National Institute of Statistics, Italy

Data source(s) used: Compensation of employees, wages and salaries and social security contributions:Compensation of employees (D1) is defined as the total remuneration, in cash or in kind, payable by an employer to an employee in return for work done by the latter during the accounting period. Compensation of employees is broken down into: wages and salaries (D11): wages and salaries in cash; wages and salaries in kind; employers’ social contributions (D12): employers’ actual social contributions (D121); employers’ imputed social contributions (D122).Gross value added at basic prices: Gross value added at basic prices is output valued at basic prices less intermediate consumption valued at purchasers’ prices. The basic price is the amount receivable by the producer from the purchaser for a unit of a product or service minus any tax on the product plus any subsidy on the product.

Data source(s) used: Account indicators of Regions and Independent Provinces:the indicators are processed on the data of the Istat survey “Final balance sheet of autonomous regions and provinces”.Account indicators of Provincial governments and Metropolitan Cities:the indicators are processed on the data of the Istat processing “Final balance sheet of provinces”.Account indicators of Municipalities:the indicators are processed on the data of the Istat processing “Final balance sheet of municipalities”.Account indicators of Union of Municipalities:the indicators are processed on the data of the Istat processing “Final balance sheet of union of municipalities”.Account indicators of Mountain Communities:the indicators are processed on the data of the Istat processing “Final balance sheet of mountain communities”.Account indicators of Chambers of Commerce:the indicators are processed on the data of the Istat survey “Survey on final balance sheet of public bodies/institutions: chambers of commerce”.Account indicators of Local health units, Hospital companies, University hospitals, General hospitals and Hospitals with a scientific character:the indicators are processed on the data of the survey “Profit and loss account of local health units, hospital companies, university hospitals, general hospitals and hospitals with a scientific character”, carried out by the Ministry of Health.Account indicators of Universities, Polytechnic institutes and Institutes of higher education:the indicators are processed on the data of the survey “Homogeneous drafting of final balance sheets of universities”, carried out by the Ministry of Education, Universities and Research.Indicators on personnel:the indicators are processed on the data of the survey “Annual count”, carried out by the Ministry of Economy and Finances. Other data characteristics: The flag (n) indicates that the data is not available or can not be calculated.

Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).General government Account by sub-sectorThe account is compiled according to the format specified by the European System of Accounts (ESA 2010) for the general government Sector (EU Regulation n. 549/2013, chapter 20).This representation, adopted within the European statistics, enables the immediate comparability of national accounts of Italy general government with those of other EU countries.The pattern uses an account structure with two sections which sets out the main items of revenue and expenditure of general government.The general government sector (S.13) consists of institutional units which are non-market producers whose output is intended for individual and collective consumption, and are financed by compulsory payments made by units belonging to other sectors, and institutional units principally engaged in the redistribution of national income and wealth.In Italy the general government is divided into three levels: central government, local government and social security funds.For some aggregates (total revenue, current revenue, capital revenue, total expenditure, current expenditure, capital expenditure, current transfers, investment grants, other capital transfers, interests) values relative to general government sector are different from the sum of subsectors’ values. It’s due to the consolidation in the general government sector accounts of the transactions that occur between general government’s subsectors. Consolidation refers to the elimination, from both uses and resources, of transactions that occur between subsectors when they are grouped.This occurs commonly when the accounts of subsectors of general government are combined.Consolidation does not affect balancing items, so the net borrowing (net lending) of general government corresponds to the sum of the net borrowing (net lending) of its subsector, because the consolidated items appear symmetrically within each account.The basic statistic sources used for the compilation of the ‘consolidated general government account’ are statistical surveys on the budget flows, or the financial reports of the units concerned.Information about the different Administrations are validated both in terms of internal consistency , both of dynamic time series plausibility , in according to current legislation and specific phenomena that can affect the aggregates considered.Central government units:State: State financial statement, reworked both on cash and on commitments basis by the Ministry of Economy and Finance, Department General Accounting Office (RgS).The State cash account (RgS); furher analytical information provided by the Ministry of Economy and Finance Departments.Other units of the central government (constitutional bodies , other central economic activities, regulatory bodies, research bodies, economic service producers, institutions providing cultural assistance services): financial statements and Istat surveys on the budget flows, complemented with specific information provided directly by the entities.Local government bodies:Regions: final financial statements of Regions supplemented with specific detailed information provided by the entities.Provinces: final financial statements certified by the Ministry of the Interior.Municipalities: final financial statements certified by the Ministry of the Interior.Local Health Agencies (Asl), Hospital agencies, Public Research Hospital, university polyclinics: budget flows acquired by the Health Information System managed by the Ministry of Health.Local Government producers of services of care, recreation, culture and sectoral regulatory:Istat surveys on the budget flows, final financial statements, income statement and balance sheet.Social security funds: closing balance sheets of ‘INPS’ and ‘INAIL’, Istat surveys on the budget flows of social security funds. For some specific flows , budget information is supplemented with extra-budgetary information.

