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TABLE OF CONTENTS

Worksheet
name
Data
description

ReadMe

2010 R&D Satellite Account

Table 1.1

Real Gross Domestic Product and Real Gross Domestic Product With R&D Treated as Investment, 1998-2007

Table 1.2

Gross Domestic Product and Gross Domestic Product With R&D Treated as Investment, 1998-2007

GDP, GDI,
National
Table 1.3
Saving, Returns Table 1.4

Input Price
Indexes

Gross Domestic Income and Gross Domestic Income With R&D Treated as Investment, 1998-2007
National Saving and National Saving With R&D Treated as Investment as a Percent of Adjusted Gross National Income, 1998-2007

Table 1.5

Aggregate Returns to R&D Assets, 1998-2007

Table 2.1

Investment in R&D by Type of Funder, 1998-2007

Table 2.2

Real Investment in R&D by Type of Funder, 1998-2007

R&D Investment,
Table 2.3
Net Stock,
Depreciation by Table 2.4
Funder
Table 2.5

R&D Output by
Performer

Description

Current-Cost Net Stock of R&D by Type of Funder, 1998-2006


Real Net Stock of R&D by Type of Funder, 1998-2007
Current-Cost Depreciation of R&D by Type of Funder, 1998-2007

Table 2.6

Real Depreciation of R&D by Type of Funder, 1998-2007

Table 3.1

Domestic R&D Output by Performer, 1998-2007

Table 3.2

Real Domestic R&D Output by Performer, 1998-2007

Table 4.1

Aggregate Input Price Indexes for R&D Investment, 1998-2007

Table 4.2

Alternative Price Indexes for R&D Investment, 1998-2007

2010 R&D Satellite Account


ReadMe File
This single Excel file contains the research and development (R&D) data
for 1998-2007, which were released on June 30, 2010.
Description of data:
The R&D Satellite Account tables present the aggregated investment
measures for R&D shown by major performer and by major source of funding.
The stocks of R&D, the accumulation of investment after adjusting for
their loss in value over time, are presented by major source of funding.
Additionally, the impact of the capitalization of R&D on Gross Domestic
Product, Gross Domestic Income and National Savings are reported for 2
different price scenarios.

The data are disaggregated into two major institutional categories:


Private and government (public) organizations. Several subcategories are
also included. Private organizations consist of businesses; private
universities and colleges; private hospitals, charitable foundations, and
other nonprofit institutions serving households; and most Federally Funded
Research and Development Centers (FFRDCs).
Government organizations
consist of the Federal Government, state and local governments (excluding
universities and colleges), public universities and colleges, and FFRDCs
administered by state and local governments, primarily public universities
and colleges.

Source:

All estimates of current-dollar R&D investment are prepared by first


compiling data available from the various NSF surveys and then adjusting
these data to be statistically and conceptually consistent with BEA
definitions in the NIPAs.
Performer-based estimates of real R&D expenditures are derived by
deflating the most detailed current-dollar expenditures by appropriate
price indexes. BEA develops real R&D capital stocks by treating the R&D
expenditures as investment and cumulating them based on methodologies
which BEA uses for other types of fixed assets.

The estimates on this spreadsheet are not copyrighted.


Comments or questions about these data should be directed to the Office of
Associate Director for Industry Accounts:
Telephone:
(202) 606-5307
E-mail:
industrysatellites@bea.gov
Address all correspondence to:
Office of Associate Director for Industry Accounts, BE-9
Bureau of Economic Analysis
U.S. Department of Commerce
Washington DC 20230

Table 1.1. Real Gross Domestic Product and Real Gross Domestic Product With R&D Treated as Investment, 1998-2007
1998
1999
2000
2001
2002
GDP (from the NIPAs)
Adjusted GDP, with R&D adjusted by:1
Input cost index
Aggregate output price index
Input cost index
Aggregate output price index

Millions of chained (2005) dollars


10,283,516
10,779,849
11,225,977

11,347,156

11,552,973

2003

11,840,700

2004
12,263,814

20052
12,638,375

2006
12,976,249

2007
13,254,059

10,611,077
11,121,085
11,580,486
11,697,412
11,890,997
12,181,009
12,607,150
12,995,805
13,350,857
13,647,272
10,485,978
11,008,905
11,483,564
11,619,639
11,826,860
12,129,552
12,568,501
12,967,276
13,334,013
13,648,430
Percent increase in GDP (net effect of all adjustments)
3.2
3.2
3.2
3.1
2.9
2.9
2.8
2.8
2.9
3.0
2.0
2.1
2.3
2.4
2.4
2.4
2.5
2.6
2.8
3.0

GDP Gross domestic product


NIPAs National income and product accounts
R&D Research and development
1. Adjusted GDP incorporates the impact of treating R&D as investment and the removal of the R&D software investment double-count.
2. The 2005 chained-dollar values do not match the 2005 current-dollar values because of rounding adjustments.
NOTE. Percent increase is the adjustment to GDP calculated as a percent of unadjusted GDP from the NIPAs.

Table 1.2. Gross Domestic Product and Gross Domestic Product With R&D Treated as Investment, 1998-2007
1999
2000
2001
2002
1998
Millions of dollars
GDP (from the NIPAs)
8,793,495
9,353,484
9,951,482
10,286,167
10,642,316

2003

2004

2005

2006

2007

11,142,143

11,867,753

12,638,381

13,398,917

14,077,628

Adjusted GDP (with CFC adjusted by):


Input cost index
Aggregate output price index

11,457,604
11,430,984

12,198,094
12,170,386

12,995,811
12,967,282

13,787,661
13,759,058

14,503,538
14,473,946

2.8
2.6

2.8
2.6

2.8
2.6

2.9
2.7

3.0
2.8

Input cost index


Aggregate output price index

9,060,135
9,635,946
10,255,194
10,593,379
10,946,496
9,036,483
9,611,249
10,229,882
10,567,376
10,920,572
Percent increase in GDP (net effect of all adjustments)
3.0
3.0
3.1
3.0
2.9
2.8
2.8
2.8
2.7
2.6

CFC Consumption of fixed capital


GDP Gross domestic product
NIPAs National income and product accounts
R&D Research and development
1. Adjusted GDP incorporates the impact of treating R&D as investment and the removal of the R&D software investment double-count.
Differences based on price indexes are due to the effect of the price indexes on current-cost depreciation.
NOTE. Percent increase is the adjustment to GDP calculated as a percent of unadjusted GDP from the NIPAs.

Table 1.3. Gross Domestic Income and Gross Domestic Income With R&D Treated as Investment, 1998-2007
1998
1999
2000
2001
2002

2003

2004

2005

2006

2007

GDI (from the NIPAs)


Adjusted GDI:1
Input cost index
Aggregate output price index

8,878,816

9,424,551

10,085,468

10,389,521

10,664,388

11,125,532

11,875,602

12,718,041

13,619,489

14,092,456

9,145,456
9,121,804

9,707,013
9,682,316

10,389,180
10,363,868

10,696,733
10,670,730

10,968,568
10,942,644

11,440,993
11,414,373

12,205,943
12,178,235

13,075,471
13,046,942

14,008,233
13,979,630

14,518,366
14,488,774

Input cost index


Aggregate output price index

3.0
2.7

3.0
2.7

3.0
2.8

3.0
2.7

2.9
2.6

2.8
2.6

2.8
2.5

2.8
2.6

2.9
2.6

3.0
2.8

GDI
Gross
domestic
income
NIPAs
National
income
and product
accounts
R&D Research and development
1. Adjusted GDI incorporates the impact of treating R&D as investment and the removal of the R&D software investment double-count.
NOTE. Percent increase is the adjustment, calculated as a percent of unadjusted GDI from the NIPAs.

Table 1.4. National Saving and National Saving With R&D Treated as Investment as a Percent of Adjusted Gross National Income, 1998-2007
1998
1999
2000
2001
2002
2003
2004 2005 2006 2007
National saving

18.6

18.1

17.8

16.2

14.6

13.9

14.4

14.9

15.9

14.4

Adjusted national saving:1


Aggregate output price index

20.6

20.1

19.9

18.4

16.7

16.0

16.5

16.9

18.0

16.6

R&D Research and development


1. Adjusted national saving incorporates the impact of treating R&D as investment and the removal of the R&D software investment double-count.
NOTE. Slight differences in the saving rate are due to the effect of the alternate price indexes on current-cost depreciation.

Table 1.5. Aggregate Returns to R&D Assets, 1998-2007


(Millions of dollars)
1998
Nonprofit institutions serving households:
Net returns
Depreciation
Government:
Net returns
Depreciation

1999

2000

2001

2002

2003

2004

2005

2006

2007

1,650
3,688

1,728
3,912

1,821
4,227

1,788
4,504

1,929
4,882

2,184
5,293

2,436
5,719

2,717
6,219

3,031
6,721

3,380
7,209

28,226
64,092

28,042
64,512

27,957
66,109

26,097
67,208

27,014
70,176

29,710
74,053

32,735
78,998

36,068
85,201

39,740
90,990

43,787
95,933

R&D Research and development


NOTE: Aggregate returns are shown as current-cost values.

Current-cost depreciation is estimated using the aggregate output price index.

Table 2.1. Investment in R&D by Type of Funder, 1998-2007


[Millions of dollars]
1998
239,058
159,647
153,870
24,671
21,857
32,946
74,397
806
4,971
79,411

1999
258,444
177,968
171,841
27,559
25,398
32,589
86,296
879
5,248
80,476

2000
281,543
199,988
193,365
30,119
24,501
41,458
97,288
977
5,646
81,555

2001
292,378
204,182
197,151
32,579
22,858
45,663
96,051
1,066
5,965
88,196

2002
291,985
197,354
189,731
36,345
23,441
43,806
86,139
1,196
6,427
94,631

2003
306,044
203,415
195,432
42,489
28,276
43,670
80,998
1,316
6,667
102,629

2004
321,455
211,708
203,541
50,574
28,536
42,061
82,370
1,410
6,757
109,746

2005
345,313
229,872
221,068
53,894
31,178
44,302
91,693
1,584
7,220
115,440

2006
371,664
251,245
241,774
59,037
32,734
50,508
99,495
1,782
7,688
120,420

2007
405,665
279,997
269,647
77,085
33,998
51,507
107,057
1,951
8,398
125,668

Federal Government extramural

55,543

55,482

53,710

57,580

61,657

67,338

73,993

77,645

81,248

84,736

Federal Government intramural

16,749

17,283

19,377

21,439

23,123

24,988

25,086

26,493

27,034

27,828

2,652
4,467

2,821
4,889

3,021
5,447

3,194
5,983

3,397
6,454

3,619
6,684

3,793
6,875

3,873
7,429

4,082
8,055

4,445
8,659

Total R&D investment


Private
Business
Chemical (NAICS 325)
Transportation (NAICS 336)
Computer and electronic (NAICS 334)
All other for-profit1
Universities and colleges
Other nonprofit institutions serving households
Government

State and local governments


Universities and colleges

NAICS North American Industry Classification System


R&D Research and development
1. "All other for-profit" represents all for-profit business R&D excluding the three industries above.
2. Excludes universities and colleges.

