Queensland Treasury 18-K/A Annual report (foreign governments) (amended)

EXHIBIT (c)(iv)

Queensland State Accounts for the Quarter Ended September 30, 2007

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For further information
CONTACT		ENQUIRIES
Sylvia Sivo		Concepts and Interpretation
Ryan Faulkner		Data and Compilation
	EMAIL
	qsa@treasury.qld.gov.au

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www.oesr.qld.gov.au

or

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	E-mail	qsa@treasury.qld.gov.au

© The State of Queensland (Queensland Treasury)

2008

Copyright protects this publication. Except for purposes permitted

under the Copyright Act, reproduction by whatever means is prohibited

without

the prior written permission of the Under Treasurer

ISSN 1321-2338

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Chart 1

Gross State Product

(quarterly % change, CVM, trend)

Table I

Percentage Change in Gross State/Domestic Product

Chain volume measures (reference year 2005-06)

	Queensland(a)	Rest of Australia(a)	Australia(b)
TREND
Jun qtr 07 to Sep qtr 07	1.9	0.6	0.9
Sep qtr 06 to Sep qtr 07	8.7	2.9	4.0
ORIGINAL
Year-average(c)	6.6	2.7	3.4

(a) Source Office of the Government Statistician, Queensland State Accounts

(b) Source: ABS 5206.0

(c) Reference quarter and the three preceding quarters compared with the same period a year earlier

September Quarter 2007—Main Features

Quarterly Results

• Queensland recorded real trend growth in gross state product (GSP) of 1.9 per cent in September quarter 2007, compared with 0.6 per cent growth recorded in the Rest of Australia.

• Domestic economic activity continued to support Queensland growth, with gross state expenditure rising 1.8 per cent and contributing 1.9 percentage points to economic growth.

• Total investment (public and private) rose 2.6 per cent in September quarter 2007 and contributed 0.9 percentage point to GSP growth. Some components of this investment are not available for publication due to a trend break resulting from the Commonwealth Government’s privatisation of Telstra (refer to Notes below).

• Household final consumption expenditure rose 1.6 per cent and contributed 0.9 percentage point to GSP growth.

• Export growth of 0.2 per cent was offset by import growth (0.2 per cent) resulting in net exports having a neutral impact on GSP growth in the September quarter.

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LOGO	Queensland State Accounts, September Quarter 2007

Notes

The reader should be aware that this September quarter 2007 edition of the Queensland State Accounts incorporates the ABS annual benchmarks for the income components of GSP data for 2006-07, which were not available and hence not incorporated in the June quarter 2007 edition. These benchmarks, apart from compensation of employees, gross operating surplus and mixed income and taxes less subsidies on production and imports for 2006-07, have been incorporated in this September quarter edition of Queensland State Accounts (see Methodological Issues in the Explanatory Notes, on page 12, for the derivation of compensation of employees, gross operating surplus and mixed income, and taxes less subsidies on production and imports). As a result, Queensland’s GSP growth has been revised to 5.6 per cent for 2006-07, from the preliminary growth estimate of 6.8 per cent published in the June quarter edition.

Further, in this September quarter 2007 edition of the Queensland State Accounts, the following five trend series for the March, June and September quarters of 2007 are not available for publication due to a trend break resulting from the Commonwealth Government’s privatisation of Telstra:

• Private gross fixed capital formation

• Other buildings and structures

• Machinery and equipment

• Public enterprises gross fixed capital formation

• Commonwealth

As a result, associated trend totals of the above series such as business investment, public investment and public final demand are also not available for publication.

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Annual Results

• The Queensland economy grew by a strong 8.7 per cent in real trend terms over the year to September quarter 2007, three times the growth of 2.9 per cent for the Rest of Australia.

• Total gross fixed capital formation (private and public) increased 17.0 per cent and contributed 5.5 percentage points to economic growth for Queensland.

• Household final consumption expenditure for Queensland rose by 5.2 per cent and contributed 2.9 percentage points to economic growth.

• On the trade side, net exports detracted 1.0 percentage point from GSP growth over the year to the September quarter. An increase in exports of goods and services (3.6 per cent) was more than offset by higher imports (5.8 per cent).

Chart 2: Gross State/Rest of Australia Product

(annual % change, CVM, trend)

Chart 3: Contribution to Growth, Queensland

(annual % point contribution, CVM, trend)

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[LOGO]

Queensland State Accounts, September Quarter 2007

Expenditure on GSP—Key Points

Household Final Consumption Expenditure

• Household final consumption expenditure in Queensland rose 1.6 per cent in real trend terms in the quarter, to be 5.2 per cent higher over the year to September quarter 2007.

Chart 4: Household Final Consumption Expenditure

(quarterly % change, CVM, trend)

Dwelling Investment

• Despite Queensland dwelling investment falling 1.7 per cent in the September quarter, it remained 6.4 per cent higher over the year.

Chart 5: Dwelling Investment

(quarterly % change, CVM, trend)

7

Total Gross Fixed Capital Formation

• Total gross fixed capital formation (private and public) in Queensland rose 2.6 per cent in the quarter to be 17 per cent higher over the year to September quarter 2007. In comparison, total investment growth for the Rest of Australia was up 1.9 per cent in the quarter, to be 8.6 per cent higher over the year to September quarter 2007.

• Note that due to a trend break resulting from the privatisation of Telstra, trend figures for business investment (other buildings and structures, and machinery and equipment) and public enterprises for the March, June and September quarters of 2007 are not available for publication.

Chart 6: Gross Fixed Capital Formation

(quarterly % change, CVM, trend)

8

Queensland State Accounts, September Quarter 2007

Net Exports

• Net exports of goods and services had a neutral impact on Queensland GSP growth in September quarter 2007, with growth in exports offset by higher import volumes. In comparison, net exports for the Rest of Australia detracted 0.2 percentage point from growth in the quarter.

Chart 7: Exports, Imports and Net Exports, Contribution to Growth, Queensland

(quarterly % point contribution, CVM, trend)

• Exports of goods and services rose 0.2 per cent in the September quarter, representing the fifth consecutive quarterly increase. This growth was driven by an increase in overseas exports of goods and services (0.5 per cent) which more than offset a fall in interstate exports of goods and services (0.7 per cent).

• The increase in overseas exports of goods and services was underpinned by growth in overseas exports of goods (0.4 percent), largely driven by higher coal exports.

• In the September quarter, total imports of goods and services into Queensland rose 0.2 per cent. This growth was driven by an increase in imports of goods and services from overseas (1.5 per cent) which more than offset lower interstate imports of goods and services (down 1.2 per cent).

• In annual terms, net exports detracted 1.0 percentage point from Queensland’s GSP growth. An increase in exports of goods and services (3.6 per cent) was more than offset by an increase in imports of goods and services (5.8 per cent). The largest contributor to export growth was coal, while import growth was mainly driven by overseas imports of machinery and equipment (excluding motor vehicles).

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Growth Composition

• Chart 8 shows that gross state expenditure contributed 1.9 percentage points to Queensland economic growth in September quarter 2007. Gross state expenditure accounted for all of Queensland’s economic growth in the quarter with net exports neither detracting nor contributing to growth.

Chart 8: Contribution to Growth, Queensland

(quarterly % point contribution, CVM, trend)

• Gross Rest of Australia expenditure contributed 0.9 percentage point to economic growth in September quarter, while net exports detracted 0.3 percentage point, resulting in a 0.6 per cent growth in Gross Rest of Australia product (see Chart 9).

Chart 9: Contribution to Growth, Rest of Australia

(quarterly % point contribution, CVM, trend)

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Queensland State Accounts, September Quarter 2007

Summary Tables

Table II

Changes and Contribution to Growth, Quarterly, Trend, Chain Volume Measures (a)

	Queensland		Rest of Australia (b)
	Quarterly % change Jun-07 to Sep-07	% point contribution to growth in GSP Jun-07 to Sep-07	Quarterly % change Jun-07 to Sep-07	% point contribution to growth in GSP Jun-07 to Sep-07
Final consumption expenditure
Households	1.6	0.9	0.7	0.4
General government	0.2	0.0	0.7	0.1
Gross fixed capital formation	2.6	0.9	1.9	0.5
Private	n.p.	n.p.	n.p.	n.p.
Dwellings	-1.7	-0.1	0.6	0.0
Other buildings and structures	n.p.	n.p.	n.p.	n.p.
Machinery and equipment	n.p.	n.p.	n.p.	n.p.
Public enterprises	n.p.	n.p.	n.p.	n.p.
General government	6.8	0.2	-1.6	0.0
Changes in inventories	n.a.	0.3	n.a.	-0.1
Gross state expenditure	1.8	1.9	0.8	0.9
Exports of goods and services overseas	0.5	0.1	1.4	0.3
Exports of goods and services interstate	-0.7	-0.1	-1.2	0.0
less Imports of goods and services overseas	1.5	0.3	1.6	0.4
less Imports of goods and services interstate	-1.2	-0.2	-0.7	0.0
Gross state product	1.9	1.9	0.6	0.6

n.a. not applicable

n.p. not available for publication, but included in totals where applicable, due to a trend break resulting from the privatisation of Telstra.

(a) Chain volume measure reference year 2005-06.

(b) Due to the ABS methodology of estimating trend estimates in aggregate, rather than as the sum of the trend estimates of their components, the Rest of Australia contributions to growth are not additive.

With respect to the real trend quarterly changes and contributions to growth in September quarter 2007:

• Household final consumption expenditure in Queensland rose 1.6 per cent and contributed 0.9 percentage point to overall growth.

• Total gross fixed capital formation in Queensland increased by 2.6 per cent in the September quarter, following 4.1 per cent growth in the June quarter.

• General government spending on gross fixed capital formation in Queensland rose by 6.8 per cent in September quarter 2007. In contrast, Rest of Australia general government gross fixed capital formation declined by 1.6 per cent in the September quarter.

• The volume of Queensland’s exports of goods and services overseas grew by 0.5 per cent, largely driven by higher coal exports.

• In the quarter, overseas imports of goods and services into Queensland rose by 1.5 per cent, largely due to 1.1 per cent growth in overseas imports of goods.

