Household Production and Consumption in Finland 2001
Household Production and Consumption in Finland 2001
Household Production and Consumption in Finland 2001
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
There are market equivalents to hous<strong>in</strong>g services produced for own use.<br />
Stay<strong>in</strong>g <strong>in</strong> a hotel is perhaps the most complete equivalent, but there are also<br />
partial equivalents. Builders <strong>and</strong> cleaners can be hired to do the ma<strong>in</strong>tenance<br />
work <strong>and</strong> gardeners to do garden<strong>in</strong>g. Even <strong>in</strong>terior decoration is sometimes<br />
be<strong>in</strong>g outsourced, although that is still comparatively rare.<br />
Figures describ<strong>in</strong>g SNA hous<strong>in</strong>g have been drawn from the core national<br />
accounts. These items are calculated on the basis of output. Hous<strong>in</strong>g services<br />
produced by owner-occupiers are valued accord<strong>in</strong>g to the rents of equivalent<br />
rented accommodation. The compilation of satellite accounts grants a certa<strong>in</strong><br />
freedom to adjust <strong>and</strong> modify concepts, <strong>and</strong> that discretion has been exercised<br />
<strong>in</strong> the case of taxes on production. Real estate tax was def<strong>in</strong>ed as a production<br />
tax <strong>in</strong> hous<strong>in</strong>g, even though the core national accounts place it under other<br />
direct taxes. In the allocation of figures from the core national accounts<br />
between different households types, we referred to the correspond<strong>in</strong>g items of<br />
the <strong>Household</strong> Budget Survey (imputed hous<strong>in</strong>g costs). The categories<br />
correspond<strong>in</strong>g to the <strong>in</strong>termediate consumption goods, depreciation of<br />
owner-occupied hous<strong>in</strong>g <strong>and</strong> imputed net rents used <strong>in</strong> the calculation of SNA<br />
hous<strong>in</strong>g services, are shown <strong>in</strong> Appendix 5.<br />
Own-account house construction is valued <strong>in</strong> accordance with Statistics<br />
F<strong>in</strong>l<strong>and</strong>’s def<strong>in</strong>ition as follows 7 : “The value added of own-account construction<br />
is derived from imputed work<strong>in</strong>g hours <strong>in</strong> own-account construction <strong>and</strong> from<br />
the hourly wage <strong>in</strong> build<strong>in</strong>g construction, exclud<strong>in</strong>g employer’s social<br />
<strong>in</strong>surance contributions <strong>and</strong> ancillary wage costs. The share of <strong>in</strong>termediate<br />
consumption is estimated at 65 per cent. S<strong>in</strong>ce no employees’ compensation<br />
<strong>and</strong> no consumption of fixed capital is calculated for own-account<br />
consumption, value added comes out at 35 per cent of output. The output of<br />
own-account construction is the sum of value added <strong>and</strong> <strong>in</strong>termediate<br />
consumption.” Own-account house construction was not divided between<br />
different household types because no relevant classification criteria were<br />
available. Therefore the figure appears only <strong>in</strong> tables for the whole country.<br />
Non-SNA hous<strong>in</strong>g, then, is valued us<strong>in</strong>g the <strong>in</strong>put method (by summ<strong>in</strong>g up<br />
the costs). SNA hous<strong>in</strong>g <strong>and</strong> non-SNA hous<strong>in</strong>g are reported separately.<br />
Travel related to hous<strong>in</strong>g is calculated as a proportion of all travel related to<br />
unpaid work us<strong>in</strong>g the formula based on time use data. In the same way part of<br />
shopp<strong>in</strong>g <strong>and</strong> services are allocated to hous<strong>in</strong>g (see Table 5).<br />
Provid<strong>in</strong>g meals <strong>and</strong> snacks<br />
This function refers to the preparation of meals <strong>and</strong> snacks that are consumed<br />
with<strong>in</strong> the household. In other words, the output of the service is clearly<br />
visible <strong>and</strong> tangible. This pr<strong>in</strong>cipal function also <strong>in</strong>cludes production that is<br />
covered <strong>in</strong> the core national accounts (SNA food) <strong>and</strong> production that is<br />
excluded from these accounts (non-SNA food). SNA food <strong>in</strong> the Satellite<br />
Account <strong>in</strong>cludes agricultural production for own use, thus, <strong>in</strong> addition to<br />
farmers’ production of vegetables, fruits etc. for own consumption, also other<br />
products grown <strong>in</strong> gardens <strong>and</strong> allotments for personal use. Also <strong>in</strong>cluded is<br />
7 Tilastokeskus: Kansantalouden til<strong>in</strong>pidon menetelmäkuvaus, s 76, 2003<br />
National Consumer Research Centre Statistics F<strong>in</strong>l<strong>and</strong> 27