (GRDP) is the aggregate of the gross value added or income originating from each industry or economic activity of the regional economy. The

economic activities for regional accounts follow the same classification as that of the quarterly accounts. The three major classifications are: a) agriculture, fishery and forestry; b) industry; c) services.

IV.b.1.1 Agriculture, Fishery and Forestry

At constant prices, the regional GVA is indirectly estimated using the gross value added ratio (GVAR) approach. First, the regional value of production is derived by multiplying the regional volume of production by the corresponding regional farm prices to estimate the value of production by subsectors. Then the corresponding regional GVARs are applied to the value of

production to estimate the regional GVA. The same GVARs for the national estimates are also used for all regions which assumes the same commodity technology irrespective of the location of production. The resulting GVA by subsector when summed up may not be equal to the computed GVA at the national level. Thus, regional GVA is derived by allocating the national GVA using as indicator the estimated GVAs.

IV.b.1.2. Industry

Mining and Quarrying

For the preliminary regional estimates,

the current price GVA of the metallic subsectors

are estimated using the trends of reporting large scale mines and the panned gold purchases of the Bangko Sentral ng Pilipinas. The derived GVA at current prices is deflated by production prices which are derived from the reports of large scale mining companies. For stone, quarrying, clays and sandpits, the GVA is established using the regional trends of the gross revenue in the QSE and deflated by appropriate regional price deflator. For other non-metallic subsector, data on volume and value of coal from the Department of Energy are used to extrapolate the GVA.

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Manufacturing

Regional estimates of the GVA are derived by deducting from the gross output the intermediate inputs. However, the resulting GVA for the region will not summed up exactly with the total GVA at the national level since the regional estimates do not take into account the informal sector. Thus, the regional distribution of the estimated GVA is then used for allocating the national estimate of the GVA. At constant prices, the regional deflator is derived by applying to the

wholesale price index by commodity the regional price differential based on the CPI.

Construction

Regional GVA are estimated for public and private construction. For public construction, regional GVA is obtained by applying the regional distribution based on NEDA and DPWH infrastructure programs. Other indicators from PPA, NEA and DOTC are used to validate the regional GVA estimates. For private construction, GVA by region is extrapolated based on trends of the building permits. The resulting regional GVA when summed up will not equal to the total GVA at the national level since the regional estimates do not account for the output from secondary activities of the sector and the informal sector. Thus, these estimates at the national level are

allocated to the region using as indicator the regional distribution of the estimated GVA for private construction. At constant prices, GVA are estimated using as deflator the composite price index reflecting labor and other input components. Price differential across regions is based on the CPI for housing and maintenance.

Electricity, Gas and Water

For the distribution of the electricity, regional allocations are based on sales data from the Manila Electric Company and rural electric cooperatives. These indicators are used to allocate the national level GVA estimates by region. For the generation and distribution of water, data from

the Manila Water Works System and from the local water districts / water systems are summed up to provide indicators for regional allocation of the GVA estimates at the national level. At constant prices, the deflator used is the output price index based on average rates of electricity, gas and water.

IV.b.1.3. Services
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Wholesale and Retail Trade

Regional GVA only accounts for the organized wholesale and retail trade. The unorganized are not estimated, so that these are allocated using as indicator the distribution of the regional value added estimated from the CE/ASE. This procedure assumes that regional distribution of the unorganized component is the same as that of the organized trading activities. This is further adjusted using as indicators the trends of goods producing sectors, which are supposed to be sources of goods traded.

Where CE/ASE are not available, the GVA are estimated by extrapolating the previous years regional GVA using the average of the quarter growth rates of gross revenues as indicator. The WPI is used as deflator and regional differential are based on CPI for all items.

Transportation, Storage and Communications

The regional GVA depends on the data from the CE/ASE for direct estimation of GVA by region for all subsectors except for air. Due to the centralized reporting of the large transport and communication firms and the exclusion of the small transport units such as jeepneys, tricycle, etc. regional estimates are faced with limitations. Regional indicators for each However when both CE/ASE

subsector are thus used to supplement the available regional data.

and regional indicators are not available particularly in the preliminary estimates, the regional GVA for a sector is extrapolated using the geometric average of the quarterly trend of gross revenues sourced from the QSE, except for the air transport where data from the Philippine Airlines are readily available. CPI components. At constant price estimates, the deflator used is the relevant

Finance

Regional GVA estimates for finance are computed for banks, non-banks and insurance. However, due to data unavailability, the procedure used for estimating the national GVA cannot be used. Thus, regional indicators are used for the regional allocation of the estimates of national GVA. For banks, where the gross output covers the imputed bank service charges, actual service charges and other receipts of banks, data on total resources by region are used as indicators. For
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non-banks, the number of nonbank financial institutions by region is used. For insurance, the number of branches and general agents of private insurance companies by region is used as indicators.