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Table III

Changes and Contribution to Growth, Annual, Trend, Chain Volume Measures (a)

	Queensland		Rest of Australia (b)
	Annual % change Sep-06 to Sep-07	% point contribution to growth in GSP Sep-06 to Sep-07	Annual % change Sep-06 to Sep-07	% point contribution to growth in GSP Sep-06 to Sep-07
Final consumption expenditure
Households	5.2	2.9	3.8	2.2
General government	0.8	0.1	2.2	0.4
Gross fixed capital formation	17.0	5.5	8.6	2.2
Private	n.p.	n.p.	n.p.	n.p.
Dwellings	6.4	0.5	1.6	0.1
Other buildings and structures	n.p.	n.p.	n.p.	n.p.
Machinery and equipment	n.p.	n.p.	n.p.	n.p.
Public enterprises	n.p.	n.p.	n.p.	n.p.
General government	28.4	0.9	4.6	0.1
Changes in inventories	n.a.	1.8	n.a.	0.6
Gross state expenditure	9.3	9.7	4.6	4.6
Exports of goods and services overseas	3.5	0.8	3.8	0.8
Exports of goods and services interstate	3.9	0.3	0.2	0.0
less Imports of goods and services overseas	11.5	2.1	9.9	2.3
less Imports of goods and services interstate	0.2	0.0	3.9	0.1
Gross state product	8.7	8.7	2.9	2.9

n.a. not applicable

n.p. not available for publication, but included in totals where applicable, due to a trend break resulting from the privatisation of Telstra.

(a) Chain volume measure reference year 2005-06.

(b) Due to the ABS methodology of estimating trend estimates in aggregate, rather than as the sum of the trend estimates of their components, the Rest of Australia contributions to growth are not additive.

With respect to the real trend annual changes and contributions to growth for Queensland over the year to September quarter 2007:

• Household final consumption expenditure increased 5.2 per cent, compared with 3.8 per cent growth recorded for the Rest of Australia.

• Total gross fixed capital formation rose by 17.0 per cent and contributed 5.5 percentage points to Queensland’s growth.

• Continued strong growth in dwelling investment (up 6.4 per cent) was mainly driven by alterations and additions to existing buildings, supported by growth in new building investment.

• General government investment in Queensland rose by 28.4 per cent, compared with growth of 4.6 per cent in the Rest of Australia.

• Net exports detracted 1.0 percentage point from Queensland’s economic growth. In comparison, net exports detracted 1.7 percentage points from growth for the Rest of Australia over the year to September quarter 2007.

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Queensland State Accounts, September Quarter 2007

Table IV

Changes and Contribution to Growth, Quarterly, Trend, Current Prices

	Queensland		Rest of Australia (a)
	Quarterly % change Jun-07 to Sep-07	% point contribution to growth in GSP Jun-07 to Sep-07	Quarterly % change Jun-07 to Sep-07	% point contribution to growth in GSP Jun-07 to Sep-07
Compensation of employees	1.6	0.7	2.2	1.1
Gross operating surplus and mixed income	1.5	0.6	1.0	0.4
Gross state product at factor cost	1.5	1.4	1.7	1.5
Taxes less subsidies on production and imports	1.7	0.2	0.7	0.1
Gross state product	1.5	1.5	1.6	1.6
Final consumption expenditure	1.5	1.5	1.6	1.6
Households	2.5	1.4	1.5	0.8
General government	0.9	0.1	2.0	0.4
Gross fixed capital formation	3.2	1.1	2.4	0.6
Private	n.p.	n.p.	n.p.	n.p.
Dwellings	0.1	0.0	1.5	0.1
Other buildings and structures	n.p.	n.p.	n.p.	n.p.
Machinery and equipment	n.p.	n.p.	n.p.	n.p.
Public enterprise	n.p.	n.p.	n.p.	n.p.
General government	7.3	0.3	-1.4	0.0
Changes in inventories	n.a.	0.0	n.a.	-0.1
Gross state expenditure	2.1	2.2	1.5	1.6
Exports of goods and services overseas	-2.2	-0.5	1.2	0.2
Exports of goods and services interstate	-0.1	0.0	-1.0	0.0
less Imports of goods and services overseas	2.2	0.4	0.9	0.2
less Imports of goods and services interstate	-1.0	-0.2	-0.1	0.0
Gross state product	1.5	1.5	1.6	1.6

n.a. not applicable

n.p. not available for publication, but included in totals where applicable, due to a trend break resulting from the privatisation of Telstra.

(a) Due to the ABS methodology of estimating trend estimates in aggregate, rather than as the sum of the trend estimates of their components, the Rest of Australia contributions to growth are not additive.

With respect to the current price trend quarterly changes and contributions to growth in September quarter 2007:

• Compensation of employees increased 1.6 per cent in Queensland, lower than growth of 2.2 per cent in the Rest of Australia.

• Gross operating surplus and mixed income rose 1.5 per cent in Queensland, compared with growth of 1.0 per cent in the Rest of Australia.

• Exports of goods and services overseas fell 2.2 per cent in the quarter, driven by a fall in the goods component of overseas exports (down 3.2 per cent).

• Imports of goods and services overseas increased 2.2 per cent in the September quarter, driven mainly by an increase in overseas goods imports. Increases in imports of mineral fuels and lubricants of 8.5 per cent and machinery and equipment excluding motor vehicles of 3.8 per cent, more than offset small declines in other categories of goods imports for the quarter.

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Table V

Changes and Contribution to Growth, Annual, Trend, Current Prices

	Queensland		Rest of Australia (a)
	Annual % change Sep-06 to Sep-07	% point contribution to growth in GSP Sep-06 to Sep-07	Annual % change Sep-06 to Sep-07	% point contribution to growth in GSP Sep-06 to Sep-07
Compensation of employees	10.9	5.1	8.7	4.2
Gross operating surplus and mixed income	7.9	3.4	6.6	2.7
Gross state product at factor cost	9.5	8.5	7.8	6.9
Taxes less subsidies on production and imports	8.6	0.9	3.1	0.4
Gross state product	9.2	9.2	7.2	7.2
Final consumption expenditure
Households	8.4	4.6	6.3	3.5
General government	5.1	0.9	7.5	1.4
Gross fixed capital formation	19.5	6.2	10.3	2.6
Private	n.p.	n.p.	n.p.	n.p.
Dwellings	13.3	1.1	4.9	0.3
Other buildings and structures	n.p.	n.p.	n.p.	n.p.
Machinery and equipment	n.p.	n.p.	n.p.	n.p.
Public enterprise	n.p.	n.p.	n.p.	n.p.
General government	30.5	1.0	3.6	0.1
Changes in inventories	n.a.	0.6	n.a.	0.7
Gross state expenditure	11.2	11.6	7.4	7.4
Exports of goods and services overseas	-5.7	-1.3	4.9	1.0
Exports of goods and services interstate	5.3	0.4	-0.4	0.0
less Imports of goods and services overseas	8.7	1.5	5.0	1.2
less Imports of goods and services interstate	-0.4	-0.1	5.3	0.1
Gross state product	9.2	9.2	7.2	7.2

n.a. not applicable

n.p. not available for publication, but included in totals where applicable, due to a trend break resulting from the privatisation of Telstra.

(a) Due to the ABS methodology of estimating trend estimates in aggregate, rather than as the sum of the trend estimates of their components, the Rest of Australia contributions to growth are not additive.

With respect to the current price annual changes and contributions to growth over the year to September quarter 2007:

• Queensland recorded annual growth in nominal GSP of 9.2 per cent, higher than the 7.2 per cent current price growth in the Rest of Australia.

• Compensation of employees rose 10.9 per cent in Queensland compared with lower growth of 8.7 per cent recorded in the Rest of Australia.

• Queensland gross operating surplus and mixed income rose 7.9 per cent, higher than the 6.6 per cent recorded in the Rest of Australia.

• Queensland exports of goods and services overseas fell 5.7 per cent in annual terms. This was largely driven by a reduction in the prices of overseas goods export component (down 11.6 per cent), which more than offset a 3.4 per cent growth in volumes of overseas goods exports.

• In current price terms, overseas imports of goods and services into Queensland rose 8.7 per cent as higher import volumes of goods and services (up 11.5 per cent) more than offset lower import prices for goods and services.

14

Queensland State Accounts, September Quarter 2007

Performance of the Queensland Economy in 2006-07

Information made available since the release of the June Quarter 2007 edition of Queensland State Accounts has resulted in a revised estimate of Queensland GSP growth of 5.6 per cent for 2006-07, following a preliminary estimate of 6.8 per cent. This year-average growth of 5.6 per cent in 2006-07 follows revised growth of 3.9 per cent in 2005-06 and 6.3 per cent in 2004-05.

Economic growth in Queensland has been above that for the Rest of Australia for 11 years (see Chart 10). The average annual growth rate in Queensland GSP for the past 10 years is 4.9 per cent compared with 3.3 per cent for the Rest of Australia.

Chart 10 Economic Growth

(year-average % change, CVM, 2005-06 prices)

(r) revised

The growth of the Queensland economy in 2006-07 was driven by growth in domestic final demand (as measured by gross state expenditure, of 7.5 per cent, and this more than offset a detraction from growth by net exports of 2.1 percentage points.

Household final consumption expenditure grew by 3.4 per cent in 2006-07, easing from growth of 4.6 per cent in 2005-06, and contributed 1.9 percentage points to GSP growth in 2006-07.

Private gross fixed capital formation increased by 12.5 per cent in 2006-07 and contributed 3.2 percentage points to Queensland’s GSP growth in 2006-07. All three major components of private investment rose over the year with non-dwelling investment up by 22.8 per cent, machinery and equipment rising by 13.9 per cent, and dwellings investment increasing by 8.2 per cent.

15

Public final demand expanded 10.6 per cent in 2006-07, driven by strong growth in general government and public enterprise investment and moderate growth in general government consumption. General government gross fixed capital formation rose by 17.1 per cent and contributed 0.5 percentage point to Queensland’s economic growth over 2006-07, largely due to strong growth in State and local government investment. Public enterprise investment increased by 33.4 per cent and contributed 0.8 percentage point to GSP.

As outlined above, net exports detracted 2.1 percentage points from growth in 2006-07 with higher imports of goods and services (8.5 per cent) more than offsetting a rise in exports of goods and services (2.7 per cent). The growth in import volumes resulted from continued strength in domestic economic activity, particularly business investment. The growth in export volumes was mainly driven by overseas exports of non-tourism services and interstate exports of goods.

The pace of economic activity was more subdued in the Rest of Australia compared with Queensland. Gross Rest of Australia product increased by 2.6 per cent in 2006-07.

In the Rest of Australia, household consumption and private investment increased in 2006-07 (3.4 per cent and 3.9 per cent respectively). Further, public final demand for the Rest of Australia recorded growth of 2.5 per cent and contributed 0.5 percentage point to overall economic growth in 2006-07.

Net exports detracted 0.9 percentage point from Rest of Australia growth in 2006-07 as growth in imports of goods and services (8.6 per cent) more than offset higher export volumes (5.0 per cent).

