HC Deb 18 February 1975 vol 886 c367W
Mr. Ralph Howell

asked the Chancellor of the Exchequer to what extent growth in gross domestic product reflects growth in incomes, expenditure and output in the public sector.

Mr. Joel Barnett

Table 13 in the Blue Book, "National Income and Expenditure 1963–1973" shows an analysis of gross domestic product by sector for each year from 1963 to 1973, distinguishing central and local Government, and public corporations. In this context incomes and output, at factor cost, are coterminous. The public expenditure which contributes to the expenditure estimate of GDP is direct expenditure on consumption—public authorities' current expenditure on goods and services—and investment—gross domestic fixed capital formation and stockbuilding—by public authorities and public corporations, as shown, for instance in the final section of Table 51. These figures are in market prices and therefore better compared with GDP at market prices.