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National Accounts Curaçao 2004-2010

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National Accounts Curaçao 2004-2010
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nationale rekeningen
national accounts
economie
gdp
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serial ( sobekcm )

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Central Bureau of Statistics Curaçao
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National Accounts Curaao 2004 2010 Central Bureau of Statistics Willemstad, 2014

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Colophon Publication Central Bureau of Statistics Section Economic Statistics: R. Dreischor L. Ford M. Duyndam C. Jager J. Mahabali G. Varlack S. Bomberg Address Central Bureau of Statistics Fort Amsterdam z/n, Willemstad, Curaao Tel. (599-9) 4611031 Fax: (599-9) 461-1696 e-mail address: info@cbs.cw Website: www.cbs.cw Copyright Central Bureau of Statistics. The contents of this publication may be quoted, provided that the source is given accurately and clearly. ISBN: 978-99904-1-918-4

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National Accounts of Curaao 2004-2010 Preface National Accounts Curaao offers a source of information for everyone who wishes to be informed about various topics regarding the economic situation of Curaao. The national accounts of Curaao are based on th e concepts and definitions recommended by the UN and IMF in the System of Nati onal Accounts 1993 (SNA1993) as far as the data availability allows it. The system cons ists of a consistent and flexible set of macro-economic accounts, which can be used for economic analysis and policy purposes. This publication contains data for the period 2004-2010. The 2003-2009 data series published in the previous publication have been changed because of an improvement in the data availability. Data have also b een updated because of the new data series from the Census 2011. Revise d CBS population estimates have been used in this publication. Population estimates for the period 2001-2011 have been corrected based on the results of the Census 2011. The data that have been updated are for example data from the government sector, the rest of the world, mid-year population, Gross National Income and Gross National Income per capita. The publication consists of a compilation of sector accounts for Curaao. The result of this publication is not only Gross Domes tic Product (GDP), but also the frequently requested Gross National Income, Gross National Disposable Income, and Saving. In order to familiarize users with the SNA1993, the methodology, concepts and definitions are included in the publication. As a result of the processing of the business survey data and data availability the publication of the National Accounts has been delayed. A special thanks to all contributors who ha ve provided CBS with the necessary data to compile this publication. Drs. S. de Boer, Director Central Bureau of Statistics 1

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National Accounts of Curaao 2004-2010 Contents Preface 1 Summary 4 1. Introduction 5 2. Methodology, concepts, definitions and data sources 6 2.1. Introduction 6 2.2. The sequence of accounts 7 2.2.1. The Production account 8 2.2.2. Distribution and use of income accounts 10 2.2.3. The accumulation accounts 12 2.2.4. The rest of the world account or external transactions account 13 2.2.5 Data sources 13 2.3. Supply and Use Tables and Cross Classification of Industries and Sectors 14 3. Macro economic developments in 2010 15 3.1. Introduction 15 3.2. Gross Domestic Product 15 3.3. Gross National Income 16 3.4. Gross National Disposable Income 17 3.5. Gross Saving 17 3.6. Gross National Income, per capita 18 List of abbreviations 19 Tables and graphs in the text A: Macro aggregates 2009-2010, Curaao 4 B: Gross Domestic Product by expenditure, Curaao 16 C: Gross National Income, Curaao 16 D: Gross National Disposable Income, Curaao 17 Attached tables 1: Total economy, product, income, saving and net lending 21 2: Income per capita 21 3: Product, income, saving and net lending by sector 22 4: Supply and use summary 23 5: Gross Domestic Product by expenditure 23 6: Gross Domestic Product by sector and industry 24 7: Gross Fixed Capital Formation by sector and industry 25 8: Government final consumption expenditure by composition of costs and functions 26 9: Compensation of employees of the government sector by function 27 10: Taxes on production and imports 28 11: Current taxes on income and wealth 28 12: Summary sequence of accounts for non-financial corporations 29 13: Summary sequence of accounts for financial corporations 31 14: Summary sequence of accounts for general government 33 15: Summary sequence of accounts for social security 35 16: Summary sequence of accounts for households and non-profit Institutions serving households 37 17: Summary sequence of accounts for the total economy 39 18: Summary sequence of accounts for the rest of the world 41 2

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National Accounts of Curaao 2004-2010 Annex I. Overview of selected concepts and definitions 44 II. Classification of transactions and other flows 49 Explanatory notes to tables The sum of separate items may not add up to the total due to rounding Data are in million of Antillean Guilders (mln ANG) unless stated otherwise The codes in tables 12 to 18 refer to the classification of transactions and other flows; see also annex II Explanation of symbols: o 0.0 = less than half of the unit chosen o = nil o = no information available o blank = category not applicable 3

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National Accounts of Curaao 2004-2010 Summary This chapter gives a summary of the developments of some macro aggregates for Curaao in 2010 compared to 2009. Table A: Macro-aggregates 2009-2010, Curaao 2009 2010 % change Gross Domestic Product (mln ANG) 5,135.8 5,282.9 2.9 Gross National Income (mln ANG) 5,049.3 5,263.8 4.2 Gross National Disposable Income (mln ANG) 5,515.0 5,414.9 -1.8 Gross Saving (mln ANG) 1045.2 531.4 -49.2 Per capita Gross National Income (ANG) 34,393.6 35,400.7 2.9 From table A it is observed that the nominal growth rate of GDP is about 3 percent in 2010. Gross National Income has increased with more than 4 percent, from 5,049.3 million in 2009 to 5,263.8 million in 2010. The increment of GDP combined with an augmentation in the net primary income received from abroad is the main reason for the GNI growth. The GNDI has decremented with almost 2 percent from 5,515 million in 2010 to 5,414.9 million in 2010. The main reason for this development is the decrease in the net current transfers from abroad. As a result of the decrease in Saving from both government and household sector gross Saving has dropped with almost 50 percent. Gross National Income per capita has increased with almost 3 percent in 2010, due to the fact that the GNI experienced a stronger growth to the population growth. For more information please refer to enclosed tables in this publication (tables 1-18). 4

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National Accounts of Curaao 2004-2010 1. Introduction The system of national accounts of Curaao is based on the concepts and definitions recommended in the SNA1993 manual as far as the data availability allows it. The definitions mentioned in this publication are based on the SNA manual. The SNA1993 provides a comprehensive a ccounting framework, which allows the economic data to be compiled and presente d in a format that is designed for purposes of economic analysis, decision taking and policy-making. Since the accounts are usually compiled for a couple of years, they can also be used for analyzing economic developments over time1. The national accounts publication is largely a publication of tables in which the central framework of the SNA1993 and related analytical tables are presented. As recommended by the SNA1993, the central fr amework of the SNA1993 in Curaao consists of: Integrated Economic Accounts (IEA) in which the full set of accounts of institutional sectors and the rest of the world are presented. The table series 12 to 18 refer to the IEA for Curaao. Supply and Use Tables (SUT) in which the accounts of industries according to kind of economic activity, and the accounts of transactions in goods and services according to type of product ar e integrated. This publication contains a summarized SUT in table 4. Cross-Classification of Industries and Sectors (CCIS ), in which transactions are cross classified by industries and sectors. Table 6 forms part of the CCIS. Table series 1, 2, 3, and 6 to 11 refer to the analytical tables, which contain the macro-aggregates and their underlying details. A description of the methodology, concepts, de finitions and data sources is given in chapter 2 starting with a description of the integrated economic accounts in paragraph 2.2. Paragraph 2.3 contains a description of the Supply and Use Tables. In chapter 3 a brief description of the macroeconomic developments in 2010 is presented. The publication closes with two annexes. The first annex contains an overview of selected concepts and definitions, while th e second annex shows the classification of transactions and other flows. 1 System of National Accounts 1993 manual, page 1 5