Table 2.2. Real Investment in R&D by Type of Funder, 1998-2007


[Millions of chained (2005) dollars]
Total R&D investment
Private
Business
Chemical (NAICS 325)
Transportation (NAICS 336)
Computer and electronic (NAICS 334)
All other for-profit1
Universities and colleges
Other nonprofit institutions serving households
Government
Federal Government extramural
Federal Government intramural
State and local governments2
Universities and colleges

1998
221,865
148,165
142,803
22,897
20,285
30,576
69,046
748

1999
247,886
170,698
164,821
26,433
24,360
31,257
82,770
843

2000
273,997
194,628
188,183
29,311
23,845
40,347
94,680
951

2001
292,597
204,335
197,298
32,603
22,875
45,698
96,123
1,067

2002
295,275
199,578
191,869
36,755
23,705
44,299
87,110
1,209

2003
311,315
206,919
198,798
43,221
28,763
44,422
82,393
1,338

2004
326,416
214,976
206,683
51,355
28,977
42,710
83,642
1,432

2005
345,313
229,872
221,068
53,894
31,178
44,302
91,693
1,584

2006
367,673
248,547
239,178
58,404
32,382
49,966
98,427
1,763

2007
400,682
276,557
266,335
76,138
33,580
50,875
105,742
1,927

4,613
73,700
51,548
15,545
2,461
4,146

5,033
77,188
53,216
16,577
2,706
4,689

5,494
79,369
52,270
18,857
2,941
5,301

5,970
88,262
57,623
21,455
3,197
5,988

6,500
95,697
62,352
23,384
3,436
6,526

6,782
104,396
68,497
25,418
3,682
6,799

6,861
111,440
75,135
25,473
3,851
6,981

7,220
115,440
77,645
26,493
3,873
7,429

7,605
119,127
80,375
26,744
4,039
7,969

8,295
124,125
83,695
27,486
4,391
8,552

NAICS North American Industry Classification System


R&D Research and development
1. "All other for-profit" represents all for-profit business R&D excluding the three industries above.
2. Excludes universities and colleges.
NOTE. Implemented using the aggregate output price index.

Table 2.3. Current-Cost Net Stock of R&D by Type of Funder, 1998-2006


[Millions of dollars]
Total R&D net stock
Private
Business
Chemical (NAICS 325)
Transportation (NAICS 336)
Computer and electronic (NAICS 334)
All other for-profit1
Universities and colleges
Other nonprofit institutions serving households
Government
Federal Government extramural
Federal Government intramural
State and local governments2
Universities and colleges

1998
1,016,999
620,631
597,228
119,957
89,994
111,617
275,660
3,426
19,977
396,368
282,863
84,349
11,890
17,267

1999
1,081,756
678,879
653,829
130,101
95,001
120,689
308,038
3,651
21,400
402,877
285,719
85,879
12,459
18,821

2000
1,157,542
747,866
720,978
141,436
98,259
136,179
345,103
3,929
22,959
409,676
286,774
89,145
13,125
20,632

2001
1,234,795
812,060
783,171
154,102
99,727
153,218
376,124
4,257
24,632
422,735
292,090
94,055
13,883
22,708

2002
1,311,241
867,563
836,177
170,280
102,379
166,969
396,548
4,692
26,695
443,677
303,121
100,622
14,837
25,097

NAICS North American Industry Classification System


R&D Research and development
1. "All other for-profit" represents all for-profit business net stock of R&D excluding the three industries above.
2. Excludes universities and colleges.
Note: Current-cost stock is estimated using the aggregate output price index.

2003
1,396,933
925,568
891,553
191,425
109,532
179,235
411,361
5,198
28,816
471,365
319,465
108,487
15,937
27,476

2004
1,499,216
992,810
956,036
219,996
116,757
189,838
429,446
5,771
31,003
506,406
342,853
116,391
17,198
29,964

2005
1,614,972
1,071,514
1,031,657
249,573
125,524
201,463
455,098
6,443
33,413
543,458
367,462
124,870
18,412
32,713

2006
1,728,800
1,152,529
1,109,674
279,328
133,377
215,639
481,330
7,160
35,694
576,271
389,487
131,822
19,526
35,435

Table 2.4. Real Net Stock of R&D by Type of Funder, 1998-2007


[Millions of chained (2005) dollars]
Total R&D net stock
Private
Business
Chemical (NAICS 325)
Transportation (NAICS 336)
Computer and electronic (NAICS 334)
All other for-profit1
Universities and colleges
Other nonprofit institutions serving households
Government
Federal Government extramural
Federal Government intramural
State and local governments2
Universities and colleges

1998
959,393
585,477
563,400
113,162
84,897
105,295
260,046
3,231
18,846
373,917
266,841
79,571
11,216
16,289

1999
1,045,108
655,880
631,678
125,693
91,783
116,600
297,602
3,527
20,675
389,228
276,039
82,969
12,037
18,183

2000
1,142,240
737,980
711,447
139,566
96,960
134,379
340,541
3,877
22,656
404,260
282,983
87,967
12,951
20,359

2001
1,242,180
816,917
787,855
155,024
100,323
154,134
378,373
4,282
24,779
425,264
293,837
94,617
13,966
22,844

2002
1,329,909
879,915
848,082
172,704
103,837
169,347
402,194
4,758
27,075
449,994
307,437
102,055
15,049
25,454

NAICS North American Industry Classification System


R&D Research and development
1. "All other for-profit" represents all for-profit business net stock of R&D excluding the three industries above.
2. Excludes universities and colleges.
Note: Real net stock is estimated using the aggregate output price index.

2003
1,419,742
940,680
906,111
194,551
111,320
182,161
418,078
5,283
29,287
479,062
324,681
110,259
16,197
27,925

2004
1,510,698
1,000,414
963,358
221,680
117,651
191,292
432,735
5,815
31,240
510,285
345,479
117,282
17,330
30,194

2005
1,606,254
1,065,729
1,026,088
248,226
124,846
200,375
452,641
6,408
33,233
540,524
365,479
124,196
18,313
32,537

2006
1,708,899
1,139,261
1,096,901
276,112
131,842
213,157
475,789
7,078
35,283
569,638
385,004
130,305
19,302
35,027

2007
1,827,724
1,228,717
1,183,255
317,690
138,668
224,664
502,233
7,799
37,663
599,007
404,671
136,184
20,468
37,684

Table 2.5. Current-Cost Depreciation of R&D by Type of Funder, 1998-2007


[Millions of dollars]
Total R&D depreciation
Private
Business
Chemical (NAICS 325)
Transportation (NAICS 336)
Computer and electronic (NAICS 334)
All other for-profit1
Universities and colleges
Other nonprofit institutions serving households
Government
Federal Government extramural
Federal Government intramural
State and local governments2
Universities and colleges

1998
161,053
96,961
93,273
13,546
17,681
19,164
42,882
543
3,145
64,092
45,838
13,652
1,899
2,703

1999
169,079
104,567
100,655
14,494
18,218
20,802
47,141
571
3,341
64,512
45,892
13,740
1,966
2,914

2000
181,736
115,627
111,400
15,864
19,181
23,189
53,166
617
3,610
66,109
46,574
14,241
2,082
3,211

2001
192,512
125,304
120,800
17,133
19,497
25,923
58,247
661
3,843
67,208
46,734
14,793
2,181
3,500

2002
205,233
135,057
130,175
18,862
19,967
28,763
62,584
725
4,158
70,176
48,209
15,769
2,326
3,872

2003
217,732
143,679
138,386
21,013
20,919
31,072
65,382
800
4,492
74,053
50,385
16,923
2,491
4,255

2004
231,881
152,883
147,164
23,857
22,301
33,070
67,936
886
4,833
78,998
53,511
18,169
2,677
4,641

NAICS North American Industry Classification System


R&D Research and development
1. "All other for-profit" represents all for-profit business depreciation of R&D excluding the three industries above.
2. Excludes universities and colleges.

2005
249,757
164,556
158,338
27,349
23,983
35,218
71,787
991
5,228
85,201
57,645
19,579
2,890
5,086

2006
267,905
176,915
170,194
30,848
25,662
37,588
76,095
1,105
5,616
90,990
61,510
20,859
3,083
5,538

2007
285,362
189,428
182,219
34,990
27,086
39,858
80,285
1,221
5,988
95,933
64,824
21,876
3,265
5,969

Table 2.6. Real Depreciation of R&D by Type of Funder, 1998-2007


[Millions of chained (2005) dollars]
Total R&D depreciation
Private
Business
Chemical (NAICS 325)
Transportation (NAICS 336)
Computer and electronic (NAICS 334)
All other for-profit1
Universities and colleges
Other nonprofit institutions serving households
Government
Federal Government extramural
Federal Government intramural
State and local governments2
Universities and colleges

1998
149,470
89,988
86,565
12,571
16,409
17,786
39,798
504
2,919
59,482
42,541
12,670
1,762
2,509

1999
162,171
100,295
96,543
13,902
17,474
19,952
45,215
548
3,204
61,877
44,017
13,179
1,885
2,795

2000
176,865
112,528
108,414
15,438
18,667
22,568
51,741
600
3,513
64,337
45,326
13,860
2,026
3,125

2001
192,656
125,398
120,890
17,145
19,512
25,943
58,290
662
3,846
67,259
46,769
14,804
2,182
3,503

2002
207,546
136,579
131,642
19,074
20,192
29,087
63,289
733
4,204
70,967
48,752
15,946
2,353
3,916

2003
221,482
146,153
140,769
21,375
21,279
31,607
66,509
814
4,570
75,329
51,253
17,215
2,533
4,328

2004
235,460
155,243
149,436
24,225
22,646
33,580
68,985
900
4,908
80,217
54,337
18,449
2,718
4,712

NAICS North American Industry Classification System


R&D Research and development
1. "All other for-profit" represents all for-profit business depreciation of R&D excluding the three industries above.
2. Excludes universities and colleges.

2005
249,757
164,556
158,338
27,349
23,983
35,218
71,787
991
5,228
85,201
57,645
19,579
2,890
5,086

2006
265,028
175,015
168,366
30,517
25,387
37,184
75,278
1,093
5,555
90,013
60,850
20,635
3,050
5,478

2007
281,857
187,102
179,981
34,560
26,754
39,368
79,299
1,206
5,915
94,755
64,028
21,607
3,225
5,896

Table 3.1. Domestic R&D Output by Performer, 1998-2007


[Millions of dollars]
Total R&D performance
Private
Business
Universities and colleges
Other nonprofit institutions serving households
Federally funded R&D centers:
Business
Universities and colleges
Other nonprofit institutions serving households
Public
Federal Government
State and local governments1
Universities and colleges
Federally funded R&D centers:
Universities and colleges
R&D Research and development
1. Excludes universities and colleges.