16

Queensland State Accounts, September Quarter 2007

Table VI

Changes and Contribution to Growth, 2006-07, Original, Chain Volume Measures(a), (b)

	Queensland		Rest of Australia
	Year-average % change 2005-06 to 2006-07	% point contribution to growth in GSP 2005-06 to 2006-07	Year-average % change 2005-06 to 2006-07	% point contribution to growth in GSP 2005-06 to 2006-07
Final consumption expenditure
Households	3.4	1.9	3.4	1.9
General government	5.8	1.0	3.9	0.7
Gross fixed capital formation
Private (c)	12.5	3.2	3.3	0.7
Dwellings	8.2	0.7	0.4	0.0
Other buildings and structures (c)	22.8	1.4	10.8	0.6
Machinery and equipment (c)	13.9	1.1	0.2	0.0
Public enterprises (c)	33.4	0.8	-16.2	-0.3
General government (c)	17.1	0.5	3.5	0.1
Changes in inventories	n.a.	0.2	n.a.	0.1
Gross state expenditure	7.5	7.7	3.5	3.5
Exports of goods and services overseas	2.4	0.6	4.2	0.8
Exports of goods and services interstate	3.6	0.3	8.7	0.4
less Imports of goods and services overseas	8.2	1.4	9.0	2.1
less Imports of goods and services interstate	8.7	1.5	3.6	0.1
Gross state product	5.6	5.6	2.6	2.6

n.a. not applicable

(a) Chain volume measure reference year 2005-06.

(b) 2006-07 are revised estimates.

(c) Queensland data adjusted for net purchases of second hand public sector assets.

17

Queensland State Accounts—Tables

Table	Domestic Production Accounts—Queensland	Page
1	Trend, chain volume measures, $m	19
2	Trend, chain volume measures, quarterly % change	21
3	Trend, chain volume measures, quarterly contribution to growth, % point	23
4	Trend, chain volume measures, annual % change—quarterly	25
5	Trend, chain volume measures, annual contribution to growth—quarterly, % point	27
	Explanatory Notes	29

Additional tables available on the Internet

URL: http://www.oesr.qld.gov.au/releases/qsatables/

	Domestic Production Accounts—Queensland
6	Seasonally adjusted, chain volume measures, $m
7	Seasonally adjusted, chain volume measures, quarterly % change
8	Seasonally adjusted, chain volume measures, annual % change—quarterly
9	Original, chain volume measures, $m
10	Original, chain volume measures, annual % change—quarterly
11	Trend, current prices, $m
12	Trend, current prices, quarterly % change
13	Trend, current prices, quarterly contribution to growth, % point
14	Seasonally adjusted, current prices, $m
15	Seasonally adjusted, current prices, quarterly % change
16	Seasonally adjusted, current prices, quarterly contribution to growth, % point
17	Original, current prices, $m
18	Original, current prices, annual % change—quarterly
19	Trend, implicit price deflators, 2005-06 = 100
20	Original, implicit price deflators, 2005-06 = 100
	Domestic Production Accounts—Rest of Australia
21	Trend, chain volume measures, $m
22	Trend, chain volume measures, quarterly % change
23	Seasonally adjusted, chain volume measures, $m
24	Original, chain volume measures, $m
25	Trend, current prices, $m
26	Original, current prices, $m
27	Trend, implicit price deflators, 2005-06 = 100

The Queensland State Accounts, including previous issues, additional tables and the complete time series for Queensland and the Rest of Australia, are available through the Office of Economic and Statistical Research website, at: http://www.oesr.qld.gov.au/releases/qsatables/.

18

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 1

(Trend, chain volume measure, $m)

	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Household final consumption expenditure	24,221	24,418	24,671	25,032	25,369	25,586	25,779	25,949	26,165	26,393	26,692	27,088	27,527
Internal consumption expenditure	23,246	23,436	23,674	24,040	24,396	24,604	24,733	24,843	25,030	25,264	25,564	25,949	26,369
Non-tourism	22,345	22,536	22,801	23,204	23,598	23,802	23,920	24,029	24,199	24,400	24,657	25,012	25,430
Tourism	901	900	873	836	798	802	813	814	831	864	907	937	939
External consumption expenditure	975	982	997	992	973	982	1,046	1,106	1,135	1,129	1,128	1,139	1,158
less Imports of tourism services, overseas	409	424	434	434	431	434	445	457	461	464	478	499	521
less Imports of tourism services, interstate	566	558	563	558	542	548	601	649	674	665	650	640	637
General government final consumption expenditure	7,135	7,217	7,252	7,266	7,291	7,377	7,550	7,738	7,872	7,926	7,922	7,924	7,936
National	2,451	2,496	2,499	2,475	2,447	2,439	2,486	2,554	2,602	2,614	2,596	2,590	2,600
State and local	4,684	4,721	4,753	4,791	4,844	4,938	5,064	5,184	5,270	5,312	5,326	5,334	5,336
Total gross fixed capital formation	12,422	12,543	12,744	13,164	13,679	14,116	14,487	14,857	15,176	15,779	16,604	17,293	17,751
Private gross fixed capital formation	10,218	10,324	10,479	10,791	11,210	11,589	11,925	12,187	12,445	12,883	n.p.	n.p.	n.p.
Dwellings	3,735	3,766	3,805	3,863	3,865	3,812	3,749	3,773	3,933	4,138	4,249	4,256	4,185
Other buildings and structures	2,074	2,132	2,220	2,384	2,569	2,712	2,835	2,975	3,113	3,268	n.p.	n.p.	n.p.
Machinery and equipment	3,079	3,119	3,135	3,220	3,447	3,709	3,946	4,052	4,058	4,148	n.p.	n.p.	n.p.
Livestock	216	216	217	221	226	237	231	196	149	110	111	134	159
Intangible fixed assets	288	296	302	305	310	320	333	343	351	362	376	389	400
Ownership transfer costs	826	795	800	798	793	799	831	848	841	857	915	973	1,011
Public enterprises gross fixed capital formation	818	849	900	993	1,075	1,141	1,204	1,269	1,278	1,380	n.p.	n.p.	n.p.
Commonwealth	168	167	158	156	163	184	200	208	213	212	n.p.	n.p.	n.p.
State and local	650	682	742	837	912	957	1,004	1,061	1,065	1,168	1,421	1,712	1,972
General government gross fixed capital formation	1,386	1,370	1,365	1,380	1,394	1,386	1,358	1,401	1,453	1,516	1,622	1,747	1,866
National	151	142	151	164	169	165	163	183	202	210	208	204	200
State and local	1,235	1,228	1,214	1,216	1,225	1,221	1,195	1,218	1,251	1,306	1,414	1,543	1,666
Change in inventories	212	334	414	397	313	152	-4	-172	-209	-3	270	492	630
Statistical discrepancy (E)	133	93	-35	-145	-171	-87	35	130	202	179	105	9	-78
Gross state expenditure	44,123	44,605	45,046	45,714	46,481	47,144	47,847	48,502	49,206	50,274	51,593	52,806	53,766

19

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 1—(Continued)

(Trend, chain volume measure, $m)

	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Exports of goods and services	14,502	14,773	14,847	14,810	14,793	14,799	14,797	14,793	14,851	15,049	15,267	15,356	15,383
Exports of goods and services, overseas	10,502	10,734	10,833	10,876	10,888	10,906	10,921	10,923	10,975	11,093	11,220	11,300	11,354
Exports of goods, overseas	8,746	8,964	9,054	9,088	9,096	9,075	9,025	8,957	8,953	9,043	9,154	9,214	9,254
Exports of services, less tourism services, overseas	1,063	1,054	1,061	1,089	1,117	1,151	1,191	1,227	1,254	1,274	1,292	1,311	1,327
Exports of tourism services, overseas	693	716	718	699	675	680	705	739	768	776	774	775	773
Exports of goods and services, interstate	4,000	4,039	4,014	3,934	3,905	3,893	3,876	3,870	3,876	3,956	4,047	4,056	4,029
Exports of goods, interstate }	2,599	2,647	2,698	2,700	2,710	2,700	2,668	2,646	2,651	2,712	2,774	2,791	2,799
Exports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
Exports of tourism services, interstate	1,401	1,392	1,316	1,234	1,195	1,193	1,208	1,224	1,225	1,244	1,273	1,265	1,230
less Imports of goods and services	15,310	15,248	15,172	15,381	15,818	16,184	16,423	16,661	16,904	17,336	17,716	17,851	17,890
less Imports of goods and services, overseas	7,372	7,542	7,683	7,793	7,975	8,166	8,224	8,258	8,411	8,711	9,028	9,239	9,378
less Imports of goods, overseas	5,606	5,736	5,840	5,933	6,110	6,287	6,318	6,310	6,410	6,649	6,894	7,033	7,109
less Imports of services, less tourism services, overseas	1,357	1,382	1,409	1,426	1,434	1,445	1,461	1,491	1,540	1,598	1,656	1,707	1,748
less Imports of tourism services, overseas	409	424	434	434	431	434	445	457	461	464	478	499	521
less Imports of goods and services, interstate	7,938	7,706	7,489	7,588	7,843	8,018	8,199	8,403	8,493	8,625	8,688	8,612	8,512
less Imports of goods, interstate }	7,372	7,148	6,926	7,030	7,301	7,470	7,598	7,754	7,819	7,960	8,038	7,972	7,875
less Imports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
less Imports of tourism services, interstate	566	558	563	558	542	548	601	649	674	665	650	640	637
Expenditure on gross state product	43,315	44,130	44,721	45,143	45,456	45,759	46,221	46,634	47,153	47,987	49,144	50,311	51,259

Chain volume measure base year 2005-06

20

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 2

(Trend, chain volume measure, quarterly percentage change, %)