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National Accounts of Curaao 2004-2010 2. Methodology, concepts, definitions and data sources 2.1. Introduction The central framework of the System of National Accounts 1993 (SNA1993) of Curaao consists of the integrated ec onomic accounts (IEA), supply and use tables and cross classification of sectors and industries. The IEA is a full set of accounts of resident institutional sectors and the rest of the world. The keywords are: set of accounts and resident institutional sectors. The resident institutional sectors The resident institutional sectors or units distinguished in the System are: the financial corporations sector incl uding quasi corporations (FC); these are corporations engaged in financial intermediation and in auxiliary financial activities. A quasi corporation is an unincorporated enterprise that functions as a corporation in the sense that it has a complete set of accounts consisting of profit and loss accounts and balance sheet s, and must be able to make independent decisions. the non-financial corporations sector including quasi corporations (NFC); these include corporations whose prin cipal activity is the production of nonfinancial market goods or non-financial services; the general government sector with soci al security as a sub-sector (GOV & SOCSEC), whose principal activity consists of: Providing goods and services to the community and to individual households; Financing the provision of goods and services out of taxation or other income; Redistributing income and wealth by means of transfers; Engaging mostly in non-market production. the household sector (HH); this includes not only the persons who engage in consumption but also in production. Th e production units of the households are the sole proprietorship enterprises and partnerships, which are not quasi corporations. According to the Business Census of 1998 about two-third of all one-man businesses and almost all partnerships are quasi corporations. the non-profit institutions serving households sector (NPISH); this includes legal or social entities created fo r the purpose of producing goods and services. The units that establish, contro l or finance them are not permitted to make any profits or have any financial gain. The Central Bureau of Statistics uses the same sector classification as mentioned in the SNA1993. However in the presentation of the results the HH sector and the NPISH sector are grouped together. 6

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National Accounts of Curaao 2004-2010 2.2. The sequence of accounts In general the SNA1993 distinguishes the following accounts2: I. Production account II. Distribution and use of income accounts II.1. Primary distribution of income account II.1.1. Generation of income account II.1.2. Allocation of primary income account II.1.2.1 Entrepreneurial income account II.1.2.2 Allocation of other primary income account II.2. Secondary distribution of income account II.3. Redistribution of income in kind account II.4. Use of income account II.4.1. Use of disposable income account II.4.2. Use of adjusted disposable income account III. Accumulation accounts III.1. Capital account III.2. Financial account III.3. Other changes in assets account IV. Balance sheets V. Rest of the world account V.I. External account of goods and services V.II. External account of primary income and current transfers V.III. External accumulation accounts V.III.1. Capital account V.III.2. Financial account V.III.3. Other changes in assets account V.IV. External assets and liabilities account Given the available data, the accounts in Cu raao consist of account I, account II, account III ( except account III.2 and III.3), and account V ( except account V.III.2, V.III.3 and V.IV) In the following paragraphs th e main features of the accounts regarding Curaao will be described. 2 Figure 2.3. Synoptic presentation of the accounts, balancing items and main aggregates, page 28 System of National Accounts 1993 manual. 7

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National Accounts of Curaao 2004-2010 2.2.1. The Production account The production account of the individual institutional sectors shows output and intermediate consumption of goods and services, with value added as balancing item. The keywords are: output, intermediate consumption and value added. Output Output is divided into: m arket output, output produced for own final use, and other non-market output. Market output Market output is output that is sold at prices that are economically significant or otherwise disposed of on the market or in tended for sale or disposal on the market. Prices are economically significant when they have a significant influence on the amounts the producers are willing to supply and on the amounts purchasers wish to buy, in other words, the prices are determined by the market mechanism. Output produced for own final use This type of output consists of goods or serv ices that are kept for their own final use by the owners of the enterprises in which th ey are produced. Examples in the case of Curaao are the own account investment s, housing services produced for own consumption by owner-occupiers, and services produced on own account by employing paid domestic help. The output excludes domestic and personal services produced for own consumption within households by the same household. Other non-market output Other non-m arket output consists of goods and services produced by the non-profit institutions serving households and government sector. The goods and services are supplied free of charge or at prices that are not economically significant, to other institutional units or the community. As mentioned in the SNA manual such output may be produced for two reasons: It may be technically impossible to make individuals pay for collective services because their consumption ca nnot be monitored or controlled. The production of such services has to be organized collectively by government units and financed out of funds other than receipts from sales, namely taxation or other government incomes; Government units and NPISHs ma y also produce and supply goods or services to individual households for wh ich they could charge but choose not to do so as a matter of social or economic policy e.g. the provision of education or health services, free or at prices that are not economically significant. Intermediate consumption Interm ediate consumption consists of the va lue of the goods and services that are used as inputs in a production process. It excludes fixed assets whose consumption is recorded as consumption of fixed capital, and labor inputs. The goods or services may be either transformed or used up by the production process. An example of the first is 8

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National Accounts of Curaao 2004-2010 grain, which may be transformed into flour, which in turn may be transformed into bread. An example of the latter is electricity and most services. The production accounts of the individual institutional sectors are grouped to the production account for the total economy. This account includes, besides aforementioned items, also the financial intermediation services indirectly measured (fisim) and the taxes less subsidies on products. The balancing item is Gross/Net Domestic Product. Financial intermediation services indirectly measured This is equal to the total property incom e receivable by financial intermediaries minus their total interest payable, excluding th e value of any property income receivable from the investment of their own funds; as such income does not arise from financial intermediation. Taxes A new feature of the System is the categori zation of taxes and subsidies. The taxes are divided in taxes on products and other ta xes on production. Together they form the taxes on production and imports. The taxes on products in Curaao consist of e.g. im port duties, export taxes, excise on beer and liquor. The other taxes on production consist in the case of Curaao mostly of taxes on the ownership or use of land, motor vehicle tax paid for company cars, legal charges and license fees. A category of taxes that is related to inco me is the category current taxes on income and wealth divided into taxes on income (wage tax, profit tax, income tax) and the other current taxes on income. In this cat egory the personal use of vehicles is recorded. The terms direct and indirect taxes are no longer used by the SNA. Subsidies The subsidies are divided into: subsidies on products other subsidies on production A subsidy on a product is a subsidy payable per unit of a good or service. Exam ples are subsidies to the public transportation, water and waste disposal companies. The remaining subsidies are the subsidies on production, which resident enterprises may receive as a consequence of engaging in production. Examples of such subsidies mentioned in the SNA are subsidies on payr oll or workforce and subsidies to reduce pollution. In the case of Curaao subsidie s to market non-profit institutions are registered under this heading. Value Added As mentioned before, the balancing item of this account is gross or net value added; for the individual sectors. Gross value added is equal to gross output minus intermediate consumption. The difference be tween gross and net is depreciation or consumption of fixed capital. 9