1998
242,519
204,967
182,498
8,263
7,947

1999
262,222
222,536
198,798
8,801
8,353

2000
285,427
241,554
215,326
9,521
9,642

2001
296,181
247,822
219,064
10,347
10,946

2002
296,155
243,230
211,737
11,338
12,148

2003
309,899
252,743
218,838
12,517
12,884

2004
324,618
265,514
229,763
13,597
13,163

2005
347,818
285,578
248,032
14,333
13,904

2006
374,461
310,189
271,943
14,859
13,862

2007
407,513
340,982
301,452
15,435
14,014

2,124
2,983
1,152
37,552
16,749
534
17,587

2,002
2,969
1,612
39,686
17,283
528
19,101

2,011
3,031
2,023
43,873
19,377
531
21,116

2,075
3,225
2,166
48,359
21,439
542
23,208

2,307
3,402
2,297
52,925
23,123
541
25,498

2,526
3,504
2,475
57,156
24,988
582
27,663

2,618
3,742
2,631
59,104
25,086
619
29,380

2,670
3,819
2,821
62,240
26,493
601
31,016

2,696
3,885
2,944
64,271
27,034
616
32,511

2,824
4,069
3,188
66,532
27,828
631
34,054

2,682

2,775

2,850

3,169

3,764

3,923

4,019

4,129

4,110

4,018

Table 3.2. Real Domestic R&D Output by Performer, 1998-2007


[Millions of chained (2005) dollars]
Total R&D performance
Private
Business
Universities and colleges
Other nonprofit institutions serving households
Federally funded R&D centers:
Business
Universities and colleges
Other nonprofit institutions serving households
Public
Federal Government
State and local governments1
Universities and colleges
Federally funded R&D centers:
Universities and colleges
R&D Research and development
1. Excludes universities and colleges.
NOTE. Implemented using the aggregate output price index.

1998
225,077
190,225
169,372
7,669
7,375

1999
251,509
213,444
190,677
8,442
8,011

2000
277,777
235,080
209,555
9,266
9,384

2001
296,402
248,007
219,228
10,354
10,954

2002
299,492
245,971
214,123
11,466
12,285

2003
315,237
257,096
222,607
12,733
13,105

2004
329,628
269,612
233,309
13,807
13,366

2005
347,818
285,578
248,032
14,333
13,904

2006
370,440
306,858
269,023
14,700
13,713

2007
402,508
336,793
297,750
15,245
13,842

1,971
2,768

1,921
2,848

1,957
2,949

2,076
3,227

2,333
3,440

2,569
3,565

2,658
3,800

2,670
3,819

2,667
3,843

2,789
4,019

1,069
34,852
15,545
496
16,322

1,546
38,065
16,577
506
18,320

1,969
42,697
18,857
516
20,550

2,168
48,395
21,455
543
23,226

2,323
53,522
23,384
547
25,785

2,517
58,141
25,418
592
28,140

2,671
60,016
25,473
629
29,834

2,821
62,240
26,493
601
31,016

2,913
63,581
26,744
609
32,162

3,148
65,714
27,486
624
33,635

2,489

2,661

2,773

3,171

3,806

3,990

4,081

4,129

4,066

3,969

Table 4.1. Aggregate Input Price Indexes for R&D Investment, 1998-2007
[Index numbers, 2005=100]
Total R&D investment
Federal extramural
Federal intramural
Non-Federal domestic
Total R&D performance
Private
Business
Universities and colleges
Other nonprofit institutions serving households
Federally funded R&D centers:
Business
Universities and colleges
Other nonprofit institutions serving households
Public
Federal Government
State and local governments1
Universities and colleges
Federally funded R&D centers:
Universities and colleges
R&D Research and development
1. Excludes universities and colleges.

1998
81.5
83.5
77.6
81.4
81.5
82.1
82.4
78.9
78.4

1999
83.0
84.4
79.7
83.1
83.0
83.5
83.7
81.1
80.5

2000
86.1
86.3
82.2
86.5
86.1
86.5
86.7
85.0
85.1

2001
88.2
87.9
84.3
88.7
88.2
88.6
88.8
87.4
87.4

2002
90.5
89.6
87.5
91.1
90.5
90.9
91.1
89.5
88.8

2003
93.1
92.0
91.3
93.7
93.1
93.4
93.6
92.3
91.7

2004
96.4
95.2
96.0
96.9
96.4
96.6
96.8
95.7
95.2

2005
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0

2006
103.7
102.9
103.9
104.0
103.7
103.8
104.0
103.2
102.0

2007
108.3
105.6
107.4
109.2
108.3
108.6
108.8
107.5
106.2

83.3
84.3
84.3
78.8
77.6
79.9
79.0

84.0
85.1
85.0
80.8
79.7
81.8
81.2

86.1
87.0
86.9
84.0
82.2
85.8
85.2

87.9
88.5
88.4
86.2
84.3
88.0
87.6

89.8
90.0
90.0
88.6
87.5
89.1
89.4

92.1
92.2
92.2
91.8
91.3
91.6
92.2

95.2
95.4
95.4
95.7
96.0
95.1
95.6

100.0
100.0
100.0
100.0
100.0
100.0
100.0

103.0
103.2
103.0
103.2
103.9
102.9
102.9

105.9
106.0
105.6
107.1
107.4
106.9
107.1

84.3

84.7

86.7

88.3

90.2

92.1

94.9

100.0

102.0

104.6

Table 4.2. Alternative Price Indexes for R&D Investment, 1998-2007


[Index numbers, 2005=100]
Aggregate output price index
Input price index
R&D Research and development

1998
107.7
81.5

1999
104.3
83.0

2000
102.8
86.1

2001
99.9
88.2

2002
98.9
90.5

2003
98.3
93.1

2004
98.5
96.4

2005
100.0
100.0

2006
101.1
103.7

2007
101.2
108.3

Table 5.1. Investment in R&D by Industry, 1998-2007


(Millions of dollars)
NAICS code
Industry
ALL
All industries1
Own account
Purchased R&D
ALLP

325

3254

3251-53,
3255-56,
3259

334

3341

3342

3344

3345

3343, 3346

336

3361-63

3364

3365-66,
3369

5112

All for-profit industries2


Own account
Purchased R&D
Chemical manufacturing
Own account
Purchased R&D
Pharmaceutical and medicine manufacturing
Own account
Purchased R&D

Chemicals minus pharmaceutical and medicine manufacturing


Own account
Purchased R&D
Computer and electronic product manufacturing
Own account
Purchased R&D
Computer and peripheral equipment manufacturing
Own account
Purchased R&D
Communications equipment manufacturing
Own account
Purchased R&D
Semiconductor and other electronic component manufacturing
Own account
Purchased R&D
Navigational, measuring, electromedical, and control instruments
manufacturing
Own account
Purchased R&D
Other computer and electronic products manufacturing
Own account
Purchased R&D
Transportation equipment manufacturing
Own account
Purchased R&D
Motor vehicles, bodies and trailers, and parts manufacturing
Own account
Purchased R&D
Aerospace product and parts manufacturing
Own account
Purchased R&D
Other transportation equipment manufacturing
Own account
Purchased R&D
Software publishers

1998
239,058
141,938
97,120
153,870
116,651
37,219
24,671
10,660
14,011
14,969
4,871
10,098

1999
258,444
154,532
103,912
171,841
128,134
43,707
27,559
11,047
16,512
19,142
6,147
12,995

2000
281,543
175,636
105,907
193,365
146,314
47,051
30,119
12,308
17,811
21,367
7,174
14,192

2001
292,378
180,696
111,681
197,151
148,604
48,547
32,579
13,325
19,254
23,963
8,365
15,599

2002
291,985
175,466
116,518
189,731
140,877
48,854
36,345
14,640
21,704
29,077
10,600
18,477

2003
306,044
177,568
128,477
195,432
140,624
54,809
42,489
16,599
25,891
34,588
12,295
22,293

2004
321,455
179,783
141,672
203,541
142,491
61,050
50,574
19,748
30,826
42,282
15,247
27,035

2005
345,313
195,260
150,053
221,068
155,558
65,509
53,894
21,718
32,177
45,199
16,969
28,231

2006
371,664
210,862
160,802
241,774
169,538
72,236
59,037
23,005
36,032
50,816
18,719
32,097

2007
405,665
221,199
184,466
269,647
177,983
91,664
77,085
27,045
50,040
67,449
22,487
44,962

9,702
5,789
3,913
32,946
27,970
4,976
8,152
7,015
1,136
8,600
7,012
1,589
9,538
8,464
1,075

8,417
4,900
3,517
32,589
27,530
5,059
4,106
3,485
620
7,394
5,936
1,458
11,016
9,727
1,289

8,752
5,134
3,618
41,458
35,111
6,347
4,888
4,165
723
13,145
10,707
2,438
12,679
11,239
1,440

8,615
4,960
3,655
45,663
38,443
7,221
3,109
2,617
492
18,526
15,175
3,351
14,780
13,032
1,748

7,268
4,040
3,228
43,806
37,145
6,660
3,728
3,162
566
12,463
10,171
2,292
15,537
13,650
1,887

7,901
4,303
3,598
43,670
36,664
7,006
3,198
2,679
519
11,953
9,676
2,276
16,903
14,720
2,183

8,292
4,501
3,791
42,061
35,085
6,976
5,462
4,601
861
8,765
6,981
1,784
18,027
15,665
2,362

8,695
4,749
3,946
44,302
36,774
7,528
4,751
3,949
802
9,968
8,065
1,903
19,211
16,647
2,564

8,221
4,286
3,935
50,508
41,814
8,694
7,180
5,904
1,276
11,429
9,151
2,278
19,453
16,627
2,826

9,636
4,558
5,078
51,507
41,910
9,598
6,349
5,074
1,275
11,653
9,297
2,355
19,438
16,219
3,220

6,084
4,996
1,089
571
483
88
21,857
16,354
5,502
14,684
10,196
4,488
6,777
5,806
970

9,339
7,765
1,575
733
617
116
25,398
18,407
6,991
19,204
13,175
6,029
5,586
4,686
900

10,446
8,749
1,697
300
251
49
24,501
17,606
6,895
19,629
13,574
6,056
4,170
3,417
753

8,221
6,756
1,465
1,028
863
165
22,858
16,476
6,381
17,633
12,092
5,541
4,364
3,624
739

