The interconnection of an industry to other industries to which it sells its outputs. It is measured as the row sum of the direct requirements table (direct forward linkage) or as the row sum of the total requirements table (total forward linkage). An industry has significant forward linkages when a substantial amount of its output is used by other industries as intermediate inputs to their production. (BEA)
Foreign port value
The value of an imported product before transportation costs, insurance, or customs duties associated with delivering the product to the United States. When these costs are added, the value of the product is measured at domestic port value. The sum of imports in final uses (shown at domestic port value) is equal to the foreign port value of the imports, with adjustments for domestically produced transportation costs, insurance, and duties. (BEA)
Foreign Imports
A component of final uses that measures goods and services that are produced by the foreign sector and are purchased as intermediate inputs or for final use in the United States. The definition of imports in the U.S. international transactions accounts differs slightly from that in the NIPAs and I-O accounts, primarily in the treatment of trade in nonmonetary gold and of trade involving U.S. territories. Imports of goods by commodity are valued at U.S. domestic port values, including duties. Imports of services are valued at producers\’ values. The entries for transportation services and for trade include adjustments that convert the value of total imports of goods and services to foreign port value. (BEA)
First in, first out (FIFO)
Method of valuing inventories that assumes that the oldest stock in inventories is sold first. (BEA)
Firm value
The valuation in the I-O transaction record that is considered the most statistically reliable—that is, the value most closely based on hard data, such as the Economic Census, and least dependent on adjustments and judgmental estimation. The firm value may be the basic value, the purchasers’ value through wholesale, or the total purchasers’ value. (BEA)
Final uses
The consumption of the goods and services that are produced and distributed in the economy. In the I-O accounts, final-use transactions consist of the transactions that make up the final-expenditure components of GDP: Personal consumption expenditures; private fixed investment; change in private inventories; exports of goods and services; imports of goods and services; and Federal, state, and local government consumption expenditures and gross investment (including investment by government enterprises). (BEA)
Final use quadrant
The final use quadrant (of the “use table”�� in an input-output system) shows exports, final consumption expenditure and gross capital formation at purchasers’�� prices in the columns each classified by products in the rows. (SNA)
Final Demand
The value of goods & services produced and sold to final users (institutions) during the calendar year. This value is also equivalent to the Direct Output of an Industry Impact or Industry Contribution.
Factor Income
Also known as Factor Payments. These are payments to primary factors of production (e.g., wages to employees and rents to landowners). There two main categories are: employee compensation and proprietor income.
Factor cost
Gross value added at factor cost is not a concept used explicitly in the SNA but it can easily be derived by subtracting the value of any taxes, less subsidies, on production payable out of gross value added. (SNA)