Services: Statistics on Value Added and Employment
methods, notes and classification
SERVICES: Statistics on Value Added and Employment
Introduction
The electronic version of SERVICES: Statistics on Value Added and Employment (Services: VAE) is the latest CD ROM version of the OECD paper publication.
This publication contains national accounts based data on value added and employment in service activities. Its purpose is to document the growth and changes in the structure of the service sector in OECD Member countries over the past thirty years, and to provide basic data for economic analysis in what is now the major economic sector in the OECD area. It also seeks to provide a means of assessing the availability and comparability of data across countries.
Data are derived from Member countries national accounts, and are shown at the most disaggregated activity level available to the OECD Secretariat at the time of publication. The data shown in this report are as far as possible consistent with the data presented in the ôNational Accounts of OECD Countriesö, Volume 1 and 2. In addition OECD publishes business survey based data on services activities in the annual publication ôStructural Statistics for Industry and Services.ö
Contents of the CD ROM
The CD contains the series presented in the paper publication (ISIC Rev.3) and are provided from 1970 to 1999.
The countries The countries are the OECD Member countries. The full list of countries and the corresponding ISO codes, which have been used in the CD ROM, are provided in the classification plan.
The classifications (see also Appendix)
Most OECD countries have recently made the transition from the 1968 System of National Accounts (SNA) to the 1993 SNA, but some are not yet in a position to provide full activity detail and historical series in the new System. The publication provides data according to national availability, on the basis of the 1993 SNA. 1993 SNA recommends use of the International Standard Industrial Classification of all Economic Activities, Revision 3 (ISIC Rev. 3), while 1968 SNA uses ISIC Rev. 2. Country tables set out activity detail of national data according to the ISIC Rev. 3, as shown on the following page. Some ISIC Rev. 2 tables are provided in the historic tables in the electronic edition, where detailed historic series on an ISIC Rev. 3 basis are as yet missing.
All publications present ISIC major divisions as well as sub-divisions at approximately the 2-digit level whether data are available or not (if you wish to view only these divisions in Beyond 2020, refer to chapter 4). The series shown in the statistical tables at the 1 and 2-digit levels are as far as possible consistent with the data shown in the ôNational Accounts of OECD Countriesö, Main Aggregates and Detailed Tables publications. However where countries have more detailed activity or historic data that is not consistent with the annual national accounts publication, OECD has sometimes preferred to show the activity detail.
The ISIC Rev. 3 and Rev. 2 major divisions and sub-divisions at the 2-digit level as presented in the tables are provided in the Appendix.
The data
Services: VAE contains four data sets, which correspond to the standard tables of the paper version, but generally include longer time series (from 1970 until the latest available year):
Gross value added data (at current prices and volumes) are calculated, according to national practices, at basic prices, at factor cost, at market prices or at producer prices.
Value added volumes may either be presented at constant prices or chained.
Appendix: 2-digit ISIC codes used for all countries
ISIC Rev. 3 and Rev. 2 major divisions and sub-divisions at approximately the 2-digit level, as presented in the tables for all countries:
ISIC Rev. 3:
G_I 50_64 1. Motor, wholesale and retail trade; restaurants and hotels; transport and communication G_H 50_55 1.1. Motor, wholesale and retail trade; restaurants and hotels G 50_52 1.1.1. Motor, wholesale and retail trade 50 1.1.1.1. Motor trade and repairs 51 1.1.1.2. Wholesale and commission trade 52 1.1.1.3. Retail trade and repairs H 55 1.1.2. Restaurants and hotels I 60_64 1.2. Transport, storage and communication 60_63 1.2.1. Transport and storage 60 1.2.1.1. Land transport, transport via pipelines 61 1.2.1.2. Water transport 62 1.2.1.3. Air transport 63 1.2.1.4. Auxiliary transport services, travel agencies 64 1.2.2. Communication 641 1.2.2.1. Postal and courier services 642 1.2.2.2. Telecommunications J_K 65_74 2. Finance, insurance, real estate and business services J 65_67 2.1. Financial and insurance services 65 2.1.1. Financial intermediation 66 2.1.2. Insurance and pension funding 67 2.1.3. Auxiliary financial services K 70_74 2.2. Real estate and business services 70 2.2.1. Real estate services 71_74 2.2.2. Business services 71 2.2.2.1. Renting, etc. 72 2.2.2.2. Computer and related activities 73 2.2.2.3. Research and development 74 2.2.2.4. Other business activities 741 2.2.2.4.1. Legal and accounting services 742 2.2.2.4.2. Architect., engineering, other tech. serv. 743 2.2.2.4.3. Advertising services 749 2.2.2.4.4. Other business activities n.e.c. L_Q 75_99 3. Other services L 75 3.1. Public administration and defence M_Q 80_99 3.2. Education, health, social work related, other community, social and personal services M 80 3.2.1. Education N 85 3.2.2. Health and social work O 90_93 3.2.3. Other community, social and personal services 90 3.2.3.1. Sanitary and similar services 91 3.2.3.2. Membership organisations n.e.c. 92 3.2.3.3. Recreational and cultural services 93 3.2.3.4. Other personal services P 95 3.2.4. Private households with employed persons Q 99 3.2.5. Extra-territorial organisations