Real Estate and Ownership of Dwellings

Data by region from the CE/ASE are used for regional estimates of real estate and ownership of dwellings. Additional regional indicators on the value of sales of real estate and the real estate mortgages are also used. Other indicators by region include the number of owner

occupied dwelling units, average rent per square meter of an owner-occupied dwelling units, and total floor area of residential construction.

For preliminary estimates where regional data may not be readily available, the GVA by region for the sector is computed using as indictor the geometric average of quarterly trend of gross revenue from the QSE. For revised estimates, regional data are used. At constant prices, the deflator used is the CPI (all items).

Private Services

The CE and ASE with regional breakdown provide the data for regional estimates of GVA for all subsectors. However, only regional indicators for organized components are available and those unorganized like independent and small practitioners providing private services are not covered. Thus, regional distribution of the estimated GVA at the national level is based on regional structure of the organized establishments providing private services.

In the preliminary regional estimates when CE / ASE are not available, regional GVA for the sector is estimated by extrapolating the previous years regional GVA using the average quarterly growth rates of gross revenues for the QSE. For constant price estimates, the CPI for all items by region are used as deflator.

Government Services

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The regional GVA for producers of government services is estimated using the

cost

approach that is the summation of the compensation of employees, depreciation and indirect taxes. The availability of such regional data also allows the regional estimates for both the local government units and national government agencies at the regional level. At constant prices, the average earnings index is used as deflator. The same deflator used at the national level is used for all regions on the assumption that there are no marked differences in the compensation among the regions as a result of the salary standardization scheme of the government.

IV.b.2. Gross Regional Domestic Expenditures

Expenditure on the gross regional domestic product is the aggregate of the final expenditure of the different institutional sectors in the region.

IV.b.2.1. Personal Consumption Expenditures (PCE)

The estimation of PCE at the regional level pose limitations for the replication of the methodology used at the national level because of the unavailable data for regional estimates. As such, the regional estimates are derived using as indicator the regional distribution of total expenditures from the Family Income and Expenditure Surveys (FIES). Regional estimates are only limited for the total PCE with no breakdown by item of expenditure. Given this methodology, it is assumed that the regional structure of the final consumption expenditure of non-profit institutions serving households is the same as that of the households.

In the absence of the FIES which is available every three years, regional estimates are based on interpolation and the derived regional distribution is used as indicator to allocate the national level estimates of PCE. (all items) as deflators. Regional estimates at constant prices are derived using the regional CPI

IV.b.2.2. General Government Consumption Expenditures

For regional estimation of the consumption expenditures for government, data from financial reports of the national and local government provide the basis for the estimates. When these data are not available, however during the preliminary regional estimates, data on regional program of expenditures from the Department of Budget and Management are used.
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Like the

estimation at the national level, regional output are estimated as the summation of all factor costs for both national and local government. At constant prices, average earning index computed at the national level is also used as deflator for regional estimates. This assumes that there are no marked regional differentials in the expenditure items among regions.

IV.b.2.3. Gross Domestic Capital Formation

Gross capital formation by region are estimated separately for fixed capital formation consisting of construction, durable equipment, breeding stocks, orchard development and

afforestation as well as for changes in stocks.

Construction For estimates of construction by region, both public and private constructions are covered. However, own account capital formation and its secondary activities are not estimated for the region. For regional public construction, the output measures the construction in progress. For regional private construction (residential and non-residential), the data on building permits are used for the S-curve to estimate the percentage distribution of physical accomplishment for the period. The allocation of the sector's output among regions is based on indicator of regional distribution as estimated from the gross value of public and private constructions.

For constant price estimates, a composite index consisting of the Wholesale Price Index, Average Earning Index and Consumer Price Index are used. Regional CPI for housing and maintenance provides the regional differentials applied to the composite price index computed at the national level.

Durable Equipment The estimation methodology using the commodity flow method as applied for the national level estimates can not be used for the regional estimates since available data for the region can not fully support the estimation methodology. Such, the use of regional indicators obtained from the regional pattern of expenditure on equipment are resorted which are generated from the Annual Survey of Establishment and the Census of Establishments. For constant estimates by region, the deflator used for national level estimates is the same deflator for regional estimates. It assumes that for most capital goods, price determination is more a function of the uniqueness of the equipment rather than its geographical placement.
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Breeding Stocks, Orchard Development and Afforestation For breeding stocks, regional estimates make use of indicators on regional data on inventory and prices of livestock and poultry used for breeding, milking, laying and work. The regional ratios to determine the number of animals used for capital formation are based from the Census of Agriculture. At constant prices, the deflator used is the regional farm prices.