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National Accounts of Curaao 2004-2010 The production account for the total economy is equal to the sum of the production accounts of the different sectors plus taxe s less subsidies on products. The balancing item is equal to the well-known macro-aggregate Gross Domestic Product (GDP). Gross Domestic Product (GDP) is equal to: The sum of gross value added of all resident producer units (institutional sectors or, alternatively, industries) plus th at part (possibly the total) of taxes, less subsidies on products, which is not included in the valuation of output (production approach) or, The sum of the final uses of goods and services (all uses except intermediate consumption) measured in purchasers' prices, less the value of imports of goods and services (expenditure approach) or, The sum of primary incomes distributed by resident producer units (income approach). Net Domestic Product at market prices (NDPmp) is obtained by deducting the consumption of fixed capital from GDP. Neither gross nor net domestic product is a measure of welfare. Domestic product is an indicator of overall production activity. 2.2.2. Distribution and use of income accounts There are four income accounts, namely th e prim ary distribution of income account, the secondary distribution of income account the redistribution of income in kind account, and the use of income account. The primary distribution of income account The prim ary distribution of income account is divided into the generation of income account and the allocation of primary income account. The generation of income account contains data regarding wages and salaries, employers actual social contribution, other taxes on production, and other subsidies on production. For the economy as a whole, this account includes all taxes on production and imports and all subsidies. The balancing item is operating surplus. The allocation of primary income account is divided into the entrepreneurial income account and the allocation of other primar y income account, with the balance of primary incomes as balancing item. In Curaao these accounts are grouped to one account containing information regarding prope rty income divided into interest and the distributed income of corporations, and reinvested earnings on foreign direct investment. For the financial corporations and househol ds sector, this account includes an extra item called property income attributed to insurance policy holders. This refers to the fact that the reserves of the insurance companies, which are being invested, in fact belong to the household sector. For the economy as a whole, the balancing item is equal to gross/net national income. Gross National Income (GNI) is equal to GDP less primary incomes payable to nonresident units plus primary incomes recei vable from non-resident units. In other words, GNI is equal to GDP less taxes (less subsidies) on production and imports, compensation of employees and property income payable to the rest of the world plus 10

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National Accounts of Curaao 2004-2010 the corresponding items receivable from the re st of the world. Thus GNI at market prices is the sum of gross primary in comes receivable by resident institutional units/sectors. In contrast to GDP, GNI is not a concept of value added, but a concept of income (primary income). Net nationa l income (NNI) is equal to GNI minus consumption of fixed capital. The secondary distribution of income account The secondary distribution of incom e acc ount contains the previously mentioned current taxes on income and wealth and other current transfers. The other current transfers consist of non-life insurance premiu ms and claims and miscellaneous current transfers. Examples of the latter are curre nt international cooperation, scholarships, unemployment pay (wachtgeld), family and st udent grants etc. The balancing item is disposable income for the individual sectors, which is equal to saving in the case of the non-financial sector. For the total economy the balancing item is equal to gross/net national disposable income. Gross National Disposable Income is equal to GNI at market prices less current transfers (other than taxes, less subsid ies, on production and imports) payable to nonresident units, plus the corresponding transfer s receivable by resident units from the rest of the world. Gross National Disposable Income measures the income available to the nation for final consumption and Gross Saving. National Disposable Income is the sum of disposable income of all resident institutional units/sectors. By deducting the consumption of fixed capital from Gross National Disposable Income, Net National Disposable Income is obtained. The redistribution of income in kind account This account shows the social transfers in kind. These consist of social benefits in kind and transfer of individual non-m arket goods and services. These are provided to resident households by government units, including social security funds, and NPISHs. In the case of Curaao only the tr ansfer of individual non-market goods and services are included because of insufficient data regarding the social benefits in kind. The balancing item is the adjusted disposable income. 11

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National Accounts of Curaao 2004-2010 The use of income account This account is divided into the use of disposable incom e account and the use of adjusted disposable income account. The use of disposable income account (II.4.1.) shows how disposable incom e is used for consumption and saving. For the financ ial corporations sector and household sector this account includes the adjustme nt for the change in net equity of households in pension funds. In a nutshell th e adjustment item refers to the fact that the households in fact own the reserves of the private funded pension schemes. The use of adjusted disposable income account (II.4.2.) shows how the adjusted disposable incom e is used for actual fi nal consumption and saving. Actual final consumption is equal to final consumption plus the social transfers in kind. This concept is only valid for the house hold, governm ent and non-profit institutions serving households sector. For the househol d sector this account also includes the previously mentioned adjustment item. It is important to note that the saving are equal in both accounts. 2.2.3. The accumulation accounts As m entioned before, in the case of Curaao only the capital account is being compiled, mainly because of lack of data that is needed to construct the other accounts. The capital account includes: gross fixed capital formation (gfcf) changes in inventories acquisitions less disposals of land and other tangible non-produced assets capital transfers of which investment grants The balancing item is net lending/net borro wing both for the individual sectors and for the total economy. A transfer is defined as a transaction in which one institutional unit provides a good, service or asset to another unit without receiving from the latter any good, service or asset in return as counterpart. Transfers ma y be either current in kind or in cash or capital in kind and in cash. In the case of a capital transfer the ownership of an asset (other than inventories) is transferred, or an asset (other than inventories) is purchased or disposed of by one or both parties to the transaction. An example of a capital transfer is an investment grant (in cash). In practice, capital transfers tend to be large, infrequent and irregular. Current transfers consist of all transfers that are not transfers of capital. They directly affect the level of disposable income and could influence the consumption of goods or services. Current transfers tend to be comparatively small and are made frequently and/or regularly. Both parties should classify a transfer in the same way. The capital account is the last in the seque nce of accounts of resident institutional units for Curaao. No financial accounts (III.2) other changes in the volume of assets account (III.3) and balance sheets (IV) are being compiled. 12

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National Accounts of Curaao 2004-2010 2.2.4. The rest of the world acc ount or external transactions account This account refers to the full range of tran sactions that take place between the total economy and the rest of the world. The rest of the world or external transaction account for Curaao consists of the external account of goods and services, the external account for primary incomes and current transfers, and the capital account. The external account of goods and services shows the export and import of goods and services. With regard to the external account for primary incomes and current transfers the following transactions are applicable to Curaao: The inand outflow of compensation of employees, The inand outflow of property income; these include only the interest and the total distributed income of corporations and the reinvested earnings on direct foreign investment, The inflow of current taxes on income a nd wealth; this is related to the profit tax paid by the off-shore companies, The inand outflow of other current tran sfers; these are related to the non-life insurance premiums and claims, the receipt of development aid for social projects, pensions and student and family grants. Of the several external accumulation accounts only the capital account is being compiled. Of all the transactions of th e capital account mentioned in the SNA the investment grants are the main transactions applicable. The investment grants are related to the development aid received for investments. The balancing item of the capital account is net lending/net borrowing. 2.2.5 Data sources The data for the compilation of the tables are used from the yearly National Accounts survey which results provide information about the profit and loss account and the balance sheet of enterprises. The survey doesnt include commercial banks, unincorporated government enterprises, taxis, bus drivers and commercial housekeeping activities. Subsequently, the data regarding these activities are derived from other sources e.g. the commercial bank activities are derived from Central Bank data (such as: income statements of commercial banks, fixed assets of commercial banks, the balance of payments). Data regarding unincorporated government enterprises comes from the accounts of the government, and the annual reports of those enterprises. Furthermore administrative data of the Department of Public Transportation are used for activities of taxis and bus drivers. The data of other surveys are also used, for example the Census and Labor Force survey (AKO). 13