ISIC Rev. 2:
6 61_63 1. Wholesale and retail trade, restaurants and hotels 61_62 1.1. Wholesale and retail trade 63 1.2. Restaurants and hotels 7 71_72 2. Transport, storage and communication 71 2.1. Transport and storage 72 2.2. Communication 8 81_83 3. Finance, insurance, real estate and business services 81 3.1. Financial institutions 82 3.2. Insurance 83 3.3. Real estate and business services 9 92_95 4. Community, social and personal services 92 4.1. Sanitary and similar services 93 4.2. Social and related community services 94 4.3. Recreational and cultural services 95 4.4. Personal and household services 91 5. Producers of Government services n.e.c. 6. Other producers
METHODOLOGY
A. Structure of the Publication
Most OECD countries have recently made the transition from the 1968 System of National Accounts 1 (SNA) to the 1993 SNA 2 , but some are not yet in a position to provide full activity detail and historical series in the new System. The publication provides data according to national availability, on the basis of the 1993 SNA. 1993 SNA recommends use of the International Stan-dard Industrial Classification of all Economic Activities, Revision 3 3 (ISIC Rev. 3), while 1968 SNA uses ISIC Rev. 2 4 . Country tables set out activity detail of national data according to the ISIC Rev. 3, as shown on the following page. Some ISIC Rev. 2 tables are provided in the historic tables in the electronic edition, where detailed historic series on an ISIC Rev. 3 basis are as yet missing.
Data are given for the years 1970 to 1999, where available. Regarding a number of countries for which employment data is provided in terms of full-time equivalents, the electronic edition also shows the number of employed persons and employees.
B. Methodological Notes
In ISIC Rev. 3 services are defined as all activities in the tabulation categories G to Q, which are summarily described as follows:
G Wholesale and retail trade; repair of motor vehicles, personal and household goods;
H Hotels and restaurants
I Transport, storage and communications
J Financial intermediation including insurance
K Real estate, renting and business services
L Public administration, defence and compul- sory social security;
M Education
N Health and social work
O Other community, social and personal serv- ices;
P Private households with employed persons
Q Extra-territorial organisations
In ISIC Rev. 2 services are defined as all activities in major divisions 6 through 9 described as follows:
6 Wholesale and retail trade and restaurants and hotels
7 Transport, storage and communication
8 Financial, insurance, real estate and business services
9 Community, social and personal services
The differences between ISIC Rev. 3 and ISIC Rev. 2 are principally:
a) the separate division 50 for wholesale, retail and re- pairs of motor vehicles and retail sale of automotive fuel; b) the separate division 63 for all supporting and auxil- iary activities to transport regardless of whether it is land, sea or air transport; c) a separate division 71 for all renting and leasing of equipment. In ISIC Rev 2 these were scattered all over the classification; d) a separate division 72 for computer related services; e) a separate division 73 for research and development activities, which were previously classified in social and community services; f) considerable expansion of the activity detail for services.
Non-market services may be produced by Government, by private non-profit institutions serving households and by private households who employ domestic staff. In the ISIC Rev. 2 presentation Government non-market serv-ices are grouped under the heading ôProducers of Gov-ernment Servicesö; the other non-market services are grouped under the heading ôOther Producersö. Though all countries provide separate data (in ISIC Rev. 2) for general government services, defence and compulsory social security, several do not separate non-market educational, health, social, recreational and cultural services from their market counterparts.
Gross Value Added (GVA) may be calculated at basic prices, factor cost, producersÆ prices or at market prices. The statistical tables indicate which method of valuation is used. The use of different methods in OECD countries limits the comparability of value-added between countries. These valuations are summarised below.
Market prices are those which purchasers pay for the goods and services they acquire, excluding deductible Value Added Tax (VAT). The term market prices how-ever is sometimes restricted to aggregates such as Gross Domestic Product (GDP), whereas the term purchaserÆ prices is used for individual transactions.