11,527
9,707
1,820
550
456
94
23,441
17,164
6,277
16,926
11,595
5,331
5,585
4,727
857

10,929
9,023
1,906
687
566
121
28,276
20,631
7,645
19,113
12,811
6,302
8,102
6,863
1,240

8,720
6,941
1,779
1,087
898
189
28,536
20,420
8,116
17,477
11,402
6,074
9,905
7,998
1,907

9,361
7,350
2,010
1,011
763
249
31,178
22,597
8,581
17,942
11,803
6,139
11,894
9,600
2,294

11,362
9,294
2,067
1,084
838
247
32,734
24,043
8,691
18,608
12,237
6,371
12,562
10,527
2,035

13,205
10,651
2,554
863
669
193
33,998
24,413
9,585
18,317
11,646
6,671
13,923
11,461
2,462

396
352
44
9,173

608
546
61
10,777

702
615
87
12,491

861
760
101
13,240

930
842
88
13,512

1,060
956
104
15,954

1,154
1,020
135
16,244

1,342
1,194
148
16,497

1,564
1,279
285
18,605

1,758
1,306
452
19,179

Table 5.1. Investment in R&D by Industry, 1998-2007


(Millions of dollars)
NAICS code
Industry
Own account
Purchased R&D
52-53
Finance, insurance, real estate, rental, and leasing
Own account
Purchased R&D
5415
Computer systems design and related services
Own account
Purchased R&D
5417
Scientific R&D services
Own account
Purchased R&D
All other for-profit industries
Own account
Purchased R&D
Non-profit industries
Own account
Purchased R&D
Government
Own account
Purchased R&D
Federal government
Own account
Purchased R&D
State and local government
Own account
Purchased R&D
NAICS North American Industry Classification System
R&D Research and development
1. Matches total R&D investment in table 2.1.
2. Matches the total for private business in table 2.1.

1998
8,924
249
1,792
1,623
169
2,988
2,665
323
6,091
5,473
618
54,353
42,983
11,370
5,777
3,738
2,039
79,411
21,550
57,861
72,293
16,749
55,543
7,119
4,800
2,318

1999
10,460
317
1,699
1,484
215
4,131
3,684
447
6,746
5,977
769
62,944
49,546
13,398
6,127
3,880
2,247
80,476
22,517
57,958
72,765
17,283
55,482
7,710
5,234
2,476

2000
12,149
342
4,172
3,830
341
5,936
5,351
585
8,922
8,082
840
65,767
51,877
13,890
6,623
4,142
2,480
81,555
25,180
56,375
73,086
19,377
53,710
8,469
5,803
2,666

2001
12,861
379
2,631
2,356
275
11,891
10,792
1,099
9,301
8,404
897
58,987
45,948
13,040
7,031
4,310
2,721
88,196
27,782
60,414
79,019
21,439
57,580
9,177
6,343
2,834

2002
13,119
393
2,147
1,909
238
16,172
14,676
1,496
7,888
6,906
981
46,421
35,317
11,104
7,623
4,654
2,969
94,631
29,935
64,696
84,780
23,123
61,657
9,851
6,812
3,039

2003
15,444
510
1,755
1,483
272
14,666
13,223
1,442
6,903
5,775
1,129
41,720
30,806
10,914
7,983
4,929
3,054
102,629
32,015
70,614
92,326
24,988
67,338
10,303
7,027
3,276

2004
15,698
546
1,933
1,590
343
11,436
10,247
1,189
7,958
6,715
1,243
44,800
32,989
11,811
8,167
4,997
3,171
109,746
32,295
77,451
99,079
25,086
73,993
10,667
7,210
3,458

2005
15,983
514
3,294
2,850
444
13,524
12,007
1,517
8,517
6,845
1,672
49,862
36,784
13,077
8,804
5,431
3,374
115,440
34,270
81,170
104,138
26,493
77,645
11,302
7,777
3,525

2006
17,940
665
2,175
1,781
393
14,342
12,717
1,624
8,723
7,005
1,719
55,650
41,233
14,417
9,470
5,848
3,623
120,420
35,476
84,944
108,282
27,034
81,248
12,138
8,442
3,696

2007
18,138
1,041
2,202
1,787
414
14,824
12,082
2,742
9,925
7,758
2,167
60,928
44,850
16,078
10,349
6,308
4,041
125,668
36,907
88,761
112,564
27,828
84,736
13,104
9,079
4,025

Table 5.2. Real Investment in R&D by Industry, 1998-2007


(Millions of chained (2005) dollars)
NAICS code
Industry
ALL
All industries1
Own account
Purchased R&D
ALLP

325

3254

3251-53,
3255-56,
3259

334

3341

3342

3344

3345

3343, 3346

336

3361-63

3364

3365-66,
3369

5112

All for-profit industries2


Own account
Purchased R&D
Chemical manufacturing
Own account
Purchased R&D
Pharmaceutical and medicine manufacturing
Own account
Purchased R&D

Chemicals minus pharmaceutical and medicine manufacturing


Own account
Purchased R&D
Computer and electronic product manufacturing
Own account
Purchased R&D
Computer and peripheral equipment manufacturing
Own account
Purchased R&D
Communications equipment manufacturing
Own account
Purchased R&D
Semiconductor and other electronic component manufacturing
Own account
Purchased R&D
Navigational, measuring, electromedical, and control instruments
manufacturing
Own account
Purchased R&D
Other computer and electronic products manufacturing
Own account
Purchased R&D
Transportation equipment manufacturing
Own account
Purchased R&D
Motor vehicles, bodies and trailers, and parts manufacturing
Own account
Purchased R&D
Aerospace product and parts manufacturing
Own account
Purchased R&D
Other transportation equipment manufacturing
Own account
Purchased R&D
Software publishers

1998
221,865
131,730
90,135
142,803
108,261
34,542
22,897
9,893
13,004
13,893
4,521
9,372

1999
247,886
148,218
99,667
164,821
122,899
41,921
26,433
10,595
15,838
18,360
5,896
12,464

2000
273,997
170,929
103,068
188,183
142,392
45,790
29,311
11,978
17,333
20,794
6,982
13,812

2001
292,597
180,832
111,765
197,298
148,715
48,583
32,603
13,335
19,268
23,981
8,371
15,611

2002
295,275
177,444
117,832
191,869
142,465
49,404
36,755
14,805
21,949
29,404
10,720
18,685

2003
311,315
180,626
130,689
198,798
143,045
55,753
43,221
16,885
26,337
35,184
12,507
22,677

2004
326,416
182,558
143,859
206,683
144,690
61,993
51,355
20,052
31,302
42,934
15,482
27,452

2005
345,313
195,260
150,053
221,068
155,558
65,509
53,894
21,718
32,177
45,199
16,969
28,231

2006
367,673
208,598
159,075
239,178
167,718
71,460
58,404
22,758
35,646
50,270
18,518
31,753

2007
400,682
218,482
182,200
266,335
175,797
90,538
76,138
26,713
49,425
66,620
22,210
44,410

9,004
5,372
3,632
30,576
25,958
4,618
7,565
6,511
1,055
7,982
6,508
1,474
8,852
7,855
997

8,073
4,700
3,373
31,257
26,405
4,852
3,938
3,343
595
7,092
5,693
1,399
10,566
9,330
1,237

8,517
4,996
3,521
40,347
34,170
6,177
4,757
4,053
704
12,793
10,420
2,373
12,339
10,938
1,401

8,622
4,964
3,658
45,698
38,472
7,226
3,111
2,618
492
18,539
15,186
3,353
14,791
13,042
1,749

7,350
4,086
3,264
44,299
37,564
6,735
3,770
3,198
573
12,603
10,285
2,318
15,712
13,803
1,908

8,037
4,378
3,660
44,422
37,295
7,127
3,253
2,725
528
12,159
9,843
2,316
17,194
14,973
2,221

8,420
4,570
3,850
42,710
35,627
7,083
5,546
4,672
874
8,900
7,088
1,812
18,306
15,907
2,399

8,695
4,749
3,946
44,302
36,774
7,528
4,751
3,949
802
9,968
8,065
1,903
19,211
16,647
2,564

8,133
4,240
3,893
49,966
41,365
8,601
7,103
5,841
1,263
11,306
9,053
2,253
19,244
16,448
2,796

9,518
4,502
5,015
50,875
41,395
9,480
6,271
5,011
1,260
11,510
9,183
2,326
19,199
16,019
3,180

5,647
4,636
1,010
530
448
82
20,285
15,178
5,107
13,628
9,463
4,165
6,289
5,389
901

8,958
7,448
1,510
703
592
111
24,360
17,655
6,705
18,419
12,636
5,783
5,358
4,494
863

10,166
8,514
1,651
292
244
48
23,845
17,134
6,710
19,103
13,210
5,893
4,058
3,326
733

8,227
6,761
1,466
1,029
864
165
22,875
16,488
6,386
17,647
12,101
5,546
4,367
3,627
740

11,657
9,816
1,841
556
461
95
23,705
17,358
6,347
17,117
11,726
5,391
5,647
4,780
867

11,117
9,178
1,939
699
576
123
28,763
20,986
7,777
19,442
13,032
6,410
8,242
6,981
1,261

8,855
7,048
1,807
1,104
911
192
28,977
20,735
8,242
17,746
11,578
6,168
10,058
8,122
1,936

9,361
7,350
2,010
1,011
763
249
31,178
22,597
8,581
17,942
11,803
6,139
11,894
9,600
2,294

11,240
9,195
2,045
1,073
829
244
32,382
23,785
8,598
18,409
12,106
6,303
12,427
10,414
2,013

13,043
10,520
2,523
852
661
191
33,580
24,113
9,467
18,092
11,503
6,589
13,752
11,320
2,432

367
326
41
8,513

583
524
59
10,336

683
599
84
12,156

861
761
101
13,250

941
852
89
13,664

1,079
973
106
16,228

1,172
1,035
137
16,494

1,342
1,194
148
16,497

1,547
1,265
282
18,405

1,736
1,290
446
18,943

Table 5.2. Real Investment in R&D by Industry, 1998-2007


(Millions of chained (2005) dollars)
NAICS code
Industry
Own account
Purchased R&D
52-53
Finance, insurance, real estate, rental, and leasing
Own account
Purchased R&D
5415
Computer systems design and related services
Own account
Purchased R&D
5417
Scientific R&D services
Own account
Purchased R&D
All other for-profit industries
Own account
Purchased R&D
Non-profit industries
Own account
Purchased R&D
Government
Own account
Purchased R&D
Federal government
Own account
Purchased R&D
State and local government
Own account
Purchased R&D
NAICS North American Industry Classification System
R&D Research and development
1. Matches total R&D investment in table 2.2.
2. Matches the total for private business in table 2.2.
NOTE. Implemented using the aggregate output price index.