For orchard development, the regional estimates are based on the distribution of area planted for major plantation crops. The regional wage index for agriculture is used as deflator.

For afforestation, regional data on expenditures

incurred by private enterprises and

government as reported by the Forest Management Board are used to allocate the national level estimates by region. The cost per area reforested translated into index is used ad deflator for estimates at constant prices.

Changes in Stocks Regional estimates for changes in stocks are estimated separately for the agriculture sectors and non-agriculture sectors. For agriculture, this covers stocks of rice, corn, livestock and poultry. Stocks of non-agriculture covers the industrial and non-industrial sectors particularly the finished goods held by manufacturing, mining and quarrying establishments.

At constant prices, regional estimates for agriculture stocks are deflated using the farm gate prices while for non-agriculture stocks, the computed implicit price index by region is used. Value of changes in stocks at the national level is allocated by region using as indicator the regional estimates of agriculture and non-agriculture stocks.

IV.b.2.4. Exports and Imports

The current data system in the region can not fully support the regional estimates for domestic and foreign exports and imports. In some regions where there are international ports and

customs manifests to establish the entry and exit of certain commodities, these are insufficient to generate estimates of net exports. The greater portion of net exports, however, comes from

transactions between and among regions where there are no current available information. As such, the major indicators for net exports are the estimated GRDP including regional estimates by
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expenditure items.

With this, the net exports by region are estimated as residual of the total GRDP

less the combined regional estimates of PCE, GGCE and GDCF.

V.c. Problems and Issues on the Compilation of the Quarterly and Regional Accounts

The major problems on the compilation of the quarterly and regional accounts relate to: a) inadequacy of the quarterly and regional data that will allow direct estimation; b) when data are not available at estimation time, inappropriate proxy indicators are used; and c) the absence of more appropriate deflators for most sectors both for the quarterly and regional estimation.

V.

SHORT AND LONG TERM PLANS ON REBASING AND LINKING OF THE PSNA SERIES

In response to measurement issues resulting from recent economic developments such as new coverage (government infrastructures built and operated by private organizations, computer and information services, telecommunications), concept and methodologies (measuring the quality changes; computer and information services, among others), the NSCB will implement the following Revision-Rebasing Program starting next year to address these issues in the present PSNA. The general activities under the program, classified into short-term and long-tem activities are :

IV.a. Short Term Plans 1. Estimate new benchmark levels (1994) based on the 1994 Input-Output Accounts, 1994 Census of Establishments (CE) and 1995 Annual Survey of Establishments (ASE) will be estimated.

2. Following the new 1994 benchmark levels, estimate succeeding years (1995 to present) levels.

3. Implement improvements/revisions in estimates taking into account the new coverage, updated data and parameters, improve methodology and changes in concepts.

4. Estimate constant GDP/GNP following the new base year, 1994, for the series 1994 to present.
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IV.b. Long-Term Plans

1. Another Revision-Rebasing will be considered, that is, from 1994 to 2000 to be carried out in 2003. By that time, the results of the 2000 Benchmark Input-Output and Census of Establishments will be available.

2. Implementation of the recommendations of the 1993 UNSNA will start in 2005. Pilot on the 1993 UNSNA has started in 1998.

3. Full computerization of the PSNA by 2003.

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VI. REFERENCES Domingo, E.V. The Revised Philippine system of National Accounts. Journal of Philippine Development. No. 34. Volume XIX. No.1. Philippines. 1992. Domingo, E.V. Unpublished Paper on "Other Problems in Implementing the 1993 SNA. A Paper Presented in Joint OECD-ESCAP Meeting on National Accounts in Bangkok, Thailand. May 4-8, 1998. National Economic Council. The Statistical Reporter. Volume Nos. 1-4. Philippines. 1969. National Economic and Development Authority. Manual on the Philippine System of National Accounts: Framework, Sources and Methods. Manila. Philippines. 1978. National Economic and Development Authority. Manual on the Philippine Quarterly National Accounts. Sources and Methods. Manila. Philippines. 1987. National Statistical Coordination Board. Unpublished Manual on the Regional Accounts. Sources and Methods. Philippines. 1992. National Economic and Development Authority. The National Income Accounts. CY 1971-1975 (Link Series). No. 4. Philippines. 1977. National Economic and Development Authority. The National Income Accounts. CY 1946-1975 (Link Series). No. 5. Philippines. 1978. Virola, R. A. and M.M. Remulla. On the Compilation Methodology of Quarterly Philippine System of National Accounts. A Paper presented during the Philippine Economic Society Briefing on How Key Economic Indicators Are Computed. Makati. Philippines. 1997.

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A N NE X E S

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