ProducersÆ prices are those amounts receivable by the producer for a unit of good or service produced as out-put less any VAT or similar tax, invoiced to the pur-chaser. They exclude separately invoiced transport charges.
Basic prices are those amounts receivable by producers from the purchaser for a unit of good or service pro-duced as output less any tax payable, and plus any sub-sidy receivable, on that unit as a consequence of its pro-duction or sale. They exclude transport charges invoiced separately by the producer.
Factor costs may be derived from basic prices by sub-tracting any other taxes and adding any other subsidies on production that are not related to the number of units produced.
The 1993 SNA recommends valuing output at basic prices or producersÆ prices. The 1968 SNA used factor costs, producersÆ prices and market prices.
GVA at basic prices is output valued at basic prices less intermediate consumption valued at purchasersÆ prices. GVA at producersÆ prices is output valued at producersÆ prices less intermediate consumption valued at purchas-ersÆ prices.
GVA at market prices is output valued at market prices less intermediate consumption valued at purchasersÆ prices. GVA at factor cost is GVA at market prices less any indirect taxes plus any subsidies.
Value added at current prices is usually estimated in the same way as it is defined, namely as the difference between current price output and intermediate inputs. Value added volumes, whether at constant prices or chained may also be derived in the same way, when double deflation or other double indicator methods are used. Many countries, however, use various kinds of single indicator methods such as deflation of current price value added by a price index or extrapolation of base year value added by a volume index. With single indicator methods, constant price value added is derived directly, and not as the difference between constant price gross output and constant price intermediate consump-tion. The OECD publication ôServices: Measuring Real Annual Value Addedö5 describes the various methods used in each country in 1996. There has been some evolution since that time, with a few countries investing considerable effort in development of price measures of services supplied to enterprises. The comparability of volume output measures by activity between countries remains an area of concern, and particularly so in the service industries, which calls for renewed investigation.
The 1993 SNA introduces a number of measures of em-ployment in particular: - number of jobs; - total hours worked in employee and self-employed jobs; and - full-time equivalent jobs.
The rationale is to find measures of employment which match output data and hence allow analysis of productivity. The recommended measure is total hours worked, a second best is full-time equivalent jobs, the third best option is average number of persons employed in em-ployee jobs and self-employed jobs. Currently very few countries are able to provide hours worked data by detailed activity and it has not proved possible for this edition to provide the full complexity of country employment data. On this occasion the hours worked option has been ignored in favour of data on jobs or persons employed.
The SNA recommends the use of a domestic concept of employment in keeping with the domestic concept of production. Total employment includes all persons en-gaged in the domestic production of a country whether or not they are resident in the country. It covers the working proprietors and unpaid family workers of unin-corporated units as well as employees. Employees cover all persons engaged in the activities of business units, government bodies, private non-profit institutions, ex-cept the proprietors and their unpaid family workers in the case of unincorporated businesses. Domestic staff employed by private households are also included.
Members of the Armed Forces, are classed as employees, irrespective of the duration and type of their service. maison des mΘnages privΘs. Les membres des forces armΘes sont classΘs comme salariΘs, quelles que soient la durΘe et la nature de leur service. The domestic concept of employment is generally used by OECD countries and the categories of employed persons included in employment statistics are usually those recommended by the SNA. The few exceptions are indicated in the Summary Table, ôCharacteristics of employment estimatesö. This table shows for each country the coverage and type of estimate of employment statistics, as far as information was available to the OECD Secretariat at the time of publication.
Explanatory Notes 
Classification Plan ********************************************************************************
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* OECD STATISTICS *
* PARIS Services: Statistics on Value Added *
* and Employment *
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CLASSIFICATION PLAN:
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STRUCTURE OF THE CODE : XXX / X / XX / X / XX
SUB-CODES :
1 XXX...... Country
2 ...X..... Variable/Table
3 ....XX... Industry
4 ......X.. ISIC Rev.