1998
8,282
231
1,663
1,506
157
2,773
2,473
300
5,653
5,079
574
50,444
39,892
10,552
5,361
3,469
1,893
73,700
20,000
53,700
67,093
15,545
51,548
6,607
4,455
2,152

1999
10,032
304
1,629
1,423
206
3,962
3,534
429
6,470
5,733
737
60,372
47,522
12,851
5,877
3,722
2,155
77,188
21,597
55,591
69,793
16,577
53,216
7,395
5,020
2,375

2000
11,823
333
4,060
3,728
332
5,777
5,208
569
8,683
7,865
818
64,005
50,487
13,517
6,445
4,031
2,414
79,369
24,505
54,864
71,128
18,857
52,270
8,242
5,648
2,594

2001
12,871
380
2,633
2,358
275
11,900
10,800
1,100
9,308
8,410
898
59,031
45,982
13,049
7,036
4,313
2,723
88,262
27,803
60,459
79,078
21,455
57,623
9,184
6,348
2,836

2002
13,267
397
2,171
1,930
241
16,355
14,841
1,513
7,976
6,984
992
46,944
35,715
11,229
7,709
4,706
3,002
95,697
30,272
65,425
85,736
23,384
62,352
9,962
6,889
3,073

2003
15,710
518
1,785
1,508
277
14,918
13,451
1,467
7,022
5,874
1,148
42,439
31,336
11,102
8,121
5,014
3,107
104,396
32,567
71,830
93,916
25,418
68,497
10,481
7,148
3,332

2004
15,940
555
1,963
1,615
348
11,612
10,405
1,207
8,080
6,818
1,262
45,492
33,498
11,994
8,293
5,074
3,219
111,440
32,794
78,646
100,608
25,473
75,135
10,832
7,321
3,511

2005
15,983
514
3,294
2,850
444
13,524
12,007
1,517
8,517
6,845
1,672
49,862
36,784
13,077
8,804
5,431
3,374
115,440
34,270
81,170
104,138
26,493
77,645
11,302
7,777
3,525

2006
17,748
658
2,151
1,762
389
14,188
12,581
1,607
8,630
6,929
1,700
55,053
40,790
14,263
9,369
5,785
3,584
119,127
35,095
84,031
107,119
26,744
80,375
12,007
8,351
3,656

2007
17,915
1,028
2,175
1,765
409
14,642
11,934
2,708
9,803
7,663
2,140
60,180
44,299
15,881
10,222
6,231
3,991
124,125
36,454
87,671
111,181
27,486
83,695
12,943
8,968
3,975

Table 6.1.

Private Industry Value Added and Private Industry Value Added With R&D Treated as Investment, 1998-2007
1998

Current-dollar value added


Unadjusted for R&D as investment1
Adjusted for R&D as investment2
Percent change in value added3

1999

2000

2001

2002

2003

2004

2005

2006

2007

7,296,282
7,441,613

7,776,719
7,936,289

8,284,494
8,462,780

8,531,038
8,712,649

8,767,744
8,941,999

9,148,326
9,325,926

9,761,783
9,944,528

10,424,239
10,622,936

11,060,647
11,280,305

11,603,758
11,849,766

2.0

2.1

2.2

2.1

2.0

1.9

1.9

1.9

2.0

2.1

1999

2000

2001

2002

2003

2004

2005

2006

2007

Percent change from preceding period at annual rates


Current-dollar VA
Unadjusted for R&D as investment
Adjusted for R&D as investment

6.6
6.6

6.5
6.6

3.0
3.0

2.8
2.6

R&D Research and development


1. Corresponds to published values.
2. Adjusted value added incorporates the impact of treating R&D as investment and the removal of the R&D software investment double-count.
3. Calculated as the ratio of the adjustment to unadjusted value added.

4.3
4.3

6.7
6.6

6.8
6.8

6.1
6.2

4.9
5.0

Table 6.2.
(Percent)

Average Annual Effect of Treating R&D as Investment,

Levels and Growth Rates of Gross Output, Intermediate Inputs, and Value Added, 1998-2007

Average annual percent effect on


levels
NAICS code

Average annual growth rates


Gross output

Industry
Gross
output

3254 Pharmaceutical and medicine manufacturing


Nominal
Input price index
Aggregate performers output price index

Intermediate
inputs

Value
added

Unadjusted1

Intermediate inputs

Adjusted for
R&D and for R&D
software
double-count

Unadjusted1

Value added

Adjusted for
R&D and for R&D
software
double-count

Unadjusted1

Adjusted for
R&D and for
R&D software
double-count

8.5

-35.8

43.3

6.4
2.3
2.3

7.1
3.2
3.5

4.9
2.0
2.0

-1.7
-5.3
-7.2

7.8
2.7
2.7

10.4
6.1
7.3

1.3

-1.5

8.7

3.9
0.2
0.2

3.9
0.1
0.2

4.8
-1.3
-1.3

4.8
-1.3
-1.3

2.2
4.6
4.6

2.3
3.9
4.2

4.4

-1.9

12.4

-3.0
14.3
14.3

-3.0
13.2
13.4

-4.8
0.5
0.5

-4.9
0.5
0.5

2.4
40.5
40.5

2.1
34.6
35.3

11.2

-4.2

52.0

-1.1
2.2
2.2

-0.1
2.0
2.5

-2.6
-1.6
-1.6

-3.1
-1.7
-1.9

3.2
13.8
13.8

5.5
8.6
10.1

11.0

-3.3

29.2

-1.3
10.4
10.4

-0.9
9.8
10.2

-3.8
-5.5
-5.5

-4.2
-5.9
-6.0

2.5
45.0
45.0

2.6
34.0
35.3

7.5

-3.1

21.0

4.0
3.8
3.8

4.2
3.8
4.1

2.0
1.2
1.2

1.8
1.1
1.0

6.6
7.3
7.3

7.0
6.9
7.7

3.7

-1.6

12.2

-2.5
-1.2
-1.2

-2.3
-1.2
-1.0

-5.0
-4.8
-4.8

-5.3
-5.0
-5.0

3.1
7.0
7.0

2.7
5.5
6.0

2.6

-1.7

15.8

1.6
1.2
1.2

1.6
1.1
1.2

1.8
0.5
0.5

1.8
0.5
0.4

1.1
3.8
3.8

1.2
3.1
3.7

3.6

-1.7

11.6

4.7
0.2
0.2

4.8
0.4
0.5

4.5
-0.2
-0.2

4.5
-0.3
-0.3

5.5
1.5
1.5

5.6
1.8
2.3

1.8

-0.5

5.7

6.5
4.0
4.0

6.6
4.1
4.2

6.5
3.7
3.7

6.4
3.6
3.6

6.8
4.9
4.9

7.3
5.4
5.6

8.3

-0.8

18.2

9.0
8.4
8.4

8.9
7.8
8.3

11.8
9.9
9.9

11.8
9.8
9.8

8.8
10.0
10.0

8.5
8.4
9.3

3251-53,
3255-56, Chemicals minus pharmaceutical and medicine manufacturing
3259
Nominal
Input price index
Aggregate performers output price index
3341 Computer and peripheral equipment manufacturing
Nominal
Input price index
Aggregate performers output price index
3342 Communications equipment manufacturing
Nominal
Input price index
Aggregate performers output price index
3344 Semiconductor and other electronic component manufacturing
Nominal
Input price index
Aggregate performers output price index
3345

Navigational, measuring, electromedical, and control instruments


manufacturing
Nominal
Input price index
Aggregate performers output price index

3343, 3346 Other computer and electronic products manufacturing


Nominal
Input price index
Aggregate performers output price index
3361-63 Motor vehicles, bodies and trailers, and parts manufacturing
Nominal
Input price index
Aggregate performers output price index
3364 Aerospace product and parts manufacturing
Nominal
Input price index
Aggregate performers output price index
3365-66,
Other transportation equipment manufacturing
3369
Nominal
Input price index
Aggregate performers output price index
5112 Software publishers
Nominal
Input price index
Aggregate performers output price index
52-53 Finance, insurance, real esatte, rental, and leasing

Table 6.2.
(Percent)

Average Annual Effect of Treating R&D as Investment,

Levels and Growth Rates of Gross Output, Intermediate Inputs, and Value Added, 1998-2007

Average annual percent effect on


levels
NAICS code

Average annual growth rates


Gross output

Industry
Gross
output

Nominal
Input price index
Aggregate performers output price index
5415 Computer systems design and related services
Nominal
Input price index
Aggregate performers output price index
5417 Scientific R&D services
Nominal
Input price index
Aggregate performers output price index
All other industries
Nominal
Input price index
Aggregate performers output price index
Non-profit industries
Nominal
Input price index
Aggregate performers output price index
Federal government
Nominal
Input price index
Aggregate performers output price index
State and local government
Nominal
Input price index
Aggregate performers output price index
NAICS North American Industry Classification System
R&D Research and development
1. Corresponds to estimates of gross domestic product by industry.

Intermediate
inputs

Value
added

Unadjusted1

Intermediate inputs

Adjusted for
R&D and for R&D
software
double-count

Unadjusted1

Value added

Adjusted for
R&D and for R&D
software
double-count

Unadjusted1

Adjusted for
R&D and for
R&D software
double-count

0.0

0.0

0.1

7.2
4.7
4.7

7.2
4.7
4.7

9.2
6.4
6.4

9.2
6.4
6.4

6.1
3.8
3.8

6.1
3.8
3.8

3.4

-2.2

6.0

8.4
6.3
6.3

8.6
6.4
6.6

9.9
4.1
4.1

9.5
3.7
3.6

8.0
7.4
7.4

8.5
7.7
8.0

7.8

-3.3

15.1

10.3
6.4
6.4

10.0
5.9
7.7

12.8
9.2
9.2

12.8
9.1
9.0

8.8
4.7
4.7

8.6
4.2
7.0

0.3

-0.2

0.8

5.1
1.9
1.9

5.1
1.9
1.9

5.1
1.5
1.5

5.1
1.5
1.5

5.2
2.2
2.2

5.2
2.2
2.2

0.5

-0.8

1.4

6.4
2.8
2.8

6.4
2.8
2.9

6.1
3.4
3.4

6.0
3.4
3.4

6.6
2.4
2.4

6.6
2.5
2.5

8.3

-0.8

18.2

5.9
2.5
2.5

5.8
1.9
2.8

7.8
5.7
5.7

8.9
6.9
4.7

4.8
0.5
0.5

4.6
0.1
2.2

8.3

-0.8

18.2

5.9
1.8
1.8

6.0
1.8
1.8

6.9
2.6
2.6

6.9
2.6
2.6

5.4
1.4
1.4

5.4
1.4
1.5

Table 7.1A. Gross Output by Industry With R&D Treated as Investment, 1998-2007
(Millions of dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
All industries
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