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National Accounts of Curaao 2004-2010 2.3. Supply and Use Tables and Cross Classification of Industries and Sectors According to the SNA the supply table pr ovides information concerning the products that are produced by the different industrie s, the imports by product and adjustment items in the rows as well in the columns. The use table provides information on the us es of goods and services, and also on the cost structures of the industries. The table contains information regarding: The intermediate use quadrant, which shows intermediate consumption by the same products, and industries in the supply table. The final use quadrant, which shows e xports, final consumption expenditure and gross capital formation by product. The uses of value added quadrant, whic h shows the uses of value added such as compensation of employees, taxes less subsidies on production and imports, consumption of fixed capital, and net mixed income and operating surplus by industry. The supply table shows output by sector, industry and product, imports by product and the adjustment items. The use table s hows intermediate use by sector, industry and products, exports by product, consumpti on by sector and product and gross fixed capital formation by sector and product. The cross classification of industries and s ectors (CCIS) of Curaao contains besides aforementioned information a breakdown of the output, intermediate consumption and value added components by sector. In the case of Curaao, the SUT is based on the CCIS. Important classifications applied in the SU T and CCIS and for purpose of analysis are the classification of industries and the classification of products. The classification of industries used is the International Standard Industrial Classification rev.3 (ISIC rev.3). Corresponding enterprises are grouped into related industries by main activity. In order to comb ine the industry data to sector data a corresponding table is made of the sector classification and the industry classification. A product classification comparable to th e Central Product Classification (CPC) is used. The number of products amounts to 40. The selection of products is based on a research of the products that the industries (at the 4 digit level) produce. These products are combined with the imported products such as the import of cars, to arrive at a complete product classification. A co rresponding table between ISIC and CPC is constructed. 14

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National Accounts of Curaao 2004-2010 3 Macro-economic developments in 2010 3.1 Introduction In this chapter the following macro aggregates will be described: Gross Domestic Products (GDP) Gross National Income (GNI) Gross National Disposable Income (GNDI) Gross Saving Gross National Income, per capita (GNI, per capita) 3.2 Gross Domestic Product The Gross Domestic Product (GDP) of Curaao has increased from about 5,136 million in 2009 to 5,283 in 2010, an increase of almost 3 percent nominal. Real GDP or real economic growth is equal to the change in the volume of goods and services produced. The real GDP excludes price developments. From graph 1 it can be derived that the real economic growth rate in 2010 has increased slightly after a drop in 2009 (-0.5%). In 2010 it has grown with 0.1 percent that is 0.6 percentage points more than 2009. (See attached table 6) Graph 1: Gross Domestic Product (market price), % volume change-1.0 -0.5 0.0 0.5 1.0 1.5 2.0 2.5 3.0 2004200520062007200820092010year% Of all the five resident institutional sectors (see page 5) the non-financial sector has the largest contribution in value added. Analysis in this sector shows that the main reasons for the growth are the expanded activities in mainly transport and communication(24.3%), horeca (14.3%), and real estate, renting and business activities (9.7%). Although the previously mentioned industries have expanded, these activities could not boost the economy because on the other hand economic 15

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National Accounts of Curaao 2004-2010 activity has dropped in among others manufacturing (17.6%)), and utility (15.1%). Table B: Gross Domestic Product by expenditure, Curaao (mln. ANG.) 2009 2010 % change Final consumption expenditure 4,469.8 4,883.5 9.3 Gross capita formation 1,864.4 2,135.0 14.5 Exports of goods and services 3,116.6 2,934.1 -5.9 Imports of goods and services 4,315.0 4,669.7 8.2 Gross Domestic Product 5,135.8 5,282.9 2.9 From the demand side the factors that have lead to the growth are final consumption expenditures and gross capital formation. Final consumption expenditures and capital formation both have increased with respectively 9 percent and almost 15 percent (Table B). Exports of goods and services have decreased with almost 6 percent. Analysis of the components shows that the main reason for this increase has been the drop of 10 percent in the exports of services. On the other hand Imports of goods and services has grown with 8 percent in 2010. Analysis shows that the imports of goods (9.5%) have increased more than the imports of services (5.0%). 3.3 Gross National Income Gross National Income (GNI) is equal to Gross Domestic Product plus primary income receivable from abroad minus primary income paid to abroad. Table C: Gross National Income, Curaao (mln. ANG.) 2009 2010 % change Gross Domestic Product 5,135.8 5,282.9 2.9 Primary income received from abroad 161.8 197.1 21.8 Primary income paid to abroad 248.3 216.2 -12.9 Gross National Income 5,049.3 5,263.8 4.2 The Gross National Income (GNI) has increased with more than 4 percent (from 5,049.3 mln. in 2009 to 5,263.8 mln. in 2010). As can be read from table C, the main reason for this development is an increase in Gross Domestic Product with 147.1 mln. 16

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National Accounts of Curaao 2004-2010 3.4 Gross National Disposable Income Gross National Disposable Income (GNDI) is equal to Gross National Income plus current transfers received from abroad minus current transfers paid to abroad. Table D shows a decline in the GNDI of almost 2 percent in 2010, mainly due to a decrement of the current transfer received from abroad with 259.1 mln. (-26.4%). The value of the current transfers paid to abroad has increased with almost 11 percent in 2010. Table D: Gross National Disposable Income, Curaao (mln. ANG.) 2009 2010 % change Gross National Income 5,049.3 5,263.8 4.2 Current transfers received from abroad 981.7 722.6 -26.4 Current transfers paid to abroad 516.0 571.5 10.8 Gross National Disposable Income 5,515.0 5,414.9 -1.8 3.5 Gross Saving Gross Saving is equal to Gross National Disposable Income minus final consumption expenditure. From table D it is observed that GNDI has decreased with almost 2 percent, while on the contrary final consumption has increased with more than 9 percent (table B). The only sectors that participate in consumption of goods and services are the Household & Non-Profit Institutions Serving Households (NPISH) and Government sector. The consumption of both Househould & NPISH and Government has increased, respectively with 11 and almost 1 percent. As a result of the increase in final consumption, Gross Saving has dropped with more than 49 percent, from 1,045.2 mln. in 2009 to 531.4 mln. in 2010. Consequently the contribution of Gross Saving to Gross Do mestic Product has dropped from 20 percent in 2009 to 10 percent in 2010 (see graph 2). 17

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National Accounts of Curaao 2004-2010 Graph 2: Contribution Gross Saving to GDP, Curaao0.0 5.0 10.0 15.0 20.0 25.0 30.0year% 2004 2005 2006 2007 2008 2009 2010 3.6 Gross National Income, per capita (GNI per capita) The Gross National Income per capita is equal to the GNI divided by the midyear population3. Midyear population or mean population is the average or mean of the population of two subsequent years (per June 30th). Graph 3: Gross National Income, per capita, Curaao (ANG)27000 28000 29000 30000 31000 32000 33000 34000 35000 360002004 2005 2006 2007 2 008 2009 2010yearvalue The GNI per capita of Curaao has risen in the period 2004 up to 2010 (see graph 3). After a decrease of almost 1 percent in 2009 the GNI has increased with about 3 percent in 2010, from 34,394 Ang. in 2009 to 35,401 Ang. in 2010. The reason for this development is that in 2010 the GNI experienced a stronger growth compared to the population growth. 3 In this publication population data are used from the Census 2011 18

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National Accounts of Curaao 2004-2010 List of abbreviations AKO Arbeidskrachtenonderzoek (labor force survey) CBS Central Bureau of Statistics CPC Central Product of Classification CCIS Cross Classification of Industry and Sectors DI Domestic Income FC Financial sector GDP Gross Domestic Product GFCF Gross Fixed Capital Formation GNDI Gross National Disposable Income GNI Gross National Income GOV Government Horeca hotel, restaurant en cafe ISIC International Standard of Industrial Classification mp market prices NDP Net Domestic Product NFC Non-Financial Corporation NNI Net National Income NPI Non Profit Institutions NPISH Non Profit Institutions Serving Households SNA System of National Accounts SOCSEC Social Security SUT Supply and Use Tables 19