Final Consumption Expenditure of Households, Annual, Italy Data source (s) used: The 19th October 2011 Istat released the new annual series of national accounts based on the most updated versions of the classification of economic activities (Ateco 2007, the national version of Nace Rev. 2) and of products by activity (CPA 2008). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (eg the new balance of payments estimates issued by the Bank of Italy). It consists of the expenditure, including expenditure whose value must be estimated indirectly, incurred by resident households on individual consumption goods and services, including those sold at prices that are not economically significant and including consumption goods and services acquired abroad.

Data source(s) used: The compilation of the System of Health Accounts is based on the integration of administrative data and samples. The sources used are • Istat sources:- Final consumption expenditure by general government, according to ESA 2010 and to classification COFOG (Classification of the Functions of Government), division 7 'Health'; - Households' final consumption expenditure in healthcare according to ESA 2010 and to the classification COICOP (Classification of Individual Consumption by Purpose);- National Accounts, Final consumption of non-profit Institutions serving households (NPISH);- Survey on households: health conditions and use of medical services;-Household Budget Survey (HBS).• Ministry of health sources:- Assistance Level Costs (LA) forms, survey on expenditures of Local Health Units (LHUs) by health care level (Livelli Assistenza-LA);- National Information Dependency System (SIND);- Mental health information system (SISM);- Information system for assistance monitoring in Emergency-Urgency (EMUR);- Survey forms on management and economic activities of LHUs (Form STS11 -"Dati anagrafici delle strutture sanitarie" and form STS21 - "Assistenza specialistica territoriale - Attività clinica, di laboratorio, di diagnostica per immagini e di diagnostica strumentale"-HSP24 "Day hospital, nido, pronto soccorso, sale operatorie, ospedalizzazione domiciliare e nati immaturi");-Information system for monitoring direct and behalf distribution of medicines (Distribuzione diretta e distribuzione per conto-DD);- Hospital discharge form (SDO).• Other sources:- Bank of Italy: Survey on international tourism;- Insurance Supervision Institute (IVASS): Financial Statements of Insurance Corporations;- Italian Revenue Agency - Business Sector Studies (Studi di Settore);- Italian Medicines Agency (AIFA), The Medicines Utilisation Monitoring Centre (OsMed) and IMSHealth.

Data source(s) used: The 3th October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).GDP and expenditure components: It shows among the resources gross domestic product at market prices and net imports; while the uses include final consumption and gross capital formation. Generation of income account: It shows the destination of domestic product (NDP) to compensation of employees and indirect taxes less subsidies. It allows to calcolate the operating surplus that corresponds to the income which the units obtain from their own use of their production facilities.

Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).Gross value added at basic prices: Gross value added at basic prices is output valued at basic prices less intermediate consumption valued at purchasers’ prices. The basic price is the amount receivable by the producer from the purchaser for a unit of a product or service minus any tax on the product plus any subsidy on the product.Gross value added at factor cost: Gross value added at factor cost is derived from GVA at basic prices by subtricting other taxes on production and adding other subsidies on production.Output: Output consists of the products created during the accounting period. Three types of output are distinguished: market output; output produced for own final use; other non-market output.Output at basic prices: Output is at basic prices when it is valued by subtricting taxes on products and including subsidies on products.Output at factor cost: Output at factor cost is valued by subtracting taxes and including subsidies.Compensation of employees, wages and salaries and social security contributions:Compensation of employees (D1) is defined as the total remuneration, in cash or in kind, payable by an employer to an employee in return for work done by the latter during the accounting period. Compensation of employees is broken down into: wages and salaries (D11): wages and salaries in cash; wages and salaries in kind; employers’ social contributions (D12): employers’ actual social contributions (D121); employers’ imputed social contributions (D122).Provision for severance pay:amounts which the employer sets aside in a special fund and pays to the worker upon termination of employment due to retirement, change of job or dismissal. It is included in actual social contributions. Other subsidies on production(D39): Other subsidies on production consist of subsidies except subsidies on products which resident producer units may receive as a consequence of engaging in production.Other taxes on production: Other taxes on production consist of all taxes that enterprises incur as a result of engaging in production, independent of the quantity or value of the goods and services produced or sold. Household consumption: It consists of the expenditure, including expenditure whose value must be estimated indirectly, incurred by resident households on individual consumption goods and services, including those sold at prices that are not economically significant and including consumption goods and services acquired abroad. It presents the final consumption expenditure of households broken down by the COICOP (Classification of Individual Consumption According to Purpose) classification and by durability. Gross fixed capital formation: Gross fixed capital formation consists of resident producers' acquisitions, less disposals, of fixed assets during a given period plus certain additions to the value of non-produced assets realised by the productive activity of producer or institutional units.Consumption of fixed capital: Consumption of fixed capital represents the amount of fixed assets used up, during the period under consideration, as a result of normal wear and tear and foreseeable obsolescence, including a provision for losses of fixed assets as a result of accidental damage which can be insured against.Gross capital stock: Gross capital stock refers to the cumulative flow of volume investments, corrected for retirement. In the gross stock, assets are treated as new until they are retired: it is assumed that they retain their full productive capacity until removed from the stock.Net capital stock: Net capital stock is the sum of the written-down values of all the fixed assets still in use; it can also be described as the difference between gross capital stock and consumption of fixed capital.Per capita values: per capita values are average values obtained relating economic aggregates (e.g., GDP, Households final consumption expenditure, value added, compensation of employees)to the number of inhabitants or to the variables concerning labour inputs.

Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).Gross value added at basic prices: Gross value added at basic prices is output valued at basic prices less intermediate consumption valued at purchasers’ prices. The basic price is the amount receivable by the producer from the purchaser for a unit of a product or service minus any tax on the product plus any subsidy on the product.Gross value added at factor cost: Gross value added at factor cost is derived from GVA at basic prices by subtricting other taxes on production and adding other subsidies on production.Compensation of employees, wages and salaries and social security contributions:Compensation of employees (D1) is defined as the total remuneration, in cash or in kind, payable by an employer to an employee in return for work done by the latter during the accounting period. Compensation of employees is broken down into: wages and salaries (D11): wages and salaries in cash; wages and salaries in kind; employers’ social contributions (D12): employers’ actual social contributions (D121); employers’ imputed social contributions (D122).Household consumption: It consists of the expenditure, including expenditure whose value must be estimated indirectly, incurred by resident households on individual consumption goods and services, including those sold at prices that are not economically significant and including consumption goods and services acquired abroad. It presents the final consumption expenditure of households broken down by the COICOP (Classification of Individual Consumption According to Purpose) classification and by durability. Gross fixed capital formation: Gross fixed capital formation consists of resident producers' acquisitions, less disposals, of fixed assets during a given period plus certain additions to the value of non-produced assets realised by the productive activity of producer or institutional units.Costs and margins by industryOutput deflator at factor costs: Is given by the ratio between the current price production at factor costs and the chain linked production (measured at factor costs) with reference year 2010. Input deflator at purchaser prices: Is given by the ratio between the current price intermediate costs (measured at purchaser prices) and the chain linked intermediate costs (measured at purchaser prices) with reference year 2010. Unit labour cost: Is given by the ratio between 'Compensation of employees' and production. Unit variable costs: Are given by the ratio between the sum of unit labour costs and intermediate consumption and production.Mark-up: Is given by the ratio between the output deflator and unit variable costs.

Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).Gross value added at basic prices: Gross value added at basic prices is output valued at basic prices less intermediate consumption valued at purchasers’ prices. The basic price is the amount receivable by the producer from the purchaser for a unit of a product or service minus any tax on the product plus any subsidy on the product.Gross value added at factor cost: Gross value added at factor cost is derived from GVA at basic prices by subtricting other taxes on production and adding other subsidies on production.Compensation of employees, wages and salaries and social security contributions:Compensation of employees (D1) is defined as the total remuneration, in cash or in kind, payable by an employer to an employee in return for work done by the latter during the accounting period. Compensation of employees is broken down into: wages and salaries (D11): wages and salaries in cash; wages and salaries in kind; employers’ social contributions (D12): employers’ actual social contributions (D121); employers’ imputed social contributions (D122).Household consumption: It consists of the expenditure, including expenditure whose value must be estimated indirectly, incurred by resident households on individual consumption goods and services, including those sold at prices that are not economically significant and including consumption goods and services acquired abroad. It presents the final consumption expenditure of households broken down by the COICOP (Classification of Individual Consumption According to Purpose) classification and by durability. Final consumption expenditure by general government It includes two categories of expenditures: a) The value of the goods and services produced by general government itself other than own-account capital formation and sales; b) Purchases by general government of goods and services produced by market producers that are supplied to households – without any transformation – as social transfers in kind. This implies that general government just pays for goods and services that the sellers provide to households. It provides a breakdown of government expenditure according to their function. To meet this end, economic flows of expenditure must be aggregated according to the Classification of the Functions of Government (COFOG).Gross fixed capital formation: Gross fixed capital formation consists of resident producers' acquisitions, less disposals, of fixed assets during a given period plus certain additions to the value of non-produced assets realised by the productive activity of producer or institutional units.

Data source(s) used: The 19th October 2011 Istat released the new annual series of national accounts based on the most updated versions of the classification of economic activities (Ateco 2007, the national version of Nace Rev. 2) and of products by activity (CPA 2008). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy).Household consumption: It consists of the expenditure, including expenditure whose value must be estimated indirectly, incurred by resident households on individual consumption goods and services, including those sold at prices that are not economically significant and including consumption goods and services acquired abroad. It presents the final consumption expenditure of households broken down by the COICOP (Classification of Individual Consumption According to Purpose) classification and by durability.

Sequence of Accounts, Quarterly, Italy Data source(s) used: Quarterly Sector Accounts (QSA): record all the activities, whether principal or secondary, of the institutional units. They present the whole set of non financial accounts, from the production account to the acquisitions of non-financial assets accounts on quarterly basis. For General Government sector, property income, other current transfers and capital transfers are consolidated. In addition to the set of accounts, a selection of indicators derived from QSA for Households (as Consumer too) and Non-financial Corporations is disseminated to allow a timely analysis of the behaviour of these sectors in the different phases of the economic cycle.

National Accounts: Sequence of Accounts, Italy Data source(s) used: The 3th October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).GDP and expenditure components: It shows among the resources gross domestic product at market prices and imports; while the uses include final consumption, gross capital formation and exports.Production accounts: It shows the transactions relating to the production process proper. Its resources include output and taxes less subsidies on products, and its uses include intermediate consumption. The balance of this account is value added at an aggregate level, it can be used to obtain GDP.Generation of income account: It shows the destination of domestic product (NDP) to compensation of employees and indirect taxes less subsidies. It allows to calcolate the operating surplus that corresponds to the income which the units obtain from their own use of their production facilities.Allocation of primary income account: It shows how to arrive to net national income. It lists under resources: operating surplus, national compensation of employees, indirect taxes paid to the rest of the world, taxes less subsidies on production and imports, capital transfer receivable from the rest of the world.Secondary distribution of income account: It records the operations of redistribution performed by taxes, contributions, social benefits and other transfers with the Rest of the world. It allows to calcolate national disposable income.Use of disposable income account It shows the allocation of national disposable income between national final consumption expenditure and net national saving.Capital account: It records acquisitions less disposals of non-financial assets (mainly gross capital formation), measuring the change in net worth due to saving and capital transfers. The balance of this account is net lending or borrowing.International transactions account: It records all operations of distribution and redistribution occurring between residents and non residents. It allows to obtain net lending or borrowing towards the rest of the world.