3344

Semiconductor and other electronic component manufacturing

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

1998
16,133,222
13,723,144
415,979
105,080

1999
17,171,250
14,619,535
423,397
112,851

2000
18,478,206
15,754,987
446,574
121,737

2001
18,745,979
15,842,403
438,257
134,977

2002
19,035,956
15,942,805
463,125
148,993

2003
19,989,789
16,707,654
483,655
159,912

2004
21,426,765
17,963,908
535,956
167,549

2005
23,252,424
19,571,831
595,975
175,926

2006
24,680,575
20,772,634
640,160
188,024

2007
25,901,413
21,767,187
642,561
186,708

310,899
456,147
111,215
91,051

310,546
480,974
107,797
100,813

324,836
536,423
107,188
129,204

303,280
451,912
87,877
111,312

314,132
388,032
73,638
72,832

323,744
391,309
71,810
69,836

368,406
403,479
68,677
67,399

420,049
413,020
73,233
66,419

452,137
431,646
77,667
77,090

455,853
433,042
78,268
71,901

139,739

155,554

176,272

132,856

123,215

129,122

132,670

137,384

134,012

129,536

95,152

99,176

106,171

103,020

101,868

104,205

115,267

118,159

126,245

139,664

18,991
627,523

17,633
683,256

17,588
635,380

16,847
604,893

16,479
640,980

16,335
663,141

19,467
668,727

17,825
702,424

16,631
712,076

13,672
733,644

443,342
148,549

505,733
138,882

477,796
116,508

430,328
134,813

472,929
125,769

495,713
124,484

497,436
124,649

502,832
149,070

502,184
154,869

488,071
183,123

35,633
85,781
2,559,617
130,637
59,267
9,388,193
688,510
1,721,568
571,119
1,150,449

38,640
99,988
2,791,549
157,810
66,063
9,916,499
729,858
1,821,857
591,389
1,230,468

41,076
112,341
3,107,938
179,690
76,758
10,659,883
787,952
1,935,267
620,339
1,314,928

39,752
119,739
3,228,513
184,598
85,978
10,728,513
846,883
2,056,693
650,164
1,406,529

42,282
120,825
3,341,096
179,723
93,855
10,715,169
902,546
2,190,605
709,724
1,480,881

42,944
123,586
3,541,718
176,730
97,076
11,230,440
947,895
2,334,240
782,835
1,551,405

46,642
130,674
3,843,347
176,151
104,067
12,101,506
993,811
2,469,045
846,393
1,622,652

50,522
138,238
4,226,262
191,039
112,515
13,192,358
1,055,700
2,624,894
899,734
1,725,159

55,023
151,850
4,507,157
205,275
123,830
14,000,639
1,126,227
2,781,715
953,135
1,828,579

62,450
163,282
4,717,597
231,111
132,986
14,712,964
1,188,761
2,945,465
997,679
1,947,786

NAICS North American Industry Classification System


R&D Research and development
NOTE. Gross output with R&D treated as investment and the removal of the R&D software investment double-count.

Table 7.1B. Gross Output by Industry With R&D Treated as Investment, 1998-2007
(Millions of chained (2005) dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
All industries
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

1998
19,177,443
16,086,683
534,702
127,536

1999
20,158,735
16,971,023
544,560
134,473

2000
21,078,432
17,796,167
544,471
142,395

2001
21,137,884
17,748,535
531,574
154,886

2002
21,262,035
17,750,685
562,467
167,334

2003
21,687,042
18,108,741
562,685
173,857

2004
22,391,064
18,758,873
588,571
175,798

2005
23,252,424
19,571,831
595,975
175,926

2006
23,785,861
20,041,167
604,179
179,900

2007
24,142,148
20,326,177
586,685
173,400

409,969
268,434
35,624
68,666

412,480
323,197
44,792
79,556

403,766
402,939
51,385
106,993

377,172
382,090
51,930
95,943

395,293
343,949
51,443
65,356

388,260
364,941
57,667
65,716

412,697
390,429
60,091
66,162

420,049
413,020
73,233
66,419

424,295
449,435
91,047
78,504

413,274
475,491
107,328
74,008

3344

Semiconductor and other electronic component manufacturing

65,873

88,513

123,669

114,946

109,107

120,612

129,647

137,384

138,878

145,508

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

96,351

101,345

108,944

106,177

104,035

105,543

116,042

118,159

124,769

136,853

16,234
653,753

15,338
709,501

15,535
654,043

15,253
621,273

15,430
662,621

15,646
682,069

19,149
676,697

17,825
702,424

16,873
705,889

14,166
717,676

442,580
175,676

504,171
162,731

474,778
132,965

429,830
149,875

478,505
138,251

502,658
132,689

499,329
128,485

502,832
149,070

502,952
149,880

483,772
174,241

40,726
79,518
2,965,294
129,598
66,041
11,476,954
863,792
2,228,851
718,925
1,510,335

43,988
92,889
3,197,791
154,038
73,594
11,914,315
892,475
2,291,837
729,884
1,562,709

45,828
102,460
3,493,676
170,412
83,452
12,343,558
928,663
2,346,120
745,261
1,601,674

43,877
109,016
3,587,074
174,337
93,260
12,254,152
964,648
2,422,236
764,428
1,658,692

46,332
112,067
3,609,686
172,280
101,284
12,198,503
1,000,737
2,511,223
803,739
1,708,279

46,511
118,484
3,730,581
172,763
102,939
12,379,502
1,018,781
2,560,116
851,289
1,709,132

48,685
129,676
3,937,298
175,755
107,811
12,755,112
1,033,304
2,599,173
883,161
1,716,067

50,522
138,238
4,226,262
191,039
112,515
13,192,358
1,055,700
2,624,894
899,734
1,725,159

53,011
150,238
4,398,204
202,834
121,786
13,410,386
1,086,967
2,657,852
913,923
1,743,935

58,556
161,503
4,481,333
227,165
127,553
13,555,342
1,113,198
2,702,846
924,398
1,778,403

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

NAICS North American Industry Classification System


R&D Research and development
NOTES. Implemented using the aggregate output price index.
Gross output with R&D treated as investment and the removal of the R&D software investment double-count.

Table 7.2A. Gross Output by Industry Unadjusted for R&D as Investment, 1998-2007
(Millions of dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
All industries
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

3344

Semiconductor and other electronic component manufacturing

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

NAICS North American Industry Classification System


R&D Research and development

1998
15,987,354
13,615,031
405,403
100,235

1999
17,017,398
14,503,671
412,471
106,742

2000
18,305,713
15,623,752
434,414
114,609

2001
18,576,451
15,709,338
425,085
126,660

2002
18,874,218
15,817,404
448,636
138,440

2003
19,829,425
16,584,863
467,232
147,671

2004
21,265,803
17,842,213
516,413
152,366

2005
23,073,576
19,438,644
574,390
159,035

2006
24,481,237
20,625,211
617,198
169,335

2007
25,689,561
21,612,843
615,664
164,256

305,168
429,479
104,621
84,603

305,729
455,314
104,918
95,688

319,804
503,611
103,768
119,494

298,425
415,838
86,028
97,164

310,196
353,246
71,241
63,684

319,561
357,364
70,012
61,338

364,046
371,564
65,102
61,793

415,355
378,466
70,060
58,779

447,863
392,086
72,459
68,454

451,408
393,526
73,808
63,159

131,390

145,992

165,235

120,033

109,774

114,642

117,284

121,057

117,776

113,444

90,342

91,678

97,751

96,603

92,498

95,571

108,778

111,466

117,568

130,089

18,523
612,172

17,038
666,289

17,364
619,544

16,011
590,241

16,050
625,632

15,800
644,604

18,606
650,749

17,105
682,367

15,828
690,314

13,025
711,472

433,183
143,678

492,612
135,541

464,288
114,744

418,304
132,892

461,402
122,738

482,979
119,575

486,125
118,930

491,146
141,824

490,049
146,458

476,517
173,780

35,310
78,772
2,558,329
129,858
53,941
9,347,079
685,211
1,687,111
541,022
1,146,089

38,136
92,280
2,790,547
156,835
60,296
9,869,639
726,465
1,787,261
561,374
1,225,887

40,512
103,574
3,104,700
177,669
68,935
10,611,306
784,384
1,897,577
587,580
1,309,997

39,045
110,362
3,226,767
177,237
77,841
10,685,967
843,312
2,023,801
622,379
1,401,423

41,493
111,176
3,339,794
168,464
87,214
10,683,240
898,704
2,158,111
682,821
1,475,290

42,049
112,140
3,540,934
167,444
91,607
11,203,538
943,472
2,301,090
755,890
1,545,199

45,694
119,640
3,842,573
170,496
97,709
12,073,070
988,827
2,434,763
819,019
1,615,744

49,397
129,762
4,224,191
183,732
106,079
13,159,656
1,050,137
2,584,795
867,480
1,717,315

53,807
141,239
4,505,964
197,075
117,137
13,964,199
1,120,098
2,735,927
916,063
1,819,865

61,174
152,529
4,716,342
223,114
126,750
14,673,447
1,182,212
2,894,505
956,179
1,938,327

Table 7.2B. Gross Output by Industry Unadjusted for R&D as Investment, 1998-2007
(Millions of chained (2005) dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
All industries
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

1998
19,071,699
15,999,973
526,704
124,057

1999
20,035,676
16,870,635
535,739
129,350

2000
20,928,086
17,674,687
533,868
136,058

2001
20,980,327
17,618,427
519,192
147,065

2002
21,108,607
17,626,785
548,510
156,969

2003
21,530,897
17,985,787
546,303
161,589

2004
22,231,398
18,636,437
568,786
160,408

2005
23,073,576
19,438,643
574,390
159,035

2006
23,586,823
19,894,849
581,483
161,434

2007
23,927,546
20,171,470
560,422
151,468

404,374
244,479
32,290
62,426

407,875
297,611
42,426
73,902

398,751
370,045
48,581
97,014

372,122
346,208
49,876
82,187

391,386
309,367
49,034
56,322

384,000
330,699
55,608
57,210

408,278
358,012
56,539
60,431

415,355
378,466
70,060
58,779

420,054
410,227
85,770
69,960

408,888
436,542
103,245
65,341

3344

Semiconductor and other electronic component manufacturing

58,537

79,289

112,057

101,949

95,564

105,900

114,028

121,057

122,823

129,713

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

92,179

94,232

100,786

99,847

94,578

96,778

109,452

111,466

116,179

127,374

15,782
639,929

14,764
693,517

15,277
638,778

14,439
606,668

14,982
647,158

15,096
663,200

18,276
658,434

17,105
682,367

16,076
684,332

13,525
695,709

433,305
171,386

491,647
159,909

461,646
131,653

417,806
148,322

466,856
135,387

489,714
127,724

487,842
122,677

491,146
141,824

490,944
141,546

472,357
164,946

40,508
73,357
2,964,215
129,074
68,412
11,438,584
860,847
2,213,338
706,964
1,506,643