	Change from last quarter
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Household final consumption expenditure	0.9	0.8	1.0	1.5	1.3	0.9	0.8	0.7	0.8	0.9	1.1	1.5	1.6
Internal consumption expenditure	1.0	0.8	1.0	1.5	1.5	0.9	0.5	0.4	0.8	0.9	1.2	1.5	1.6
Non-tourism	1.0	0.9	1.2	1.8	1.7	0.9	0.5	0.5	0.7	0.8	1.1	1.4	1.7
Tourism	1.9	-0.1	-3.0	-4.2	-4.5	0.5	1.4	0.1	2.1	4.0	5.0	3.3	0.2
External consumption expenditure	-2.3	0.7	1.5	-0.5	-1.9	0.9	6.5	5.7	2.6	-0.5	-0.1	1.0	1.7
less Imports of tourism services, overseas	4.6	3.7	2.4	0.0	-0.7	0.7	2.5	2.7	0.9	0.7	3.0	4.4	4.4
less Imports of tourism services, interstate	-6.8	-1.4	0.9	-0.9	-2.9	1.1	9.7	8.0	3.9	-1.3	-2.3	-1.5	-0.5
General government final consumption expenditure	1.4	1.1	0.5	0.2	0.3	1.2	2.3	2.5	1.7	0.7	-0.1	0.0	0.2
National	2.3	1.8	0.1	-1.0	-1.1	-0.3	1.9	2.7	1.9	0.5	-0.7	-0.2	0.4
State and local	0.9	0.8	0.7	0.8	1.1	1.9	2.6	2.4	1.7	0.8	0.3	0.2	0.0
Total gross fixed capital formation	1.3	1.0	1.6	3.3	3.9	3.2	2.6	2.6	2.1	4.0	5.2	4.1	2.6
Private gross fixed capital formation	0.7	1.0	1.5	3.0	3.9	3.4	2.9	2.2	2.1	3.5	n.p.	n.p.	n.p.
Dwellings	0.2	0.8	1.0	1.5	0.1	-1.4	-1.7	0.6	4.2	5.2	2.7	0.2	-1.7
Other buildings and structures	1.8	2.8	4.1	7.4	7.8	5.6	4.5	4.9	4.6	5.0	n.p.	n.p.	n.p.
Machinery and equipment	3.8	1.3	0.5	2.7	7.0	7.6	6.4	2.7	0.1	2.2	n.p.	n.p.	n.p.
Livestock	0.0	0.0	0.5	1.8	2.3	4.9	-2.5	-15.2	-24.0	-26.2	0.9	20.7	18.7
Intangible fixed assets	2.1	2.8	2.0	1.0	1.6	3.2	4.1	3.0	2.3	3.1	3.9	3.5	2.8
Ownership transfer costs	-9.8	-3.8	0.6	-0.2	-0.6	0.8	4.0	2.0	-0.8	1.9	6.8	6.3	3.9
Public enterprises gross fixed capital formation	8.6	3.8	6.0	10.3	8.3	6.1	5.5	5.4	0.7	8.0	n.p.	n.p.	n.p.
Commonwealth	6.3	-0.6	-5.4	-1.3	4.5	12.9	8.7	4.0	2.4	-0.5	n.p.	n.p.	n.p.
State and local	9.2	4.9	8.8	12.8	9.0	4.9	4.9	5.7	0.4	9.7	21.7	20.5	15.2
General government gross fixed capital formation	1.8	-1.2	-0.4	1.1	1.0	-0.6	-2.0	3.2	3.7	4.3	7.0	7.7	6.8
National	-11.2	-6.0	6.3	8.6	3.0	-2.4	-1.2	12.3	10.4	4.0	-1.0	-1.9	-2.0
State and local	3.6	-0.6	-1.1	0.2	0.7	-0.3	-2.1	1.9	2.7	4.4	8.3	9.1	8.0
Gross state expenditure	1.1	1.1	1.0	1.5	1.7	1.4	1.5	1.4	1.5	2.2	2.6	2.4	1.8

21

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 2—(Continued)

(Trend, chain volume measure, quarterly percentage change, %)

	Change from last quarter
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Exports of goods and services	1.5	1.9	0.5	-0.2	-0.1	0.0	0.0	0.0	0.4	1.3	1.4	0.6	0.2
Exports of goods and services, overseas	1.9	2.2	0.9	0.4	0.1	0.2	0.1	0.0	0.5	1.1	1.1	0.7	0.5
Exports of goods, overseas	1.9	2.5	1.0	0.4	0.1	-0.2	-0.6	-0.8	0.0	1.0	1.2	0.7	0.4
Exports of services, less tourism services, overseas	-0.4	-0.8	0.7	2.6	2.6	3.0	3.5	3.0	2.2	1.6	1.4	1.5	1.2
Exports of tourism services, overseas	4.8	3.3	0.3	-2.6	-3.4	0.7	3.7	4.8	3.9	1.0	-0.3	0.1	-0.3
Exports of goods and services, interstate	0.7	1.0	-0.6	-2.0	-0.7	-0.3	-0.4	-0.2	0.2	2.1	2.3	0.2	-0.7
Exports of goods, interstate }	-1.1	1.8	1.9	0.1	0.4	-0.4	-1.2	-0.8	0.2	2.3	2.3	0.6	0.3
Exports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
Exports of tourism services, interstate	4.3	-0.6	-5.5	-6.2	-3.2	-0.2	1.3	1.3	0.1	1.6	2.3	-0.6	-2.8
less Imports of goods and services	0.1	-0.4	-0.5	1.4	2.8	2.3	1.5	1.4	1.5	2.6	2.2	0.8	0.2
less Imports of goods and services, overseas	3.3	2.3	1.9	1.4	2.3	2.4	0.7	0.4	1.9	3.6	3.6	2.3	1.5
less Imports of goods, overseas	3.8	2.3	1.8	1.6	3.0	2.9	0.5	-0.1	1.6	3.7	3.7	2.0	1.1
less Imports of services, less tourism services, overseas	1.0	1.8	2.0	1.2	0.6	0.8	1.1	2.1	3.3	3.8	3.6	3.1	2.4
less Imports of tourism services, overseas	4.6	3.7	2.4	0.0	-0.7	0.7	2.5	2.7	0.9	0.7	3.0	4.4	4.4
less Imports of goods and services, interstate	-2.8	-2.9	-2.8	1.3	3.4	2.2	2.3	2.5	1.1	1.6	0.7	-0.9	-1.2
less Imports of goods, interstate }	-2.5	-3.0	-3.1	1.5	3.9	2.3	1.7	2.1	0.8	1.8	1.0	-0.8	-1.2
less Imports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
less Imports of tourism services, interstate	-6.8	-1.4	0.9	-0.9	-2.9	1.1	9.7	8.0	3.9	-1.3	-2.3	-1.5	-0.5
Expenditure on gross state product	1.6	1.9	1.3	0.9	0.7	0.7	1.0	0.9	1.1	1.8	2.4	2.4	1.9

Chain volume measure base year 2005-06

22

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 3

(Trend, chain volume measure, quarterly contribution to growth, %)

	Contributions to growth from last quarter
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Household final consumption expenditure	0.5	0.5	0.6	0.8	0.7	0.5	0.4	0.4	0.5	0.5	0.6	0.8	0.9
Internal consumption expenditure	0.5	0.4	0.5	0.8	0.8	0.5	0.3	0.2	0.4	0.5	0.6	0.8	0.8
Non-tourism	0.5	0.4	0.6	0.9	0.9	0.4	0.3	0.2	0.4	0.4	0.5	0.7	0.8
Tourism	0.0	0.0	-0.1	-0.1	-0.1	0.0	0.0	0.0	0.0	0.1	0.1	0.1	0.0
External consumption expenditure	-0.1	0.0	0.0	0.0	0.0	0.0	0.1	0.1	0.1	0.0	0.0	0.0	0.0
less Imports of tourism services, overseas	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
less Imports of tourism services, interstate	-0.1	0.0	0.0	0.0	0.0	0.0	0.1	0.1	0.1	0.0	0.0	0.0	0.0
General government final consumption expenditure	0.2	0.2	0.1	0.0	0.1	0.2	0.4	0.4	0.3	0.1	0.0	0.0	0.0
National	0.1	0.1	0.0	-0.1	-0.1	0.0	0.1	0.1	0.1	0.0	0.0	0.0	0.0
State and local	0.1	0.1	0.1	0.1	0.1	0.2	0.3	0.3	0.2	0.1	0.0	0.0	0.0
Total gross fixed capital formation	0.4	0.3	0.5	0.9	1.1	1.0	0.8	0.8	0.7	1.3	1.7	1.4	0.9
Private gross fixed capital formation	0.2	0.2	0.4	0.7	0.9	0.8	0.7	0.6	0.6	0.9	n.p.	n.p.	n.p.
Dwellings	0.0	0.1	0.1	0.1	0.0	-0.1	-0.1	0.1	0.3	0.4	0.2	0.0	-0.1
Other buildings and structures	0.1	0.1	0.2	0.4	0.4	0.3	0.3	0.3	0.3	0.3	n.p.	n.p.	n.p.
Machinery and equipment	0.3	0.1	0.0	0.2	0.5	0.6	0.5	0.2	0.0	0.2	n.p.	n.p.	n.p.
Livestock	0.0	0.0	0.0	0.0	0.0	0.0	0.0	-0.1	-0.1	-0.1	0.0	0.0	0.0
Intangible fixed assets	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Ownership transfer costs	-0.2	-0.1	0.0	0.0	0.0	0.0	0.1	0.0	0.0	0.0	0.1	0.1	0.1
Public enterprises gross fixed capital formation	0.2	0.1	0.1	0.2	0.2	0.1	0.1	0.1	0.0	0.2	n.p.	n.p.	n.p.
Commonwealth	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	n.p.	n.p.	n.p.
State and local	0.1	0.1	0.1	0.2	0.2	0.1	0.1	0.1	0.0	0.2	0.5	0.6	0.5
General government gross fixed capital formation	0.1	0.0	0.0	0.0	0.0	0.0	-0.1	0.1	0.1	0.1	0.2	0.3	0.2
National	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
State and local	0.1	0.0	0.0	0.0	0.0	0.0	-0.1	0.0	0.1	0.1	0.2	0.3	0.2
Change in inventories	0.0	0.3	0.2	0.0	-0.2	-0.4	-0.3	-0.4	-0.1	0.4	0.6	0.5	0.3
Statistical discrepancy (E)	0.0	-0.1	-0.3	-0.2	-0.1	0.2	0.3	0.2	0.2	0.0	-0.2	-0.2	-0.2
Gross state expenditure	1.1	1.1	1.0	1.5	1.7	1.5	1.5	1.4	1.5	2.3	2.7	2.5	1.9

23

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 3—(Continued)

(Trend, chain volume measure, quarterly contribution to growth, %)

	Contributions to growth from last quarter
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Exports of goods and services	0.5	0.6	0.2	-0.1	0.0	0.0	0.0	0.0	0.1	0.4	0.5	0.2	0.1
Exports of goods and services, overseas	0.5	0.5	0.2	0.1	0.0	0.0	0.0	0.0	0.1	0.3	0.3	0.2	0.1
Exports of goods, overseas	0.4	0.5	0.2	0.1	0.0	0.0	-0.1	-0.1	0.0	0.2	0.2	0.1	0.1
Exports of services, less tourism services, overseas	0.0	0.0	0.0	0.1	0.1	0.1	0.1	0.1	0.1	0.0	0.0	0.0	0.0
Exports of tourism services, overseas	0.1	0.1	0.0	0.0	-0.1	0.0	0.1	0.1	0.1	0.0	0.0	0.0	0.0
Exports of goods and services, interstate	0.1	0.1	-0.1	-0.2	-0.1	0.0	0.0	0.0	0.0	0.2	0.2	0.0	-0.1
Exports of goods, interstate }	-0.1	0.1	0.1	0.0	0.0	0.0	-0.1	0.0	0.0	0.1	0.1	0.0	0.0
Exports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
Exports of tourism services, interstate	0.1	0.0	-0.2	-0.2	-0.1	0.0	0.0	0.0	0.0	0.0	0.1	0.0	-0.1
less Imports of goods and services	0.0	-0.1	-0.2	0.5	1.0	0.8	0.5	0.5	0.5	0.9	0.8	0.3	0.1
less Imports of goods and services, overseas	0.6	0.4	0.3	0.2	0.4	0.4	0.1	0.1	0.3	0.6	0.7	0.4	0.3
less Imports of goods, overseas	0.5	0.3	0.2	0.2	0.4	0.4	0.1	0.0	0.2	0.5	0.5	0.3	0.2
less Imports of services, less tourism services, overseas	0.0	0.1	0.1	0.0	0.0	0.0	0.0	0.1	0.1	0.1	0.1	0.1	0.1
less Imports of tourism services, overseas	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
less Imports of goods and services, interstate	-0.5	-0.5	-0.5	0.2	0.6	0.4	0.4	0.4	0.2	0.3	0.1	-0.2	-0.2
less Imports of goods, interstate }	-0.4	-0.5	-0.5	0.2	0.6	0.4	0.3	0.3	0.1	0.3	0.2	-0.1	-0.2
less Imports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
less Imports of tourism services, interstate	-0.1	0.0	0.0	0.0	0.0	0.0	0.1	0.1	0.1	0.0	0.0	0.0	0.0
Expenditure on gross state product	1.6	1.9	1.3	0.9	0.7	0.7	1.0	0.9	1.1	1.8	2.4	2.4	1.9