Data source(s) used: National materials' use accounts: Material flow satellite accounts provide, in accordance with the European Regulation on Environmental Accounting (691/2011), aggregated measures, by kind of material, of physical exchanges (in mass units) of the national socio-economic system with the natural system and the rest of the world.These accounts include all materials other than water and air. They are based on a complete and articulated database, that comprises and reconciles numerous sources of data on intakes of natural resources from the national territory, as well as all exchanges with the rest of the world.While intakes from National territory include – by definition – only natural resources, i.e. materials as they are in nature, exchanges with the rest of the world concern the whole range of material products, from raw materials to the most composite final products. There is therefore an important asymmetry between the two kinds of flows: in particular, it is necessary to keep in mind that “upstream” of internationally traded products there are great quantities of resources extracted from nature and transformed into residuals.The data, coherent with those provided by monetary national accounts, allow analysis of the material aspect of socio-economic metabolism, of sustainability of production and consumption, of decoupling between economic activity and environmental pressures and of resource productivity.The application of the residence principle implies the inclusion in the flows, as far as those with the rest of the world are concerned, next to imports and exports respectively, of products purchased abroad by resident units and of products purchased in Italy by non-resident units. In practice, this integration only concerns the most relevant of these flows, those of fuels.The indicators "Direct material input", "Domestic material consumption” and “Physical trade balance” describe, in a highly aggregated way, the direct use and the provenience of natural resources and products. Because of the asymmetry highlighted above, caution has to be put in the interpretation of these indicators in terms of resource consumption and environmental pressure, as their significance has to be evaluated according to the context and the objectives of the analysis. Initiatives are ongoing at the European as well as national level, in order to calculate data and indicators in “raw material equivalents”.All data are expressed in weight units (thousand tonnes).

Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).Quarterly non-financial accounts for General Government: analyze the dynamics of the main public finance indicators. Moreover, the account gives information on the aggregates constituting general government expenditure (compensation of employees, intermediate consumption, social benefits, and interest) and revenue (taxes and social contribution).

Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).Annual Sector Accounts: record all the activities, whether principal or secondary, of the institutional units. They present the whole set of non financial accounts, from the production account to the acquisitions of non-financial assets accounts. For General Government sector, property income, other current transfers and capital transfers are consolidated.Non-financial assets by institutional sector:They estimate the value of the main non-financial assets held by households, by corporations and by general government. In particular they measure the value of buildings (dwellings and other), other non-financial assets tangible (machinery and equipment, transport equipment, ICT equipment, weapons systems) and intangible (mostly software and research and development) and land under cultivation. Not all Italian non-financial assets are included cause of lack of information (civil engineering structures, monuments and valuables). Starting from December 2017 edition non-financial assets include the value of inventories from data related to 2012.

Sequence of Accounts, Editions from Jul-2011 to Sep-2015, Annual, Italy Data source(s) used: The 3rd October 2014 Istat released the new annual series of national accounts based on the new European System of Accounts (ESA 2010). At the same time, as in other European countries, the time series of national accounts have been subjected to an extraordinary revision, exploiting advances in methods and sources (e.g. the new balance of payments estimates issued by the Bank of Italy based on the new manual BPM6).Annual Sector Accounts: record all the activities, whether principal or secondary, of the institutional units. They present the whole set of non financial accounts, from the production account to the acquisitions of non-financial assets accounts. For General Government sector, property income, other current transfers and capital transfers are consolidated.

Data source(s) used: Quarterly Sector Accounts (QSA): record all the activities, whether principal or secondary, of the institutional units. They present the whole set of non financial accounts, from the production account to the acquisitions of non-financial assets accounts on quarterly basis. For General Government sector, property income, other current transfers and capital transfers are consolidated. In addition to the set of accounts, a selection of indicators derived from QSA for Households (as Consumer too) and Non-financial Corporations is disseminated to allow a timely analysis of the behaviour of these sectors in the different phases of the economic cycle.

Data source(s) used: Social protection accounts:Construction of the social protection accounts has the purpose to gather under one accounting structure the national accounts flows related to Secondary distribution of income account and Redistribution of income in kind account. In this way social protection encompasses interventions from public or private bodies on covering social benefits to households and their financing. Data on social protection expenditure are drawn up according to the European system of integrated social protection statistics (ESSPROS) methodology, as provided by the Council Regulation 458/2007, in line with the new European system of national accounts ESA 2010 (REG. EU No 549/2013), adopted by all member states of European Union since September 2014.The data are consistent with those disseminated in the last release of GDP and deficit of General Government.