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National Accounts of Curaao 2004-2010 20 Tables (Tables 1 18)

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Table 1 Total economy, product, income, savings and net lending, Curaao (mln ANG ) 2004200520062007200820092010 Output6609.17019.67354.77912.28706.98898.19265.6 Less: financial intermediation services indirectly measured90.996.8105.6108.1125.4131.8144.1 Plus: taxes less subsidies on products348.2348.8426.2478.0535.2548.7540.8 Less: Intermediate consumption2861.93074.73276.23639.24044.84179.24379.4 Gross Domestic Product4004.54196.94399.14643.05071.95135.85282.9 Primary income received from abroad156.3182.6233.0259.2202.6161.8197.1 Primary income paid to abroad119.7112.9149.7170.3215.2248.3216.2 Net factor income received from abroad 36.669.783.388.9-12.6-86.5-19.1 Gross National Income4041.14266.64482.44731.95059.35049.35263.8 Current transfers received from abroad445.1611.8448.0467.9589.8981.7722.6 Current transfers paid to abroad303.8344.3328.9370.9475.0516.0571.5 Net current transfers received from abroad141.3267.5119.197.0114.8465.7151.1 Gross National Disposable Income4182.54534.14601.54828.95174.15515.05414.9 Final consumption3227.83398.83672.04127.24507.44469.84883.5 Households & Non-profit institutions serving households2543.12727.22970.33353.43691.63621.44027.8 Government (incl. Social security)684.7671.7701.7773.7815.8848.4855.7 Gross savings954.71135.2929.5701.7666.71045.2531.4 Net savings473.5666.4457.2222.5160.1504.2-137.2 Gross fixed capital formation1298.21444.31621.01845.42023.61875.82035.9 Consumption of fixed capital-481.2-468.8-472.2-479.3-506.6-541.0-668.6 Changes in inventories44.421.9-112.0-199.4-48.8-11.399.1 Acquisitions less disposals of land-3.837.412.58.2-1.80.33.0 Capital tranfers received 239.5251.3274.7285.7289.7294.1341.2 Capital tranfers paid 209.3218.5236.4253.6245.4253.4286.2 Net capital transfers received 30.132.838.332.144.340.755.0 Net lending from abroad-357.8-298.2-541.2-912.2-1263.8-778.5-1548.6 Table 2 Income per capita, Curaao (mln ANG, unless specified otherwise) 2004200520062007200820092010 Gross National Income, market prices4041.14266.64482.44731.95059.35049.35263.8 Net national income, market prices3559.93797.84010.14252.64552.74508.34595.2 Mid year population (x1000)134.2137.7141.2144.0145.9146.8148.7 Per capita Gross National Income, market prices (ANG)30116.030995.531738.132850.234686.034393.635400.7 Per capita Net National Income, market prices (ANG)26530.027589.528394.329523.031212.530708.530904.3 Other taxes on production 47.640.245.643.936.544.771.0 Other subsidies on production 77.680.584.4127.4141.996.799.0 Consumption of fixed capital481.2468.8472.2479.3506.6541.0668.6 Net national income, basic prices3529.93757.53971.44169.14447.34456.24567.2 Per capita Net National Income, basic prices (ANG)26306.427296.728120.028943.330489.930354.130715.7 21

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Table 3 Product, income, savings and net lending by sector, Curaao (mln ANG ) 2004200520062007200820092010 Gross Value Added 3747.23944.94078.54273.14662.14718.94886.2 Non-financial corporations2172.32162.22333.92342.02776.32806.12884.5 Financial corporations775.1925.0829.9998.8898.9904.5939.8 Government incl. social securit y 438.9482.1502.1520.3542.5573.0608.3 Households & Non-profit institutions serving household s 361.0375.7412.6412.0444.4435.2453.6 Primary income4132.04363.44588.04840.05184.85181.05407.9 Non-financial corporation s 474.2449.8609.7476.6750.8511.8692.4 Financial corporations647.3636.7464.7587.4978.1-152.5-11.3 Government incl. social security152.2199.6252.1317.6381.7433.6299.7 Households & Non-profit institutions serving households2858.33077.43261.63458.33074.24388.14427.2 Disposable income4273.44630.94707.14937.05299.55646.75559.0 Non-financial corporations414.7413.9553.1435.4715.8466.1475.3 Financial corporations647.4601.7429.0545.9944.2-183.8-178.1 Government incl. social security694.4868.6803.5850.6990.51449.91257.7 Households & Non-profit institutions serving households2516.82746.72921.53105.12648.93914.64004.0 Gross savings1045.61232.01035.1809.8792.11177.0675.5 Non-financial corporations414.7413.9553.1435.4715.8466.1475.3 Financial corporation s 826.5712.0523.7658.31209.971.898.6 Government incl. social security9.7196.9101.876.9174.7601.5402.0 Households & Non-profit institutions serving households-205.4-90.8-143.5-360.7-1308.437.6-300.5 22

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Table 4 Supply and Use summary Curaao (mln ANG) 2004200520062007200820092010 Supply Output6609.17019.67354.77912.28706.98898.19265.6 Imports of goods and services2891.73165.13570.53955.64933.64315.04669.7 imports of goods2083.42372.62719.33000.53866.83109.93404.7 imports of services808.3792.5851.2955.11066.81205.11265.0 Total supply9500.810184.710925.211867.813640.513213.113935.3 Use Intermediate consumption2861.93074.73276.23639.24044.84179.24379.4 Final consumption expenditure3227.83398.83672.04127.24507.44469.84883.5 Households & Non-profit institutions serving households2543.12727.22970.33353.43691.63621.44027.8 Government684.7671.7701.7773.7815.8848.4855.7 Gross fixed capital formation1298.21444.31621.01845.42023.61875.82035.9 Non-financial corporations713.6880.0983.41351.01293.01231.21314.6 Financial corporations339.1354.6371.1328.0499.7470.6504.4 Government55.850.374.366.268.572.793.4 Households & Non-profit institutions serving households189.6159.3192.2100.2162.3101.3123.6 Changes in inventories44.421.9-112.0-199.4-48.8-11.399.1 Exports of goods and services2325.92497.02788.62825.43523.33116.62934.1 exports of goods742.4887.31069.5969.71688.51208.31222.8 exports of services1583.51609.71719.11855.71834.81908.31711.3 Total use at purchasers prices9758.110436.711245.812237.814050.313630.014332.0 Adjustments Taxes less subsidies on products348.2348.8426.2478.0535.2548.7540.8 Financial Intermediation Indirectly Measured (Fisim)90.996.8105.6108.1125.4131.8144.1 Total use at producers prices9500.810184.710925.211867.813640.513213.113935.3 Total supply at producers prices9500.810184.710925.211867.813640.513213.113935.3 Table 5 Gross domestic product by expenditure, Curaao (mln ANG) 2004200520062007200820092010 Gross domestic product by expenditure4004.54196.94399.14643.05071.95135.85282.9 Final consumption expenditure3227.83398.83672.04127.24507.44469.84883.5 Households & Non-profit institutions serving households2543.12727.22970.33353.43691.63621.44027.8 Government684.7671.7701.7773.7815.8848.4855.7 Gross fixed capital formation1298.21444.31621.01845.42023.61875.82035.9 Non-financial corporations713.6880.0983.41351.01293.01231.21314.6 Financial corporations339.1354.6371.1328.0499.7470.6504.4 Government55.850.374.366.268.572.793.4 Households & Non-profit institutions serving households189.6159.3192.2100.2162.3101.3123.6 Changes in inventories44.421.9-112.0-199.4-48.8-11.399.1 Exports of goods and services2325.92497.02788.62825.43523.33116.62934.1 exports of goods742.4887.31069.5969.71688.51208.31222.8 exports of services1583.51609.71719.11855.71834.81908.31711.3 Imports of goods and services2891.73165.13570.53955.64933.64315.04669.7 imports of goods2083.42372.62719.33000.53866.83109.93404.7 imports of services808.3792.5851.2955.11066.81205.11265.0 23

