Page 92 - niengiam2021

EXPLANATION OF TERMINOLOGY, CONTENT
AND METHODOLOGY OF SOME STATISTICAL INDICATORS

ON GROSS REGIONAL DOMESTIC PRODUCT,
STATE BUDGET AND INSURANCE

GROSS REGIONAL DOMESTIC PRODUCT

Gross regional domestic product (GRDP) reflects the final
result of production performed by locally residential production units.
At the level of provinces/cities under the central government, GRDP
is calculated by production approach. Accordingly, GRDP is the sum

of the value added at basic price of all economic activities plus taxes
on products less subsidises on products.

Value added is the value of goods and services newly generated
by economic activities in a given period. The value added is a
component of gross output and it equals to difference between gross
output and intermediate consumption. The value added is measured at

current and constant prices;

Basic price is the amount of money received by the producer
through sale of produced goods or services, exclusive of taxes on
products and inclusive of subsidies on products. The basic price does
not include transport and trade margins which is not paid by the

producers in process of selling their products;

The value added is calculated at the basic price. The GRDP is
always valued at the market price.

GRDP is calculated at current and constant prices:

GRDP at current prices is often used to study the economic
structure, the proportioned relationship among production activities,
the relationship between the production output and the state budget

contribution.

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