5 .......XX Measure
SUB-CODE 1 : Country
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AUS Australia
AUT Austria
BEL Belgium
CAN Canada
CHE Switzerland
CZE Czech Republic
DEU Germany
DNK Denmark
ESP Spain
FIN Finland
FRA France
GBR United Kingdom
GRC Greece
HUN Hungary
IRL Ireland
ISL Iceland
ITA Italy
JPN Japan
KOR Korea
LUX Luxembourg
MEX Mexico
NLD Netherlands
NOR Norway
NZE New Zealand
POL Poland
PRT Portugal
SLK Slovak Republic
ESP Spain ESP
SWE Sweden
TUR Turkey
GBR United Kingdom
USA United States
SUB-CODE 2 : Variable/Table
-----------
P Gross Value Added at current prices
V Gross Value Added volumes (constant prices or chain volume measures)
T Total Employment
E Employees
SUB-CODE 3 : Industry
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ISIC Rev. 2
01 6 61_63 1. Wholesale and retail trade, restaurants and hotels
02 61_62 1.1. Wholesale and retail trade
03 63 1.2. Restaurants and hotels
04 7 71_72 2. Transport, storage and communication
05 71 2.1. Transport and storage
06 72 2.2. Communication
07 8 81_83 3. Finance, insurance, real estate and business services
08 81 3.1. Financial institutions
09 82 3.2. Insurance
10 83 3.3. Real estate and business services
11 92_95 4. Community, social and personal services
12 92 4.1. Sanitary and similar services
13 93 4.2. Social and related community services
14 94 4.3. Recreational and cultural services
15 95 4.4. Personal and household services
16 91 5. Producers of Government services
17 n.e.c. 6. Other producers
18 EME, TOTAL EMPLOYEES, All activities
19 PCT, % of services in total employees, all activities
20 FISIM, Imputed bank service charge
21 EMP, TOTAL EMPLOYMENT, All activities
ISIC Rev. 3
01 G_I 50_64 1. Motor, wholesale and retail trade; restaurants and hotels; transport and communication
02 G_H 50_55 1.1. Motor, wholesale and retail trade; restaurants and hotels
03 G 50_52 1.1.1. Motor, wholesale and retail trade
04 50 1.1.1.1. Motor trade and repairs
05 51 1.1.1.2. Wholesale and commission trade
06 52 1.1.1.3. Retail trade and repairs
07 H 55 1.1.2. Restaurants and hotels
08 I 60_64 1.2. Transport, storage and communication
09 60_63 1.2.1. Transport and storage
10 60 1.2.1.1. Land transport, transport via pipelines
11 61 1.2.1.2. Water transport
12 62 1.2.1.3. Air transport
13 63 1.2.1.4. Auxiliary transport services, travel agencies
14 64 1.2.2. Communication
15 641 1.2.2.1. Postal and courier services
16 642 1.2.2.2. Telecommunications
17 J_K 65_74 2. Finance, insurance, real estate and business services
18 J 65_67 2.1. Financial and insurance services
19 65 2.1.1. Financial intermediation
20 66 2.1.2. Insurance and pension funding
21 67 2.1.3. Auxiliary financial services
22 K 70_74 2.2. Real estate and business services
23 70 2.2.1. Real estate services
24 71_74 2.2.2. Business services
25 71 2.2.2.1. Renting, etc.
26 72 2.2.2.2. Computer and related activities
27 73 2.2.2.3. Research and development
28 74 2.2.2.4. Other business activities
29 741 2.2.2.4.1. Legal and accounting services
30 742 2.2.2.4.2. Architect., engineering, other tech. serv.
31 743 2.2.2.4.3. Advertising services
32 749 2.2.2.4.4. Other business activities n.e.c.
33 L_Q 75_99 3. Other services
34 L 75 3.1. Public administration and defence
35 M_Q 80_99 3.2. Education, health, social work related, other community, social and personal services
36 M 80 3.2.1. Education
37 N 85 3.2.2. Health and social work
38 O 90_93 3.2.3. Other community, social and personal services
39 90 3.2.3.1. Sanitary and similar services
40 91 3.2.3.2. Membership organisations n.e.c.
41 92 3.2.3.3. Recreational and cultural services
42 93 3.2.3.4. Other personal services
43 P 95 3.2.4. Private households with employed persons
44 Q 99 3.2.5. Extra-territorial organisations
45 EME, TOTAL EMPLOYEES, All activities
46 PCT, % of services in total employees, all activities
47 FISIM, Imputed bank service charge
48 EMP, TOTAL EMPLOYMENT, All activities
SUB-CODE 4 : ISIC Rev.
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2 ISIC Rev. 2
3 ISIC Rev. 3
SUB-CODE 5 : Measure
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BP Basic prices
FC Factor cost
MP Market prices
PP Producer prices
CV Chain volume measures
PE Persons
FT Full-time equivalents
JO Jobs
PY Person-years
LU Labour units
NE not elsewhere classified
Units:
Statistics on value added is given in millions of national currency,
on employment and employees in thousands.