Chain volume measure base year 2005-06

24

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 4

(Trend, chain volume measure, annual percentage change—quarterly, %)

	Change from same quarter last year
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Household final consumption expenditure	8.7	6.0	4.4	4.2	4.7	4.8	4.5	3.7	3.1	3.2	3.5	4.4	5.2
Internal consumption expenditure	8.6	6.1	4.6	4.4	4.9	5.0	4.5	3.3	2.6	2.7	3.4	4.5	5.3
Non-tourism	8.9	6.3	4.9	4.8	5.6	5.6	4.9	3.6	2.5	2.5	3.1	4.1	5.1
Tourism	0.4	1.0	-1.6	-5.4	-11.4	-10.9	-6.9	-2.6	4.1	7.7	11.6	15.1	13.0
External consumption expenditure	11.3	3.0	-0.9	-0.6	-0.2	0.0	4.9	11.5	16.6	15.0	7.8	3.0	2.0
less Imports of tourism services, overseas	43.0	28.5	17.9	11.0	5.4	2.4	2.5	5.3	7.0	6.9	7.4	9.2	13.0
less Imports of tourism services, interstate	-4.1	-10.4	-11.8	-8.1	-4.2	-1.8	6.7	16.3	24.4	21.4	8.2	-1.4	-5.5
General government final consumption expenditure	4.1	4.2	4.0	3.3	2.2	2.2	4.1	6.5	8.0	7.4	4.9	2.4	0.8
National	4.0	5.4	5.4	3.3	-0.2	-2.3	-0.5	3.2	6.3	7.2	4.4	1.4	-0.1
State and local	4.1	3.6	3.2	3.3	3.4	4.6	6.5	8.2	8.8	7.6	5.2	2.9	1.3
Total gross fixed capital formation	15.2	11.1	7.2	7.4	10.1	12.5	13.7	12.9	10.9	11.8	14.6	16.4	17.0
Private gross fixed capital formation	9.2	6.7	5.1	6.4	9.7	12.3	13.8	12.9	11.0	11.2	n.p.	n.p.	n.p.
Dwellings	7.0	4.3	2.7	3.6	3.5	1.2	-1.5	-2.3	1.8	8.6	13.3	12.8	6.4
Other buildings and structures	13.0	12.6	11.7	17.0	23.9	27.2	27.7	24.8	21.2	20.5	n.p.	n.p.	n.p.
Machinery and equipment	23.0	20.5	14.1	8.6	12.0	18.9	25.9	25.8	17.7	11.8	n.p.	n.p.	n.p.
Livestock	24.1	0.5	-3.1	2.3	4.6	9.7	6.5	-11.3	-34.1	-53.6	-51.9	-31.6	6.7
Intangible fixed assets	8.7	9.2	9.0	8.2	7.6	8.1	10.3	12.5	13.2	13.1	12.9	13.4	14.0
Ownership transfer costs	-23.9	-27.3	-22.1	-12.9	-4.0	0.5	3.9	6.3	6.1	7.3	10.1	14.7	20.2
Public enterprises gross fixed capital formation	100.0	79.1	42.6	31.9	31.4	34.4	33.8	27.8	18.9	20.9	n.p.	n.p.	n.p.
Commonwealth	31.2	32.5	13.7	-1.3	-3.0	10.2	26.6	33.3	30.7	15.2	n.p.	n.p.	n.p.
State and local	131.3	96.0	50.8	40.7	40.3	40.3	35.3	26.8	16.8	22.0	41.5	61.4	85.2
General government gross fixed capital formation	36.1	20.4	6.1	1.3	0.6	1.2	-0.5	1.5	4.2	9.4	19.4	24.7	28.4
National	-3.8	-19.8	-17.5	-3.5	11.9	16.2	7.9	11.6	19.5	27.3	27.6	11.5	-1.0
State and local	43.4	27.8	10.0	2.0	-0.8	-0.6	-1.6	0.2	2.1	7.0	18.3	26.7	33.2
Gross state expenditure	8.9	6.8	5.1	4.7	5.3	5.7	6.2	6.1	5.9	6.6	7.8	8.9	9.3

25

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 4—(Continued)

(Trend, chain volume measure, annual percentage change—quarterly, %)

	Change from same quarter last year
	2004-05				2005-06				2006-07					2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar		Jun	Sep
Exports of goods and services	2.8	4.6	4.6	3.7	2.0	0.2	-0.3	-0.1	0.4	1.7	3.2		3.8	3.6
Exports of goods and services, overseas	5.3	7.0	6.4	5.5	3.7	1.6	0.8	0.4	0.8	1.7	2.7		3.5	3.5
Exports of goods, overseas	4.7	7.1	6.9	5.9	4.0	1.2	-0.3	-1.4	-1.6	-0.4	1.4		2.9	3.4
Exports of services, less tourism services, overseas	5.0	1.6	-0.2	2.1	5.1	9.2	12.3	12.7	12.3	10.7	8.5		6.8	5.8
Exports of tourism services, overseas	13.8	14.0	11.3	5.7	-2.6	-5.0	-1.8	5.7	13.8	14.1	9.8		4.9	0.7
Exports of goods and services, interstate	-3.4	-1.4	0.0	-0.9	-2.4	-3.6	-3.4	-1.6	-0.7	1.6	4.4		4.8	3.9
Exports of goods, interstate }	-7.3	-6.1	-1.3	2.7	4.3	2.0	-1.1	-2.0	-2.2	0.4	4.0		5.5	5.6
Exports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—		—	—
Exports of tourism services, interstate	4.8	9.1	2.7	-8.1	-14.7	-14.3	-8.2	-0.8	2.5	4.3	5.4	��	3.3	0.4
less Imports of goods and services	13.2	6.5	1.2	0.5	3.3	6.1	8.2	8.3	6.9	7.1	7.9		7.1	5.8
less Imports of goods and services, overseas	22.3	18.0	13.3	9.2	8.2	8.3	7.0	6.0	5.5	6.7	9.8		11.9	11.5
less Imports of goods, overseas	23.5	19.9	14.8	9.9	9.0	9.6	8.2	6.4	4.9	5.8	9.1		11.5	10.9
less Imports of services, less tourism services, overseas	13.1	8.2	6.1	6.2	5.7	4.6	3.7	4.6	7.4	10.6	13.3		14.5	13.5
less Imports of tourism services, overseas	43.0	28.5	17.9	11.0	5.4	2.4	2.5	5.3	7.0	6.9	7.4		9.2	13.0
less Imports of goods and services, interstate	5.9	-2.8	-8.7	-7.1	-1.2	4.0	9.5	10.7	8.3	7.6	6.0		2.5	0.2
less Imports of goods, interstate }	6.7	-2.2	-8.5	-7.0	-1.0	4.5	9.7	10.3	7.1	6.6	5.8		2.8	0.7
less Imports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—		—	—
less Imports of tourism services, interstate	-4.1	-10.4	-11.8	-8.1	-4.2	-1.8	6.7	16.3	24.4	21.4	8.2		-1.4	-5.5
Expenditure on gross state product	5.3	6.2	6.3	5.9	4.9	3.7	3.4	3.3	3.7	4.9	6.3		7.9	8.7

Chain volume measure base year 2005-06

26

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 5

(Trend, chain volume measure, annual contribution to growth—quarterly, %)

	Contributions to growth from same quarter last year
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Household final consumption expenditure	4.7	3.3	2.5	2.4	2.7	2.6	2.5	2.0	1.8	1.8	2.0	2.4	2.9
Internal consumption expenditure	4.5	3.2	2.5	2.4	2.7	2.6	2.4	1.8	1.4	1.4	1.8	2.4	2.8
Non-tourism	4.4	3.2	2.5	2.5	2.9	2.9	2.5	1.8	1.3	1.3	1.6	2.1	2.6
Tourism	0.0	0.0	0.0	-0.1	-0.2	-0.2	-0.1	0.0	0.1	0.1	0.2	0.3	0.2
External consumption expenditure	0.2	0.1	0.0	0.0	0.0	0.0	0.1	0.3	0.4	0.3	0.2	0.1	0.0
less Imports of tourism services, overseas	0.3	0.2	0.2	0.1	0.1	0.0	0.0	0.1	0.1	0.1	0.1	0.1	0.1
less Imports of tourism services, interstate	-0.1	-0.2	-0.2	-0.1	-0.1	0.0	0.1	0.2	0.3	0.3	0.1	0.0	-0.1
General government final consumption expenditure	0.7	0.7	0.7	0.5	0.4	0.4	0.7	1.0	1.3	1.2	0.8	0.4	0.1
National	0.2	0.3	0.3	0.2	0.0	-0.1	0.0	0.2	0.3	0.4	0.2	0.1	0.0
State and local	0.4	0.4	0.4	0.4	0.4	0.5	0.7	0.9	0.9	0.8	0.6	0.3	0.1
Total gross fixed capital formation	4.0	3.0	2.0	2.1	2.9	3.6	3.9	3.8	3.3	3.6	4.6	5.2	5.5
Private gross fixed capital formation	2.1	1.6	1.2	1.5	2.3	2.9	3.2	3.1	2.7	2.8	n.p.	n.p.	n.p.
Dwellings	0.6	0.4	0.2	0.3	0.3	0.1	-0.1	-0.2	0.1	0.7	1.1	1.0	0.5
Other buildings and structures	0.6	0.6	0.6	0.8	1.1	1.3	1.4	1.3	1.2	1.2	n.p.	n.p.	n.p.
Machinery and equipment	1.4	1.3	0.9	0.6	0.8	1.3	1.8	1.8	1.3	1.0	n.p.	n.p.	n.p.
Livestock	0.1	0.0	0.0	0.0	0.0	0.0	0.0	-0.1	-0.2	-0.3	-0.3	-0.1	0.0
Intangible fixed assets	0.1	0.1	0.1	0.1	0.1	0.1	0.1	0.1	0.1	0.1	0.1	0.1	0.1
Ownership transfer costs	-0.6	-0.7	-0.5	-0.3	-0.1	0.0	0.1	0.1	0.1	0.1	0.2	0.3	0.4
Public enterprises gross fixed capital formation	1.0	0.9	0.6	0.6	0.6	0.7	0.7	0.6	0.4	0.5	n.p.	n.p.	n.p.
Commonwealth	0.1	0.1	0.0	0.0	0.0	0.0	0.1	0.1	0.1	0.1	n.p.	n.p.	n.p.
State and local	0.9	0.8	0.6	0.6	0.6	0.6	0.6	0.5	0.3	0.5	0.9	1.4	1.9
General government gross fixed capital formation	0.9	0.6	0.2	0.0	0.0	0.0	0.0	0.0	0.1	0.3	0.6	0.7	0.9
National	0.0	-0.1	-0.1	0.0	0.0	0.1	0.0	0.0	0.1	0.1	0.1	0.0	0.0
State and local	0.9	0.6	0.3	0.1	0.0	0.0	0.0	0.0	0.1	0.2	0.5	0.7	0.9
Change in inventories	-0.9	-0.3	0.2	0.4	0.2	-0.4	-0.9	-1.3	-1.1	-0.3	0.6	1.4	1.8
Statistical discrepancy (E)	0.3	0.2	-0.2	-0.6	-0.7	-0.4	0.2	0.6	0.8	0.6	0.2	-0.3	-0.6
Gross state expenditure	8.7	6.9	5.2	4.9	5.4	5.8	6.3	6.2	6.0	6.8	8.1	9.2	9.7