43,555
85,746
3,196,996
153,180
74,447
11,867,446
889,312
2,272,353
714,055
1,558,606

45,322
94,056
3,490,306
168,362
80,507
12,293,932
925,265
2,320,102
723,301
1,597,087

43,185
99,653
3,585,269
166,973
88,661
12,209,792
961,157
2,398,298
744,787
1,653,772

45,545
102,328
3,608,349
161,116
97,855
12,165,774
996,917
2,485,754
783,312
1,702,757

45,602
106,921
3,729,784
163,406
99,632
12,352,210
1,014,307
2,531,581
828,851
1,702,878

47,724
118,499
3,936,514
169,994
102,480
12,726,279
1,028,247
2,567,074
858,024
1,709,069

49,397
129,762
4,224,191
183,732
106,079
13,159,656
1,050,137
2,584,795
867,480
1,717,315

51,807
139,655
4,397,010
194,668
114,790
13,374,334
1,080,908
2,611,222
875,895
1,735,326

57,292
150,663
4,480,071
219,126
119,333
13,516,356
1,106,744
2,649,498
880,347
1,769,104

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

NAICS North American Industry Classification System


R&D Research and development

Table 7.3A. Value Added by Industry With R&D Treated as Investment, 1998-2007
(Millions of dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
Gross domestic product
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

1998
9,036,483
7,441,613
174,645
70,690

1999
9,611,249
7,936,289
180,284
79,349

2000
10,229,882
8,462,780
182,177
83,291

2001
10,567,376
8,712,649
185,589
89,749

2002
10,920,572
8,941,999
205,760
103,888

2003
11,430,984
9,325,926
213,716
114,818

2004
12,170,386
9,944,528
237,171
129,854

2005
12,967,282
10,622,936
236,413
129,702

2006
13,759,058
11,280,305
266,926
146,236

2007
14,473,946
11,849,766
301,661
167,372

103,955
185,424
50,855
32,353

100,935
177,467
40,261
28,977

98,886
211,224
44,906
40,116

95,840
171,533
26,576
35,132

101,872
174,019
29,631
28,133

98,898
177,899
31,262
26,158

107,317
198,526
35,782
25,214

106,711
225,354
40,533
30,010

120,691
248,278
46,210
33,667

134,289
246,772
40,489
38,447

3344

Semiconductor and other electronic component manufacturing

53,585

55,819

69,241

56,346

58,742

62,295

73,439

83,926

89,134

83,256

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

39,246

45,442

50,350

48,273

51,985

51,993

56,283

62,532

70,284

76,639

9,385
187,328

6,968
203,587

6,610
205,928

5,207
198,292

5,528
210,283

6,192
216,825

7,808
210,865

8,354
217,290

8,984
219,506

7,940
229,940

122,560
52,224

132,746
55,490

137,001
52,001

125,249
56,080

138,168
55,659

144,586
55,535

134,969
58,403

130,447
67,641

126,067
72,792

122,798
83,081

12,543
46,914
1,643,447
90,133
40,423
5,073,300
403,478
1,191,392
437,521
753,871

15,352
64,956
1,777,168
102,759
44,277
5,385,791
428,486
1,246,473
447,004
799,469

16,925
54,126
1,939,571
116,297
52,038
5,701,419
457,643
1,309,459
464,868
844,591

16,963
55,085
2,092,019
124,705
56,113
5,829,312
486,027
1,368,700
470,449
898,251

16,456
65,293
2,156,435
122,590
58,328
5,949,292
528,413
1,450,160
505,145
945,015

16,704
68,963
2,244,855
120,382
60,434
6,222,853
565,972
1,539,085
541,577
997,509

17,493
74,025
2,332,546
124,584
65,229
6,701,581
606,441
1,619,417
579,782
1,039,635

19,202
76,708
2,524,110
138,144
71,125
7,133,791
637,174
1,707,173
611,708
1,095,464

20,647
71,595
2,687,356
154,103
76,661
7,555,880
680,210
1,798,543
644,827
1,153,716

24,062
75,436
2,810,007
170,944
80,303
7,934,704
722,068
1,902,112
678,288
1,223,824

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

NAICS North American Industry Classification System


R&D Research and development
NOTE. Value added with R&D treated as investment and the removal of the R&D software investment double-count.

Table 7.3B. Value Added by Industry With R&D Treated as Investment, 1998-2007
(Millions of chained (2005) dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
Gross domestic product
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

3344

Semiconductor and other electronic component manufacturing

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

1998
10,485,978
8,474,223
183,010
83,746

1999
11,008,905
8,951,475
194,732
94,004

2000
11,483,564
9,396,706
198,391
97,790

2001
11,619,639
9,527,020
196,723
103,662

2002
11,826,860
9,666,248
215,052
114,369

2003
12,129,552
9,890,022
220,243
121,495

2004
12,568,501
10,274,468
244,230
133,216

2005
12,967,276
10,622,936
236,413
129,702

2006
13,334,013
10,957,685
259,930
140,187

2007
13,648,430
11,214,109
294,148
157,189

96,743
60,489
5,087
19,461

98,988
76,367
6,529
18,730

99,149
117,219
9,619
28,037

92,638
120,230
8,865
25,135

100,363
133,442
15,132
21,974

98,772
151,337
21,204
22,639

111,022
184,056
28,292
24,108

106,711
225,354
40,533
30,010

119,788
271,390
60,290
35,426

137,118
296,360
68,292
41,112

8,599

14,325

31,307

40,516

43,907

52,303

68,962

83,926

97,011

103,397

39,978

46,460

52,016

49,347

51,881

51,333

55,939

62,532

70,440

76,511

5,998
180,552

4,576
191,234

4,595
191,601

3,806
179,896

4,400
195,867

5,318
202,004

7,313
202,518

8,354
217,290

9,490
230,293

8,759
243,361

102,015
67,235

107,766
69,224

111,943
62,076

101,368
63,021

117,526
61,453

125,233
58,764

124,097
59,997

130,447
67,641

139,214
70,913

138,548
80,694

14,474
38,396
1,928,169
85,626
43,255
6,051,947
539,784
1,510,948
521,764
989,180

17,531
53,518
2,056,076
95,879
47,919
6,302,213
551,912
1,537,872
527,843
1,010,298

18,815
43,823
2,196,074
104,774
55,196
6,514,497
561,068
1,573,060
541,175
1,032,087

18,220
44,409
2,330,433
111,835
59,794
6,508,995
567,961
1,593,611
542,113
1,051,902

17,499
54,494
2,322,830
112,750
62,172
6,583,176
592,467
1,632,173
560,304
1,072,182

17,620
61,801
2,353,808
114,658
63,417
6,730,209
611,917
1,659,942
579,950
1,080,137

18,282
71,733
2,385,397
123,144
67,280
6,999,241
632,174
1,684,456
598,801
1,085,684

19,202
76,708
2,524,110
138,144
71,125
7,133,791
637,174
1,707,173
611,708
1,095,464

20,240
72,048
2,628,491
153,084
76,607
7,268,916
655,199
1,725,292
619,876
1,105,418

23,095
77,933
2,683,940
170,215
78,971
7,377,997
674,525
1,758,309
632,491
1,125,824

NAICS North American Industry Classification System


R&D Research and development
NOTES. Implemented using the aggregate output price index.
Value added with R&D treated as investment and the removal of the R&D software investment double-count.

Table 7.4A. Value Added by Industry Unadjusted for R&D as Investment, 1998-2007
(Millions of dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
Gross domestic product
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

1998
8,793,495
7,296,281
150,058
55,747

1999
9,353,484
7,776,719
152,846
60,244

2000
9,951,482
8,284,494
152,206
61,970

2001
10,286,167
8,531,038
153,163
65,833

2002
10,642,316
8,767,744
169,567
74,858

2003
11,142,143
9,148,326
171,402
80,284

2004
11,867,753
9,761,783
186,801
87,636

2005
12,638,381
10,424,239
182,650
84,580

2006
13,398,917
11,060,647
207,932
95,450

2007
14,077,628
11,603,758
224,725
99,958

94,311
153,780
43,124
24,316

92,601
146,749
36,761
22,394

90,236
172,065
40,762
27,968

87,330
128,239
24,234
17,633

94,709
132,573
26,666
16,693

91,118
136,948
28,944
15,384

99,165
159,635
31,347
17,823

98,071
183,273
36,558
20,467

112,482
200,024
39,725
22,753

124,767
197,657
34,754
27,350

3344

Semiconductor and other electronic component manufacturing

44,162

44,967

56,765

41,774

43,413

45,631

55,691

65,036

70,072

63,944

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

33,347

36,370

40,233

40,390

40,795

41,452

48,016

53,828

59,540

64,510

8,830
166,473

6,257
179,630

6,336
183,197

4,207
177,259

5,005
188,659

5,536
190,642

6,758
184,770

7,384
188,652

7,934
189,053

7,099
198,183

107,913
46,383

113,595
51,249

117,438
49,484

107,684
53,419

121,309
51,770

125,550
49,388

117,583
50,777

112,622
58,101

107,561
62,347

104,573
71,276

12,177
39,656
1,641,989
89,031
34,478
5,020,816
398,140
1,099,074
351,881
747,193

14,786
56,931
1,775,951
101,337
37,742
5,325,533
422,846
1,153,919
361,507
792,412

16,275
45,017
1,935,991
113,691
43,374
5,638,953
451,595
1,215,393
378,399
836,994

16,156
45,330
2,089,998
116,245
47,078
5,773,727
479,734
1,275,395
385,084
890,311

15,579
55,251
2,154,895
109,835
50,706
5,906,259
521,602
1,352,970
416,585
936,385

15,704
57,008
2,243,799
109,653
53,837
6,185,037
558,495
1,435,322
447,295
988,027

16,410
62,445
2,331,428
117,740
57,628
6,661,334
598,286
1,507,684
478,415
1,029,269

17,929
67,719
2,521,596
129,320
63,018
7,088,012
628,238
1,585,904
501,809
1,084,095

19,145
60,319
2,685,771
144,278
68,249
7,505,022
670,459
1,667,812
526,507
1,141,305

22,334
63,643
2,808,338
160,205
71,900
7,879,108
711,479
1,762,392
552,052
1,210,340

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

NAICS North American Industry Classification System


R&D Research and development

Table 7.4B. Value Added by Industry Unadjusted for R&D as Investment, 1998-2007
(Millions of chained (2005) dollars)
NAICS code

325
3254
3251-53,
3255-56,
3259
334
3341
3342

Industry
Gross domestic product
All for-profit industries
Chemical manufacturing
Pharmaceutical and medicine manufacturing