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Table 6 Gross Domestic product (GDP) by sector and industry, Curaao (mln ANG) 2004200520062007200820092010 Non-financial corporations A+B+C Agriculture, fishing and mining20.723.522.824.730.223.022.0 DManufacturing293.8254.3341.6335.8410.3403.6332.4 EElectricity, gas and water143.4173.1167.7168.6166.5225.2191.2 FConstruction167.8223.8210.0234.2296.8262.1274.5 GTrade415.5449.0451.8440.8535.4569.8559.2 HHotels and restaurants101.8120.7132.1140.0178.1163.2186.5 ITransport, storage and communications285.6286.9341.8322.2391.6432.0536.9 KReal estate, renting and business activities413.6302.9308.3336.0377.0339.9373.0 MEducation private19.816.421.921.524.723.224.0 NHealth and social work161.2169.1181.0177.7209.8217.1245.8 OOther community, social and personal service activities149.1142.5154.9140.3155.9147.1139.0 Value added, gross, marketprices2172.32162.22333.92342.02776.32806.12884.5 Financial corporations J Financial intermediation775.1925.0829.9998.8898.9904.5939.8 Value added, gross, marketprices775.1925.0829.9998.8898.9904.5939.8 Government A+BAgriculture0.60.70.91.71.11.11.9 ITransport,storage and communications10.110.39.56.56.78.47.7 KReal estate, renting and business activities3.54.44.43.93.33.23.4 LPublic administration and defence;compulsory social security268.2299.3310.1322.9334.9353.9383.1 MEducation63.067.774.178.579.592.692.0 NHealth and social work53.258.759.263.064.867.470.3 OOther community, social and personal service activities40.341.043.943.952.246.449.9 Value added, gross, marketprices438.9482.1502.1520.3542.5573.0608.3 Households & Non-profit institutions serving households A+BAgriculture and fishing0.50.51.30.51.10.40.0 DManufacturing0.50.30.60.50.80.30.5 FConstruction0.61.21.91.31.25.26.9 GTrade6.711.513.610.611.03.45.2 HHotels and restaurants3.13.07.11.43.50.4-2.0 ITransport,storage and communications16.016.817.115.515.514.914.9 KReal estate, renting and business activities303.2313.7345.1358.0386.0390.9404.9 NHealth and social work2.01.31.91.11.80.11.4 OOther community, social and personal service activities14.715.312.913.414.012.014.1 PPrivate households13.712.111.09.79.67.77.7 Value added, gross, marketprices361.0375.7412.6412.0444.4435.2453.6 Total Value Added gross, market prices3747.23944.94078.54273.14662.14718.94886.2 plus Taxes less subsidies on products348.2348.8426.2478.0535.2548.7540.8 minus Fisim90.996.8105.6108.1125.4131.8144.1 Domestic Product gross, market prices4004.54196.94399.14643.05071.95135.85282.9 Nominal GDP growth1.64.84.85.59.21.32.9 Inflation1.44.13.13.06.91.82.8 Real GDP growth0.20.71.62.52.2-0.50.1 24

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Table 7 Gross fixed capital formation by sector and industry, Curaao (mln ANG ) 2004200520062007200820092010 Non-financial corporations A+B+C Agriculture, fishing and mining7.11.91.71.72.83.61.7 D Manufacturing38.815.58.828.125.613.117.5 E Electricity, gas and water227.1380.4441.5573.0510.5382.2204.9 FConstruction 11.38.211.517.517.211.259.8 G Trade 71.533.244.050.469.376.9148.0 H Hotels and restaurants 24.520.011.736.790.422.782.5 I Transport,storage and communications 201.4345.4400.1523.2476.8633.8627.9 K Real estate, renting and business activities 67.735.924.037.628.828.350.0 MEducation private 46.22.03.769.132.134.830.5 N Health and social work11.67.012.53.117.310.731.4 OOther community, social and personal service activities 6.330.523.910.622.313.960.4 Subtotal713.6880.0983.41351.01293.01231.21314.6 Financial corporations J Financial intermediation 339.1354.6371.1328.0499.7470.6504.4 Subtotal339.1354.6371.1328.0499.7470.6504.4 Government incl. Social security A+BTransport,storage and communications 3.74.13.99.55.61.77.9 I Real estate, renting and business activities 0.10.30.00.40.40.00.4 K Public administration and defence;compulsory social security16.712.423.421.724.431.040.2 L Education 8.221.124.920.220.818.917.3 M Health and social work 19.29.116.58.810.815.319.5 NOther community, social and personal service activities 7.93.45.65.76.65.88.1 O Subtotal 55.850.374.366.268.572.793.4 Households & Non-profit institutions serving households Agriculture and fishing 0.00.00.00.00.00.00.0 A+B Manufacturing 0.00.00.00.10.00.10.0 DConstruction 0.00.00.00.00.00.00.0 F Trade 0.10.10.10.50.11.40.0 G Hotels and restaurants 0.00.10.00.00.00.00.1 HTransport,storage and communications 0.10.00.00.00.00.00.0 I Real estate, renting and business activities 189.2158.5191.098.1160.299.7123.2 K Health and social work 0.00.00.00.00.00.00.0 NOther community, social and personal service activities 0.20.61.11.52.00.10.2 O Private households 0.00.00.00.00.00.00.0 P Subtotal 189.6159.3192.2100.2162.3101.3123.6 Total Gross Fixed capital formation 1298.21444.31621.01845.42023.61875.82035.9 25

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Table 8 Government final consumption expenditure by composition and cost of functions, Curaao (mln ANG ) 2004200520062007200820092010 1Compensation of employees406.8436.5455.5469.1489.9521.3562.7 a. Wages and salaries322.2361.6375.8386.1387.9414.3441.1 b. Social contibutions84.674.979.783.1101.9107.0121.6 2Intermediate consumption248.8258.0235.6270.9310.6304.6269.7 3Other taxes on production0.00.10.10.10.10.10.1 4Consumption of fixed capital15.026.826.629.228.826.217.6 5Sales of goods and services8.174.141.422.843.536.629.3 6Output for own final use0.00.00.00.00.00.00.0 7Government final consumption expenditure662.4647.4676.3746.5785.9815.6820.8 General public services122.5123.8130.2134.0147.8151.2167.6 Defence affairs and services16.018.020.522.319.424.024.6 Public order and safety affairs131.7144.7144.3165.6158.3158.4181.6 Transportation and communication affairs and services5.4(3.7)0.30.6(3.5)12.113.9 Trade, agriculture, forestry and fishing affairs15.314.815.716.118.120.620.6 Education75.575.581.188.594.297.896.9 Cultural and religious affairs and services3.71.61.31.61.81.81.9 Social security and welfare affairs and services48.852.854.059.965.060.561.5 Health affairs and services32.730.829.328.031.432.037.4 Other 210.8189.1199.6229.9253.3257.2214.9 Government final consumption expenditure662.4647.4676.3746.5785.9815.6820.8 26