27

DOMESTIC PRODUCTION ACCOUNT—QUEENSLAND

TABLE 5—(Continued)

(Trend, chain volume measure, annual contribution to growth—quarterly, %)

	Contributions to growth from same quarter last year
	2004-05				2005-06				2006-07				2007-08
	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep	Dec	Mar	Jun	Sep
Exports of goods and services	0.9	1.6	1.6	1.2	0.7	0.1	-0.1	0.0	0.1	0.5	1.0	1.2	1.1
Exports of goods and services, overseas	1.3	1.7	1.6	1.3	0.9	0.4	0.2	0.1	0.2	0.4	0.6	0.8	0.8
Exports of goods, overseas	1.0	1.4	1.4	1.2	0.8	0.3	-0.1	-0.3	-0.3	-0.1	0.3	0.6	0.6
Exports of services, less tourism services, overseas	0.1	0.0	0.0	0.1	0.1	0.2	0.3	0.3	0.3	0.3	0.2	0.2	0.2
Exports of tourism services, overseas	0.2	0.2	0.2	0.1	0.0	-0.1	0.0	0.1	0.2	0.2	0.1	0.1	0.0
Exports of goods and services, interstate	-0.3	-0.1	0.0	-0.1	-0.2	-0.3	-0.3	-0.1	-0.1	0.1	0.4	0.4	0.3
Exports of goods, interstate }	-0.5	-0.4	-0.1	0.2	0.3	0.1	-0.1	-0.1	-0.1	0.0	0.2	0.3	0.3
Exports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
Exports of tourism services, interstate	0.2	0.3	0.1	-0.3	-0.5	-0.5	-0.2	0.0	0.1	0.1	0.1	0.1	0.0
less Imports of goods and services	4.3	2.2	0.4	0.2	1.2	2.1	2.8	2.8	2.4	2.5	2.8	2.6	2.1
less Imports of goods and services, overseas	3.3	2.8	2.1	1.5	1.4	1.4	1.2	1.0	1.0	1.2	1.7	2.1	2.1
less Imports of goods, overseas	2.6	2.3	1.8	1.3	1.2	1.2	1.1	0.8	0.7	0.8	1.2	1.6	1.5
less Imports of services, less tourism services, overseas	0.4	0.3	0.2	0.2	0.2	0.1	0.1	0.1	0.2	0.3	0.4	0.5	0.4
less Imports of tourism services, overseas	0.3	0.2	0.2	0.1	0.1	0.0	0.0	0.1	0.1	0.1	0.1	0.1	0.1
less Imports of goods and services, interstate	1.1	-0.5	-1.7	-1.4	-0.2	0.7	1.6	1.8	1.4	1.3	1.1	0.4	0.0
less Imports of goods, interstate }	1.1	-0.4	-1.5	-1.2	-0.2	0.7	1.5	1.6	1.1	1.1	1.0	0.5	0.1
less Imports of services, less tourism services, interstate }	—	—	—	—	—	—	—	—	—	—	—	—	—
less Imports of tourism services, interstate	-0.1	-0.2	-0.2	-0.1	-0.1	0.0	0.1	0.2	0.3	0.3	0.1	0.0	-0.1
Expenditure on gross state product	5.3	6.2	6.3	5.9	4.9	3.7	3.4	3.3	3.7	4.9	6.3	7.9	8.7

Chain volume measure base year 2005-06

28

Queensland State Accounts, September Quarter 2007

EXPLANATORY NOTES

Overview

The Queensland State Accounts are compiled in accordance with the international standards contained in the System of National Accounts 1993 (SNA93).

Readers interested in more detailed information on the changes to national and state accounts are referred to the following Australian Bureau of Statistics (ABS) information papers:

• Australian System of National Accounts: Concepts, Sources and Methods (ABS 5216.0);

• Upgraded Australian National Accounts (ABS 5253.0);

• Implementation of Revised International Standards in the Australian National Accounts (ABS 5251.0); and

• Introduction of Chain Volume Measure in the Australian National Accounts (ABS 5248.0).

The broad structure of the Queensland State Accounts is that of a social accounting matrix comprising two regions: Queensland and the Rest of Australia. This enables the appropriate comparison to be made of the performance of Queensland with respect to the performance of the rest of the nation, rather than with Australia as a whole.

For both regions, four fundamental accounts have been specified: domestic (or State) production account, state consumption account, state accumulation account and the external account. The state consumption and accumulation accounts have been further disaggregated into sectoral accounts. These sectoral accounts include household, State and local general government, Commonwealth general government and private and public trading and financial enterprises. This publication reports only on the domestic production accounts of these two regions.

The Queensland State Accounts are designed to allow consolidation of the two regions into the single region of Australia. The Australian National Accounts, produced by the ABS, form a clear national framework and set of estimates, with which the Queensland State Accounts is congruent.

The ABS also produces the Australian National Accounts, National Income, Expenditure and Product. The Queensland State Accounts uses as much Queensland information contained in this ABS publication as is appropriate and relevant. However, since the purpose of the Queensland State Accounts is to measure the structure and performance of the Queensland economy as accurately and comprehensively as possible, it significantly extends the information contained in the Australian National Accounts, National Income, Expenditure and Product series. Since this extension is feasible in the case of a single State, especially one with the statistical resources of Queensland, the Queensland State Accounts is not necessarily bound to agree exactly with any ABS estimates. Nevertheless, the quality of the Australian National Accounts is such that the Queensland State Accounts estimates are generally and routinely benchmarked to them. In all cases, the ABS estimates are taken into strong initial consideration.

The major extension of the domestic production accounts in the Queensland State Accounts system is the addition of estimates of interstate trade in goods and trade in services, including tourism transactions. This enables the system to derive quarterly estimates of gross state product in volume terms. As well, this provides a more comprehensive understanding of Queensland’s overall trade performance, and replaces the more limited understanding provided by the common misperception of overseas State trade as total State trade.

29

Methodological issues

As noted below in Definitions and source notes, the estimates in the Queensland State Accounts generally agree with those of the ABS Australian National Accounts, National Income, Expenditure and Product when available, except in cases where the Office of the Government Statistician has improved on, or corrected, ABS estimates.

Differences between the Queensland estimates in the Australian National Accounts, National Income, Expenditure and Product and those in the Queensland State Accounts reflect corrections and improvements in data construction made by the Office of the Government Statistician. These corrections generally arise from data confrontation exercises which involve alternative sources of evidence or information, and which often involve the input of further primary information.

Compensation of employees

The OGS estimate of Compensation of employees (COE) differs from that published by the ABS in Australian National Accounts: National Income, Expenditure and Product (ABS 5206.0). As reported in the September quarter 1994 issue of the Queensland State Accounts, the Office of the Government Statistician (OGS) is of the opinion that the compensation of employees (COE) series published in the ABS 5206.0 substantially under-recorded COE from the period commencing September quarter 1993. As a result, in the period starting with September quarter 1993 and ending December quarter 2001, the average of the quarterly movements in average weekly earnings, and survey of employment and earnings is combined with the number of wage and salary earners to derive the COE series published in the Queensland State Accounts. From March 2002 onwards, the OGS COE series is extrapolated using the quarterly movements in the compensation of employees series published in ABS 5206.0.

Further analysis by the OGS indicates that the June quarter 2005 quarter estimate of COE published in ABS 5206.0 has been underestimated. The movement in implied average earnings is contrary to other measures of earnings in Queensland. The OGS has adjusted the COE estimate for June quarter 2005 to reflect the movement in the wage price index for Queensland.

Gross operating surplus and gross mixed income

The OGS estimate of gross operating surplus and gross mixed income (GOS/GMI) differs from that published by the ABS in Australian National Accounts, State Accounts, 2006-07 (ABS 5220.0) for the period 2002-03 to 2006-07. This difference reflects the OGS using an alternative methodology to the ABS to allocate the Australian estimate of mining and manufacturing GOS/GMI between Queensland and the Rest of Australia.

These differences are largely accounted for by the revisions to Mining and Manufacturing made by the ABS as a result of a change in methodology. The OGS estimates of Queensland’s allocation of mining and manufacturing GOS/GMI are based on Industry Value Added (IVA) less Wages from ABS publication 8415.0—Mining Operations, Australia and similarly from 8221.0—Manufacturing Industry, Australia.

Taxes less Subsidies on Production and Imports

The OGS estimate of taxes less subsidies on production and imports differs from those published by the ABS in Australian National Accounts, State Accounts, 2006-07 (ABS 5220.0) for both 2005-06 and 2006-07. This variation reflects a difference in methodology employed by the OGS in the estimation of Queensland’s allocation of both Commonwealth and state and local taxes.

ABS’ 2006-07 State Accounts publication included a number of revisions to the taxes less subsidies on production and imports time series. The adjustments made by OGS were necessary in maintaining a consistent methodology for the compilation of Queensland State Accounts.

30

Queensland State Accounts, September Quarter 2007

Public final demand

In some instances, there are differences between the Queensland State Accounts estimate of Queensland public final demand and those published by the ABS Australian National Accounts: National Income, Expenditure and Product (ABS 5206.0). In these cases, additional information has become available after the release of ABS estimates. The OGS has incorporated this additional information into its estimate of Queensland public final demand. No adjustments have been made to Rest of Australia. As a result, the OGS estimate of public final demand for Rest of Australia is consistent with ABS State Details (ABS 5206.0).