Chemicals minus pharmaceutical and medicine manufacturing


Computer and electronic product manufacturing
Computer and peripheral equipment manufacturing
Communications equipment manufacturing

3344

Semiconductor and other electronic component manufacturing

3345

Navigational, measuring, electromedical, and control


instruments manufacturing

3343, 3346
336
3361-63
3364
3365-66,
3369
5112
52-53
5415
5417

Other computer and electronic products manufacturing


Transportation equipment manufacturing
Motor vehicles, bodies and trailers, and parts
manufacturing
Aerospace product and parts manufacturing
Other transportation equipment manufacturing
Software publishers
Finance, insurance, real estate, rental, and leasing
Computer systems design and related services
Scientific R&D services
All other for-profit industries
Non-profit industries
Government
Federal government
State and local government

NAICS North American Industry Classification System


R&D Research and development

1998
10,283,516
8,353,888
161,502
72,428

1999
10,779,849
8,809,300
169,477
77,519

2000
11,225,977
9,229,659
169,936
78,410

2001
11,347,156
9,348,809
164,571
80,667

2002
11,552,973
9,493,461
178,711
85,522

2003
11,840,700
9,711,491
177,301
86,538

2004
12,263,814
10,090,037
193,132
90,372

2005
12,638,375
10,424,239
182,650
84,580

2006
12,976,249
10,739,900
201,561
89,981

2007
13,254,059
10,969,286
218,310
91,268

87,853
38,668
3,338
11,444

91,073
51,137
4,922
11,443

90,790
81,501
7,397
15,760

84,170
81,169
7,128
10,100

93,107
94,227
12,598
11,183

90,864
111,249
18,683
12,207

102,754
144,814
23,985
16,593

98,071
183,273
36,558
20,467

111,670
223,815
53,778
24,636

127,714
248,676
63,392
30,319

4,272

7,724

20,158

26,800

29,239

35,921

51,041

65,036

78,373

84,793

34,803

37,842

42,236

41,584

40,674

40,705

47,550

53,828

59,797

64,495

5,353
161,241

3,896
168,193

4,190
169,299

2,937
158,628

3,860
173,651

4,643
175,371

6,255
176,007

7,384
188,652

8,454
200,150

7,944
211,969

88,434
61,675

89,978
65,493

93,497
60,174

84,391
60,791

100,516
57,775

106,120
52,548

106,475
52,254

112,622
58,101

120,963
60,557

120,635
68,969

14,204
32,008
1,926,967
84,463
45,456
6,003,434
535,247
1,461,845
479,013
983,561

17,041
45,922
2,055,102
94,214
48,320
6,242,647
546,792
1,479,441
475,908
1,003,958

18,226
35,361
2,192,351
101,804
51,776
6,451,470
555,359
1,507,126
482,475
1,024,993

17,430
35,099
2,328,358
103,324
54,459
6,451,713
561,769
1,519,784
475,461
1,044,173

16,621
44,493
2,321,259
100,252
57,736
6,539,310
585,644
1,549,263
485,562
1,063,583

16,607
49,887
2,352,736
103,930
58,947
6,691,815
604,338
1,564,849
494,274
1,070,541

17,184
60,048
2,384,265
116,172
60,687
6,958,418
623,901
1,576,297
501,131
1,075,168

17,929
67,719
2,521,596
129,320
63,018
7,088,012
628,238
1,585,904
501,809
1,084,095

18,755
60,789
2,626,909
143,310
67,912
7,218,608
645,559
1,593,247
500,113
1,093,153

21,388
66,053
2,682,268
159,472
68,624
7,323,176
664,093
1,614,082
501,594
1,112,560

Table 8. Gross Output, Intermediate Inputs and Value Added for Pharmaceutical and Medicine Manufacturing, Unadjusted and Adjusted for R&D as
Investment, 2007
Line

Steps

Description

2007
(Millions of
dollars)

1 Industry gross output before adjustments


2

Tabulation of BEA GDP-by-industry data, including unpublished


detail1

Plus: Own-account R&D investment, which is


calculated as

164,256
22,487

National Science Foundation (NSF) R&D


Funds for industrial R&D performed in the United States.
expenditures from the Survey of Industrial R&D
(SIRD)2

Plus: Adjustments to account for the full cost (1) A capital consumption adjustment is made to convert
of production and to create a consistent time business depreciation to the national accounting concept-series
consumption of fixed capital (CFC). (2) Expenditures for
Federally funded research and development centers (FFRDCs) are
removed for years when they are included in the industry
performance total.

Less: The cost for R&D performed in company


headquarters (NAICS 551), R&D services
subsidiary establishments, and auxiliary R&D
services establishments (both in NAICS 5417).

This estimate is based on R&D payroll in company headquarters


(NAICS 551) and R&D services subsidiary establishments, and
auxiliary R&D services establishments (both in NAICS 5417),
using unpublished data from the Bureau of the Census and SIRD.

Less: The cost of R&D funded by the Federal


government

Federally funded industry performed R&D adjusted for CFC. 3

(D)

Less: The cost of R&D funded by state and


local (S&L) governments

Total funding estimated in the NIPA-based R&D satellite


account, less an estimate of the gap between funder outlays and
costs.4 Total costs distributed across industries using the
distribution of Federally funded R&D, excluding the aerospace
product and parts manufacturing industry (NAICS 3364) and the
navigational, measuring, electromedical, and control
instruments manufacturing industry (NAICS 3345). These types
of R&D are assumed to be primarily defense related.

(D)

Less: The cost of R&D funded by non-profit


institutions serving households

Assumed to be zero.

Less: The cost of: (1) R&D sold to other


domestic businesses and (2) exported R&D

For both domestic purchases and exports, costs are calculated


for this step using an estimate of the gap between funder
outlays and costs.4 Total R&D sold to other domestic
businesses is estimated with industry purchases from other
domestic for-profit companies. The industry is assumed to sell
R&D in proportion to their performance.5 Cost of exports based
on BEA international services trade data for research,
development, and testing services. 6

10

Plus: R&D expenses to create software that are Special tabulation of BEA own-account software R&D. These
not accounted for in NSF data
expenses are added for time series consistency. They are
removed in the step below in the double-count adjustment.

11

Less: The double-counting of own-account R&D


software investment

Special tabulation of BEA own-account software data.

47,741

1,073

22,377

0
(D)

No adjustment
necessary

35

Table 8. Gross Output, Intermediate Inputs and Value Added for Pharmaceutical and Medicine Manufacturing, Unadjusted and Adjusted for R&D as
Investment, 2007
Line

Steps

Description

2007
(Millions of
dollars)

12 Equals: Gross output adjusted for own-account R&D


as investment
13 Intermediate inputs before capitalization

186,708
Tabulation of GDP-by-industry data, including unpublished
detail.1

14 Less: Total purchased R&D, calculated as the sum


of

64,298
44,962

15 Cost of R&D performed in a company headquarters


(NAICS 551) or R&D services auxiliary (NAICS 5417)
and transferred for use in pharmaceutical and
medicine manufacturing establishments (line 5)

The costs incurred in NAICS 5417 and NAICS 551 establishments,


described in line 5, are transferred as the sum of production
costs. The auxiliary establishment component of NAICS 5417
output is estimated with the ratio of auxiliary output to total
private output of NAICS 5417 data from the Economic Census.

16 Plus: R&D purchased from a R&D services (NAICS


5417) domestic subsidiary for use in
pharmaceutical and medicine manufacturing
establishments (line 5)

These costs are adjusted with an estimate of the gap between


receipts and costs to represent the purchase value of R&D
output.4

9,813

15,488

17 Plus: Purchases of non-science and engineering R&D Total purchases for all industries are based on BEA's annual
from for-profit R&D services establishments (NAICS input-output values. Capitalized R&D should include social
54172)
science R&D and this measure provides a partial estimate. This
industry share is proxied with the distribution of business
purchases of R&D from non-profits and universities and colleges
from SIRD.5

5,930

18 Plus: Industry-funded R&D performed by academic


institutions

Total for all industries from unpublished detail from the NIPAbased R&D satellite account estimate. Industry share comes
from SIRD data on company-funded R&D performed by universities
and colleges.5

1,809

19 Plus: Industry-funded R&D performed by non-profit


institutions serving households

Total for all industries from unpublished detail from the NIPAbased R&D satellite account estimate. Industry share comes
from SIRD data on company-funded R&D performed by non-profit
organizations (other than universities and colleges). 5

643

20 Plus: Industry-funded R&D performed by FFRDCs

Total for all industries from unpublished detail from the NIPAbased R&D satellite account estimate. Industry share assumes
that the same industries purchase R&D from FFRDCs as perform
R&D for the Federal government.

(D)

21 Plus: Industry-funded R&D performed by S&L


governments

Total for all industries from unpublished detail from the NIPAbased R&D satellite account estimate. Industry share is
proxied with SIRD data on company-funded R&D performed by
academic and non-profit organizations. 5

(D)

22 Plus: (1) domestic purchases of R&D from other


for-profit companies and (2) imports of R&D

Industry purchases are estimated based on SIRD data on business


purchases of R&D from other domestic for-profit companies. 5
Industry imports are estimated based on BEA data on
international trade in R&D services. 6

(D)

23 Intermediate inputs including R&D adjustments


(line 13 less line 14)

19,336

24 Value added before adjustments (line 1 less line


13)

Tabulation of BEA GDP-by-industry data, including unpublished


detail.1

99,958

25 Plus: Total R&D investment less the doublecounting of own-account R&D software investment
(line 2 plus line 14 less line 11)

Special tabulation of BEA own-account software data.

67,414

26 Value added including R&D adjustments (line 12


less line 23)
27 Addendum: Total R&D investment including software
R&D (line 2 plus line 14)

167,372
67,449

GDP Gross domestic product


NIPAs National income and product accounts
NAICS North American Industry Classification System
R&D Research and development
SIC Standard Industrial Classification
D Suppressed to avoid disclosure of data from individual companies.
1. BEA GDP-by-industry data are available at <www.bea.gov/industry/gdpbyind_data.htm>.
2. NSF SIRD data are available at <www.nsf.gov/statistics/industry>. Historical data are provided in the Industrial Research and Development
Information System at <www.nsf.gov/statistics/iris>.
3. 2007 SIRD, Table 1.
4. Estimated with the ratio of net operating surplus to gross output for miscellaneous professional, scientific, and technical services (NAICS
5412OP) from BEA's GDP-by-industry data, various years.
5. 2007 SIRD, Table 13.
6. BEA international services trade data are available at <www.bea.gov/international/intlserv.htm>. Industry detail is based on a tabulation of
unpublished data for the years 1998-2007 for both affiliated and unaffiliated trade.

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