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Table 9 Compensation of employees of the government sector by function, Curaao (mln ANG) 2004200520062007200820092010 Island government General public services36.940.241.343.243.042.645.7 Defense affairs and services0.00.00.00.00.00.00.0 Public order and safety affairs12.613.414.615.316.415.816.6 Transportation and communication affairs and services1.91.41.11.11.21.21.0 Trade, agriculture, forestry and fishing affairs6.46.66.98.17.68.08.2 Education58.763.469.673.374.386.785.1 Cultural and religious affairs and services1.70.00.00.00.00.00.0 Social security and welfare affairs and services10.913.514.315.524.419.416.2 Health affairs and services48.954.254.658.959.363.165.0 Other services45.232.734.732.732.933.531.7 Total223.3225.3237.1248.0259.1270.3269.6 Central government General public services45.649.852.648.754.863.075.9 Defense affairs and services10.012.412.213.313.414.616.1 Public order and safety affairs77.294.8100.2104.6104.7111.5130.5 Transportation and communication affairs and services8.28.98.45.45.57.26.7 Trade, agriculture, forestry and fishing affairs3.64.14.04.34.54.65.0 Education4.04.24.24.84.95.66.2 Cultural and religious affairs and services1.21.31.41.41.40.00.1 Social security and welfare affairs and services4.64.95.56.96.07.17.8 Health affairs and services3.03.03.02.23.22.73.4 Other services26.027.726.929.432.534.641.3 Total183.5211.2218.4221.1230.8251.0293.1 Island and central government General public services82.590.093.891.997.8105.5121.6 Defense affairs and services10.012.412.213.313.414.616.1 Public order and safety affairs89.9108.2114.7119.9121.1127.3147.1 Transportation and communication affairs and services10.110.39.56.56.78.47.7 Trade, agriculture, forestry and fishing affairs10.010.710.912.512.112.613.2 Education62.867.673.878.179.292.291.4 Cultural and religious affairs and services2.91.31.41.41.40.00.1 Social security and welfare affairs and services15.518.519.822.430.426.624.1 Health affairs and services51.957.257.761.162.565.968.5 Other services71.260.461.562.165.468.273.0 Total island and central government406.8436.5455.5469.1489.9521.3562.7 27

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Table 10 Taxes on production and imports, Curaao (mln ANG ) 2004200520062007200820092010 Total taxes on production and imports Import duties120.2124.6138.9161.1178.0172.0175.7 Excise on gasoline 66.865.866.468.567.871.563.7 Excise on beer11.211.613.313.114.513.714.8 Excise on liquor12.111.811.811.413.413.113.4 Excise on tobacco10.911.011.113.012.012.314.2 Export taxes0.00.00.00.00.00.00.0 Sales tax206.6214.1228.5249.8285.4301.3300.6 Stamp taxes5.15.95.35.05.65.55.5 Property transfer tax8.811.414.621.427.021.819.8 Hotel room tax4.12.63.03.84.86.28.0 Other taxes on products4.84.84.94.95.24.69.6 Other taxes on production 43.936.544.771.067.978.772.9 Total taxes on production and imports494.5500.3542.5623.1681.6700.7698.2 Table 11 Current taxes on income and wealth, Curaao (mln ANG ) 2004200520062007200820092010 Taxes on income606.8744.4637.5617.2675.3712.9938.1 wage tax414.4399.3420.7431.9463.9487.6500.0 income tax4.28.5-0.12.06.12.70.9 profit tax188.1336.6216.9183.4205.3222.6437.2 of which: International Financial Sector99.0289.0126.0118.5154.4149.776.8 Other current taxes25.121.824.626.828.129.629.1 Total current taxes on income and wealth631.9766.2662.1644.0703.5742.6967.2 28

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Table 12 Summary sequence of accounts for NON-FINANCIAL CORPORATIONS, Curaao (mln ANG ) 2004200520062007200820092010 uses I Production account P.2Intermediate consumption2107.92251.72440.72659.43058.53072.33241.3 B.1gValue added, gross2172.32162.22333.92342.02776.32806.12884.5 K.1Consumption of fixed capital325.7300.4295.5291.2306.0332.6470.9 B.1nVALUE ADDED, NET1846.61861.82038.42050.82470.32473.52413.6 I I. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account D.1Compensation of employees1504.21497.51510.41585.81709.11887.71917.6 D.11 Wages and salaries1300.21296.91316.31375.51462.41612.51643.6 D.12 Employers' social contributions204.0200.6194.2210.3246.8275.2274.0 D.29Other taxes on production38.432.838.854.554.564.460.0 D.39Other subsidies on production (-)-25.0-26.9-25.0-25.0-25.0-25.0-31.0 B.2gOperating surplus, gross654.7658.9809.7726.71037.7879.1937.9 B.2nOPERATING SURPLUS, NET 329.0358.5514.2435.5731.7546.5467.0 II.1.2. Allocation of primary income account D.4Property income218.4251.8246.1324.2351.6426.4324.1 D.41 Interest 108.3115.6120.7124.5131.1128.6123.5 D.42 Distributed income of corporations110.1136.2125.4199.7220.5297.8200.6 B.5gBalance of primary incomes, gross474.2449.8609.7476.6750.8511.8692.4 B.5nBALANCE OF PRIMARY INCOMES, NET148.5149.4314.2185.4444.8179.2221.5 II.2: Secondary distribution of income account D.51Taxes on income56.033.754.540.134.245.4216.8 D.71Net non-life insurance premiums 0.00.00.00.00.00.00.0 D.75Miscellaneous current transfers3.52.22.11.20.70.30.3 B.6gDisposable income, gross414.7413.9553.1435.4715.8466.1475.3 B.6nDISPOSABLE INCOME, NET89.0113.5257.6144.2409.8133.54.4 I II. : Accumulation accounts III.1: Capital account P.51Gross fixed capital formation713.6880.0983.41351.01293.01231.21314.6 P.52Changes in inventories44.421.8-108.9-197.4-49.7-10.9100.0 K.1Consumption of fixed capital -325.7-300.4-295.5-291.2-306.0-332.6-470.9 K.2 Acquisitions less disposals of land and other tangible non-produced assets -7.235.311.34.71.4-4.9-0.7 B.9NET LENDING (+) / NET BORROWING () -336.1-523.2-332.7-722.9-529.0-749.2-938.5 29

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Table 12 Summary sequence of accounts for NON-FINANCIAL CORPORATIONS, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 resources I Production account P.1 Output 4280.2 4413.9 4774.5 5001.3 5834.8 5878.5 6125.8 P.11 Market output 4280.2 4413.9 4774.5 5001.3 5834.8 5878.5 6125.8 I I. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account B.1g Value added, gross 2172.3 2162.2 2333.9 2342.0 2776.3 2806.1 2884.5 B.1n VALUE ADDED, NET 1846.6 1861.8 2038.4 2050.8 2470.3 2473.5 2413.6 II.1.2. Allocation of primary income account B.2g Operating surplus, gross 654.7 658.9 809.7 726.7 1037.7 879.1 937.9 B.2n OPERATING SURPLUS, NET 329.0 358.5 514.2 435.5 731.7 546.5 467.0 D.4 Property income 38.0 42.7 46.1 74.1 64.7 59.1 78.7 D.41 Interest 18.4 14.8 19.8 23.7 24.9 20.4 15.8 D.42 Distributed income of corporations 19.6 27.9 26.3 50.4 39.8 38.7 62.8 II.2: Secondary distribution of income account B.5g Balance of primary incomes, gross 474.2 449.8 609.7 476.6 750.8 511.8 692.4 B.5n BALANCE OF PRIMARY INCOMES, NET 148.5 149.4 314.2 185.4 444.8 179.2 221.5 D.72 Non-life insurance claims 0.0 0.0 0.0 0.0 0.0 0.0 0.0 I II. : Accumulation accounts III.1: Capital account B.8g Saving, gross 414.7 413.9 553.1 435.4 715.8 466.1 475.3 B.8n SAVING, NET 89.0 113.5 257.6 144.2 409.8 133.5 4.4 D.92 Investment grants 0.0 0.0 0.0 0.0 0.0 0.0 0.0 B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS 89.0 113.5 257.6 144.2 409.8 133.5 4.4 30