Input-output tables

The Queensland State Accounts and Queensland’s State and regional input-output tables, which are also produced by the Office of the Government Statistician, have been developed in close association, so that these two components of the overall system of State accounts are congruent. An intention is to use the input-output tables to assist in the future reconciliation of the income and expenditure estimates of domestic production in the State, as well as the production based estimates when available.

Seasonally adjusted and trend estimates

In interpreting movements in quarterly time series, it is useful to recognise and take account of changes due to seasonal and other types of calendar influences. Seasonal effects usually reflect the influences of the seasons themselves, either directly (e.g. farm production) or indirectly, through activity related to them, such as social conventions (e.g. the incidence of holidays), or administrative practices (e.g. the timing of wage and salary payments). Other types of calendar variations may occur as a result of influences such as the number and composition of days in a calendar period, the accounting or the recording procedures adopted, or the incidence of moveable holidays such as Easter. For example, Easter can fall either in the March quarter, the June quarter, or in both quarters.

Movements in a time series can be due to a complex interaction of up to six notional influences. These influences are:

• the seasonal pattern which reflects the systematically recurring rise (fall) of the quarters;

• the “trading day” pattern which reflects how the series systematically varies with changes in the composition of the quarters;

• moving holiday impacts;

• other systematic calendar related effects;

• the trend which reflects the fundamental and long-term direction of the series; and

• the residual/irregular influences which reflect the short-term erratic factors in the series.

Statistical techniques may be used to evaluate the effects on normal and calendar influences operating on a series and to produce seasonally adjusted estimates by the removal of these influences. One of the most widely used seasonal adjustment methods is the X-11 variant of the Census Method 11 Seasonal Adjustment Program and its companion program X-11Q developed by the U.S. Bureau of the Census.

The X-11Q procedure uses an iterative system of moving averages and linear regression techniques to obtain seasonal and other systematic calendar effects. For quarterly series, prior adjustments can be incorporated

31

for moving holidays and trading day adjustments. However, in accordance with the methodology used by the ABS to adjust the Australian National Accounts, it was assumed that the trading day effects on quarterly State Accounts series are likely to be insignificant except in the case of private final consumption expenditure. At each estimation stage, the adverse effects of “extreme” movements are reduced to minimise distortion of extremes. Final estimates of the seasonal effects are combined and divided into the original data series to produce a seasonally adjusted series.

Seasonal adjustment removes the estimated effects of seasonal and other types of calendar variations from the statistical series, so that the effects of other influences can be analysed. However, if a movement is due to short-term irregular factors and not the underlying trend, then the seasonally adjusted estimate may be deficient in estimating reliably the timing, level and turning points in economic activity. Whether a seasonally adjusted series is a good proxy of the trend or not, will depend on the relative contribution of the irregular component to the quarterly movements, compared with the trend contribution. The irregular nature of seasonally adjusted data is not a deficiency of the seasonal adjustment process, but simply reflects the irregular/residual influences present in the original data, as well as the trend component.

Trend estimates may be produced by smoothing out these residual/irregular components of the seasonally adjusted series. The procedure used in the Queensland State Accounts is similar to that used by the ABS and outlined in their publication Information Paper: A Guide to Smoothing Time Series—Estimates of Trends. It is designed to minimise the distortion to trend level, turning point and timing, and is based on the seven term Henderson moving average in the case of quarterly series.

The Henderson procedure is a symmetric moving average that is centred on a point in time. Consequently, there is no phase shift in the resulting smoothed series. However, there are insufficient observations available for the calculation of the last three quarters of a series, when using such a seven quarter moving average. To overcome this end-point problem, a surrogate moving average that approximates the desired symmetric moving average is used.

Furthermore, in addition to the irregular phenomena of the real world, the effects of measurement errors contribute to the residual/irregular influences. For example, estimates produced from sample surveys can be affected by sampling error. Non-sampling errors may also be associated with series due to deficiencies or errors in reporting, processing and estimation. These measurement errors can also impact on the seasonal and trading day patterns. A smoothed seasonally adjusted or trend estimate will smooth these measurement errors and provide a better estimate of the fundamental trend. Another advantage of the Henderson moving average procedure is that if the seasonal process used has some deficiencies, such that there does remain some residual seasonality, for example some trading-day or some moving holiday variation in the adjusted data, then the trend smoothing process will also dampen their presence.

On the other hand, moving averages used to derive trend estimates cannot distinguish between measurement error and actual irregular occurrences, and both types of irregular movements are smoothed. Thus, the effects of the airline pilot’s dispute on the Queensland economy, which was largely concentrated on tourism activity (both imports and exports, as well as consumption expenditure) in December quarter 1989, is spread over a number of adjacent quarters in the trend estimate of gross state product.

To produce smoothed seasonally adjusted estimates for the Queensland State Accounts seasonal factors are obtained using the X-11Q procedure. In line with the ABS procedure for the adjustments of corresponding Australian series, no prior adjustments for trading day and moving holiday effects are incorporated into the X-11Q procedure. Separate current and chain volume measure seasonal factors are calculated for interstate and foreign imports and exports of tourism services, reflecting the seasonality in the implicit price deflators of these series.

The Queensland State Accounts estimates are compiled by applying a seven term Henderson moving average, using the individual tailored end-weights based on the importance of the irregular variations relative to

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Queensland State Accounts, September Quarter 2007

the movements in the trend of the corresponding Queensland components of the domestic production account. Rest of Australia estimates are derived by deconsolidation. The weights reflect the irregularity of the series being trended.

Differences in the estimates and in assumptions and judgments made in the filtering procedure will result in the seasonally adjusted and trend estimates in the Queensland State Accounts being different to those produced and published by the Australian Bureau of Statistics.

Treatment of tourism activity

It is useful to define and distinguish between the concepts of domestic and national economic transactions, and to consider the nature of a tourist agent. Put simply, the concept of domestic relates to transactions occurring within the confines of a domestic territory (that is, within political frontiers) regardless of who is involved in the transaction, whereas national relates to transactions undertaken by resident economic agents wherever these transactions occur. Thus a national concept may be more appropriate for a country which has a number of residents living and working abroad, or which owns and receives a substantial volume of income from investments in foreign countries.

Given this, tourism transactions may be classified and defined. The World Tourist Organisation in The Determination of the Importance of Tourism as an Economic Activity within the Framework of the National Accounting System defines three concepts of tourism as follows:

• International tourism: tourism in the country’s domestic territory by non-resident tourism agents and in the rest of the world by resident tourism agents. International tourism as defined by the World Tourist Organisation includes two sub-categories: foreign tourism, i.e. tourism within the country’s domestic territory by non-resident agents; and tourism abroad, i.e. tourism in the rest of the world by resident tourism agents.

• Domestic tourism: tourism within the country’s domestic territory by resident and non-resident tourism agents.

• National tourism: tourism in the country’s domestic territory and the rest of the world by resident tourism agents.

The World Tourist Organisation also defines the type and nature of tourism agents (ignoring short-term tourists or excursionists) as follows:

• Foreign visitors or visitors from outside the country:

Characteristically, visitors from outside the country:

1) are non-resident agents in the country visited; and

2) do not receive remuneration in the country visited.

Such visitors are defined as,

Persons not residing in the country, irrespective of nationality, who enter the country for purposes other than to earn remuneration in the country visited.

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• National tourists

Such persons are defined as:

Persons residing in the country, irrespective of nationality, who travel to a place situated within the country but other than their usual place of residence, for a period of at least twenty-four hours, or who spend at least one night there, for purposes other than to earn remuneration in the place visited. (In Australia, it is usual to include in this definition a requirement that a journey of at least 40km takes place.)

• National visitors abroad

The two essential characteristics of such persons are that they:

1) are resident agents travelling outside the domestic territory of their country of residence; and

2) receive no remuneration in the country visited.

They are defined as follows:

Persons resident in the country, irrespective of nationality, travelling to one or more other countries for reasons other than earning remuneration in the country or countries visited.

A critical point to note from these definitions is that tourist agents do not engage in activity outside their domestic territory (or in the case of excursionists, outside their neighbourhood), which could result in remuneration being earned. This means that they do not engage in productive activity nor do they engage in accumulation, in the sense that they purchase capital goods for use in the country they are visiting, except possibly for the purchase of real estate (although this is more likely to be an investment transaction, rather than one relating to tourism). Tourism agents clearly are engaged in a consumption form of activity. That is, they purchase goods and services, such as clothing, souvenirs and minor household durables, which are consumed immediately and cannot be accumulated or used again in a subsequent time period.

Accumulation transactions are defined by the World Tourist Organisation to be tourism gross fixed capital formation, and do not represent direct selling to tourists, but rather represent investment expenditure on physical assets which are used to provide facilities or infrastructure for tourists. However, these transactions can also be classified, more appropriately, by industries of sale or purchase (e.g. construction or recreation). If such expenditures are to be classified as tourism transactions, care must be taken to ensure that they are not double counted as investment expenditure by standard industries.

The essential characteristics of tourism transactions are that they are both consumption transactions and balance of payments transactions (i.e. when tourism transactions involve foreigners or agents from outside the domestic territory where the transactions take place). There are three basic types of tourism transaction: tourism exports, or sales to non-resident tourists within a domestic territory; tourism imports, or sales to resident tourists outside the domestic territory; internal tourism consumption expenditures, or sales to resident tourists within the domestic territory.

Notes on formulae used

Changes

Last quarter

Change in a variable from one quarter to the next, e.g. the change from June quarter 2007 to September quarter 2007. This is only appropriate in the cases of seasonally adjusted and trend estimates. In the tables, this item is referred to as “quarterly percentage change”.

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Queensland State Accounts, September Quarter 2007

Same quarter last year

Change in a variable from one quarter to the same quarter in the following year, e.g. the change from September quarter 2006 to September quarter 2007. This provides a measure of annual change. In the tables, this item is referred to as “annual percentage change—quarterly”.

Year-average

Change in a variable from one set of four continuous quarters to the same four quarters in the following year, e.g. the change from the sum or average of December quarter 2005, March quarter 2006, June quarter 2006 and September quarter 2006 to the sum or average of December quarter 2006, March quarter 2007, June quarter 2007 and September quarter 2007. This also provides a measure of annual change. This item is only contained in the summary tables.

Contribution to growth

The contribution of a component of an aggregate series to change in the aggregate from one period to another is give by the formula:

where C_i,t is the percentage point contribution to the change in the aggregate series from time period t-1 to time period t, caused by the change in the i^th component of the aggregate series. Series calculated this way are referred to as “quarterly contribution to growth”.

It should be noted that contributions are also calculated for the change from time period t-4 to time period t. Series calculated this way are referred to as “annual contribution to growth—quarterly”.

Definitions and source notes

These definitions and notes have been constructed from the point of view of the Queensland State Accounts, rather than the Australian National Accounts; that is, they relate to the case of Queensland or to the Rest of Australia, rather than the nation as a whole.

Chain Volume Measures

The chain volume measures appearing in this issue are annually reweighted chained Laspeyres indexes referenced to the current price in a reference year, currently 2005-06. Chained Laspeyres volume measures are compiled by linking together (compounding) movements in volumes, calculated by using the average prices of the previous financial year, and applying the compounded movements to the current price estimates of the reference year. Quarterly chain volume estimates are benchmarked to annual chain volume estimates, so that the quarterly estimates for a financial year sum to the corresponding annual estimate.

Chain volume measures are not generally additive. They do not sum in total, in the way original current price components do. To minimise this impact, the ABS uses the year preceding the last full financial year as the reference year. This approach means that the chain volume measures are additive in the reference year (2005-06) and the quarters following the reference year. However, the chain volume measures are not additive in the quarters preceding the reference year.

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Compensation of employees

This term replaces the term “wages, salaries and supplements”. Compensation of employees is the total remuneration, in cash or in kind, payable by an enterprise to an employee in return for work done by the latter during the accounting period.

Gross operating surplus and gross mixed income

Gross operating surplus is a measure of the surplus accruing to owners from processes of production before deducting any explicit or implicit interest charges, rent or other property income payable on financial assets required to carry on the production and before deducting consumption of fixed capital.

Mixed income is the term reserved for the surplus accruing to owners of unincorporated enterprises from the process of production (as defined for gross operating surplus). It was previously described as gross operating surplus—unincorporated enterprises.

The Office of the Government Statistician uses indicators of activity to estimate Queensland’s share of the five components of Australia’s gross operating surplus and mixed income. Since March quarter 2001, State data from the ABS publication Business Indicators: Australia has been used to estimate these shares. These estimates are benchmarked to the annual ABS estimates contained in Australian National Accounts, State Accounts (ABS 5220.0), apart from years 2002-03 to 2006-07 (refer to note in Methodological Issues above).

Gross State product at factor cost

The sum of compensation of employees, gross operating surplus and gross mixed income.

Taxes less subsidies on production and imports

This term replaces the term “indirect taxes less subsidies”. It consists of ‘taxes less subsidies on products’ and ‘other’ taxes/subsidies on production. Taxes/subsidies on products are payable on goods and services when they are produced or sold by their producers and include taxes/subsidies and duties/subsidies on imports. Other taxes on production consist mainly of taxes on the ownership or use of land, building or other assets used in production, or labour employed or compensation of employees paid.

The Queensland State Accounts estimate is compiled using data on State and local government taxes and subsidies on production and imports and an estimate of Commonwealth taxes and subsidies on production and imports levied in Queensland.

Statistical discrepancy (I) and (E)

In line with the ABS practice, an explicit statistical discrepancy has been retained in the Queensland State Accounts. This discrepancy is allocated between the income and expenditure estimates to provide a unique measure of quarterly current gross state product. This is pro-rated from the national estimates to Queensland using gross state product. However, in the Queensland State Accounts the statistical discrepancy (E) has been recorded as a component of gross State expenditure and gross Rest of Australia expenditure.

Gross State product

The estimates of gross state product (GSP) are produced by summing the income components of gross state product: compensation of employees, gross operating surplus, gross mixed income, and taxes less subsidies on production and imports. The expenditure estimate of GSP comprises the summation of household and government consumption, as well capital formation, change in inventories and exports less imports, which in turn is balanced against the income components of GSP (i.e. the expenditure approach).

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Queensland State Accounts, September Quarter 2007

The method used to obtain the chain volume estimate of GSP could be best described as ‘indirect’ as the only current price estimate of GSP available is obtained by aggregating the incomes accruing from production (i.e. the income approach). It is not possible to satisfactorily deflate such incomes to produce chain volume estimates because they do not comprise readily identifiable price and quantity elements. Consequently, the chain volume estimate of GSP is derived using the expenditure approach.

Household final consumption expenditure

The sum of internal and external consumption expenditure.

Differences between the Australian National Accounts, National Income, Expenditure and Product and the Queensland State Accounts are due primarily to differences in the estimates of net interstate and overseas expenditure by tourists.

Internal consumption expenditure

Outlays, by State resident households and State resident producers of private non-profit services to households, on new durable and non-durable goods and services, less net sales of second-hand goods, within the domestic territory of the State.

This is largely based on the ABS estimate in the Australian National Accounts, National Income, Expenditure and Product.

External consumption expenditure

Outlays, by State resident households on new durable and non-durable goods and services outside the domestic territory of the State. These are expenditures by Queensland resident households engaged in tourism activity interstate or overseas.

These estimates are formed from data contained in the Bureau of Tourism Research National Visitor Survey and the ABS Balance of Payments.

Private gross fixed capital formation

The total value of private sector producers’ acquisitions, less disposals of fixed assets during the accounting period plus certain additions to the value of non-produced assets realised by the production activity of institutional units.

This is formed by the addition of the components of private investment: dwellings construction, other buildings and structures construction, machinery and equipment, livestock, intangible fixed assets and ownership transfer costs. Definitions of these components may be found in ABS Information Paper, Implementation of Revised International Standards in the Australian National Accounts.

Estimates of these components are generally taken from the ABS estimates in the Australian National Accounts, National Income, Expenditure and Product.

General government final consumption expenditure

Net expenditure on goods and services by government authorities, except those classified as public enterprises, which does not result in the creation of fixed assets or inventories or in the acquisition of land and

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existing buildings or second-hand assets. Expenditure on defence assets that are used in a similar fashion to civilian assets is now classified as gross fixed capital formation. Expenditure on weapons of destruction and weapon delivery systems is still classified as final consumption expenditure.

Estimates of these components are generally taken from the ABS estimates in the Australian National Accounts, National Income, Expenditure and Product apart from 1999-2000 due to, the Office of the Government Statistician treating differently from the ABS the $1.1 billion abnormal return on QSuper trust assets in the current price estimate of government final consumption expenditure.

General government gross fixed capital formation

Expenditure on new fixed assets plus net expenditure on second-hand assets whether for additions or replacements (other than weapons of destruction and weapon delivery systems).

Estimates of these components are generally taken from the ABS estimates in the Australian National Accounts, National Income, Expenditure and Product, apart from the past four quarters where revised data for State government capital formation were used.

Public enterprises gross fixed capital formation

Expenditure on new fixed assets plus net expenditure on second-hand fixed assets and including both additions and replacements.

Estimates of these components are generally taken from the ABS estimates in the Australian National Accounts, National Income, Expenditure and Product, apart for the past four quarters. This reflects revised data on capital formation by State public enterprises.

Changes in inventories

This term replaces the existing term “stocks”. Inventories consist of materials and supplies, work-in-progress, finished goods and goods for resale, and includes all inventories held by government.

Estimates of these components are made by allocating the national inventory activity identified in the ABS estimates in the Australian National Accounts, National Income, Expenditure and Product to Queensland.

Gross state expenditure

The sum of household final consumption expenditure, general government final consumption expenditure, private gross fixed capital formation, public enterprises gross fixed capital formation, general government gross fixed capital formation, change in inventories and the statistical discrepancy (E).

Exports of goods and services, overseas

Sum of exports of goods overseas and exports of services overseas.

Exports of goods, overseas

All transfers of ownership of goods from Queensland residents to residents of overseas countries.

Exports of services, less tourism services, overseas

Sales of services provided by Queensland resident producers to residents of overseas countries, excluding sales to overseas residents visiting Queensland for tourism purposes.

This is estimated for Queensland by calculating its share from the ABS Balance of Payments.

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Queensland State Accounts, September Quarter 2007

Exports of tourism services, overseas

Sales of services provided by Queensland resident producers to residents of overseas countries visiting Queensland for the purpose of holiday or visiting friends or relatives.

This is estimated using data from the BTR International Visitor Survey and ABS Overseas Arrivals and Departures 3401.0.

Exports of goods and services, interstate

Sum of exports of goods interstate and exports of services interstate.

Exports of goods and services, less tourism services, interstate

The sum of the transfers of ownership of goods from Queensland residents to residents of other States, and the sales of services provided by Queensland resident producers to residents of other States, excluding sales to residents of other States visiting Queensland for tourism purposes.

This is estimated from the ABS Interstate Trade Survey. Exports of goods are estimated by broad commodity group.

Exports of tourism services, interstate

Sales of services provided by Queensland resident producers to residents of other States visiting Queensland for the purpose of holiday or visiting friends and relatives.

This is estimated using a combination of results from the BTR National Visitor Survey, and BTR Domestic Tourism Monitor, expenditure figures derived using a combination of the Domestic Tourism Expenditure Surveys (1982, 1992), and Queensland Travel and Tourism Corporation’s Queensland Visitors Survey.

Imports of goods and services, overseas

Sum of imports of goods overseas and imports of services overseas.

Imports of goods, overseas

All transfers of ownership of goods from residents of overseas countries to Queensland residents.

Prior to September quarter 1988, estimates in current prices were obtained from the ABS by broad commodity group. The chain volume measures are calculated by deflating the commodity group using national implicit price deflators. From September quarter 1988, the State current price series are obtained from the ABS Foreign Trade by two digit SITC. The chain volume measure is estimated using the national two-digit SITC implicit price deflator. Adjustments to imports of goods, overseas have been also made to Queensland civil aircraft imports to match the corresponding investment series produced by the ABS.

Imports of services, less tourism services, overseas

Sales of services provided by residents of overseas countries to Queensland residents, excluding sales to Queensland residents visiting overseas countries for tourism purposes.

This is estimated for Queensland by calculating its share from the ABS Balance of Payments.

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Imports of tourism services, overseas

Sales of services provided by residents of overseas countries to Queensland residents, visiting overseas countries for tourism purposes.

This is estimated for Queensland by calculating its share from the ABS Balance of Payments.

Imports of goods and services, interstate

Sum of imports of goods interstate and imports of services interstate.

Imports of goods and services, less tourism services, interstate

The sum of the transfers of ownership of goods from residents of other states to Queensland residents, and the sales of services provided by residents of other states to Queensland residents, excluding sales to Queensland residents visiting those other states for tourism purposes. This is estimated from the ABS Interstate Trade Survey.

The imports of goods are estimated by broad commodity groups.

Imports of tourism services, interstate

Sales of services provided by resident producers of other states to Queensland residents visiting those other states for tourism purposes.

This is estimated using a combination of results from the Bureau of Tourism Research’s National Visitor’s Survey and expenditure figures derived using a combination of the Domestic Tourism Expenditure Surveys (1982, 1992) and the former Queensland Travel and Tourism Corporation’s Queensland Visitor Survey.

Expenditure on gross state product

The sum of gross state expenditure and exports of goods and services, less imports of goods and services.

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