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Table 13 Summary sequence of accounts for FINANCIAL CORPORATIONS, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 uses I. Production account P.2 Intermediate consumption 349.3 411.3 462.8 561.0 522.0 608.9 648.2 B.1g Value added, gross 775.1 925.0 829.9 998.8 898.9 904.5 939.8 K.1 Consumption of fixed capital 54.0 54.1 59.6 65.0 74.3 79.3 71.9 B.1n VALUE ADDED, NET 721.1 870.9 770.3 933.8 824.6 825.3 868.0 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account D.1 Compensation of employees 336.1 364.4 409.8 457.5 473.1 475.6 494.2 D.11 Wages and salaries 301.4 326.5 367.9 418.9 418.8 421.1 437.3 D.12 Employers' social contributions 34.7 37.9 41.9 38.6 54.3 54.5 56.9 D.29 Other taxes on production 0.0 0.0 0.0 0.0 0.0 0.0 0.0 B.2g Operating surplus, gross 438.9 560.6 420.1 541.3 425.8 428.9 445.6 B.2n OPERATING SURPLUS, NET 385.0 506.5 360.4 476.3 351.5 349.6 373.7 II.1.2. Allocation of primary income account D.4 Property income 505.0 635.3 742.4 803.8 259.0 1326.1 1182.7 D.41 Interest 197.4 185.0 205.2 182.9 198.7 147.3 128.5 D.42 Distributed income of corporations 13.3 11.5 15.2 32.6 41.6 53.1 43.7 D.43 Reinvested earnings on direct foreign investment 5.4 3.7 7.4 -4.7 0.7 2.7 0.1 D.44 Property income attributed to insurance policy holders 289.0 435.0 514.5 593.1 18.0 1123.1 1010.4 B.5g Balance of primary incomes, gross 647.3 636.7 464.7 587.4 978.1 -152.5 -11.3 B.5n BALANCE OF PRIMARY INCOMES, NET 593.3 582.6 405.0 522.5 903.8 -231.7 -83.2 II.2: Secondary distribution of income account D.51 Taxes on income 35.7 19.0 36.4 25.9 20.4 29.2 144.2 D.7 Other current transfers 70.5 95.3 95.5 112.8 124.6 140.2 145.5 D.72 Non-life insurance claims 62.8 48.2 51.4 66.4 75.4 83.3 80.7 D.75 Miscellaneous current transfers 7.7 47.2 44.1 46.4 49.2 56.9 64.8 B.6g Disposable income, gross 647.4 601.7 429.0 545.9 944.2 -183.8 -178.1 B.6n DISPOSABLE INCOME, NET 593.4 547.6 369.4 481.0 869.9 -263.0 -250.0 II.4: Use of income account II.4.1: Use of disposable income account D.8 Adjustment for the change in net equity of households in pension funds -179.1 -110.3 -94.7 -112.4 -265.7 -255.6 -276.8 B.8g Saving, gross 826.5 712.0 523.7 658.3 1209.9 71.8 98.6 B.8n SAVING, NET 772.6 657.9 464.1 593.4 1135.6 -7.4 26.7 III. : Accumulation accounts III.1: Capital account P.51 Gross fixed capital formation 339.1 354.6 371.1 328.0 499.7 470.6 504.4 P.52 Changes in inventories 0.0 0.0 0.0 0.0 0.0 0.0 0.0 K.1 Consumption of fixed capital -54.0 -54.1 -59.6 -65.0 -74.3 -79.3 -71.9 K.2 Acq.less disposals of land and other tangible non-produced assets -0.6 0.1 0.0 0.0 -6.5 0.6 0.9 B.9 NET LENDING (+) / NET BORROWING (-) 694.0 572.9 381.2 576.2 957.1 -152.1 -131.3 31

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Table 13 Summary sequence of accounts for FINANCIAL CORPORATIONS, Curaao (mln ANG ) 2004200520062007200820092010 resources I. Production account P.1Output1124.41336.31292.71559.81420.91513.41588.0 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account B.1gValue added, gross775.1925.0829.9998.8898.9904.5939.8 B.1nVALUE ADDED, NET721.1870.9770.3933.8824.6825.3868.0 II.1.2. Allocation of primary income account B.2gOperating surplus, gross438.9560.6420.1541.3425.8428.9445.6 B.2nOPERATING SURPLUS, NET385.0506.5360.4476.3351.5349.6373.7 D.4Property income713.4711.3787.0849.9811.4744.7725.7 D.41 Interest 706.5703.5779.0837.0796.5732.2710.3 D.42 Distributed income6.97.98.012.913.312.515.4 D.43 Reinvested earnings on direct foreign investment0.00.00.00.01.60.00.0 II.2: Secondary distribution of income account B.5gBalance of primary incomes, gross647.3636.7464.7587.4978.1-152.5-11.3 B.5nBALANCE OF PRIMARY INCOMES, NET593.3582.6405.0522.5903.8-231.7-83.2 D.7Other current transfers106.279.496.297.2111.1138.1122.9 D.71 Net non-life insurance premiums 106.279.496.297.2111.1138.1122.9 II.4: Use of income account II.4.1: Use of disposable income account B.6gDisposable income, gross647.4601.7429.0545.9944.2-183.8-178.1 B.6nDISPOSABLE INCOME, NET593.4547.6369.4481.0869.9-263.0-250.0 III. : Accumulation accounts III.1: Capital account B.8gSaving, gross826.5712.0523.7658.31209.971.898.6 B.8nSAVING, NET772.6657.9464.1593.41135.6-7.426.7 D.99.01 Other capital transfers206.1215.6228.5245.9240.4247.3275.4 B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS 978.6873.5692.6839.31376.0239.9302.1 32

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Table 14 Summary sequence of accounts for GENERAL GOVERNMENT, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 uses I. Production account P.2 Intermediate consumption 248.8 258.0 235.6 270.9 310.6 304.6 269.7 B.1g Value added, gross 421.6 463.3 481.9 498.4 518.8 547.4 580.6 K.1 Consumption of fixed capital 15.0 26.8 26.6 29.2 28.8 26.2 17.6 B.1n VALUE ADDED, NET 406.6 436.4 455.3 469.2 489.9 521.2 563.0 II. Distribution and use of income accounts II.1. Primary distribution of income account II.1.1. Generation of income account D.1 Compensation of employees 406.8 436.5 455.5 469.1 489.9 521.3 562.7 D.11 Wages and salaries 322.2 361.6 375.8 386.1 387.9 414.3 441.1 D.12 Employers' social contributions 84.6 74.9 79.7 83.1 101.9 107.0 121.6 D.29 Other taxes on production 0.1 0.1 0.1 0.1 0.1 0.1 0.1 B.2g Operating surplus, gross 14.8 26.7 26.3 29.2 28.8 26.0 17.8 B.2n OPERATING SURPLUS, NET -0.2 -0.1 -0.2 0.0 0.0 -0.2 0.2 II.1.2. Allocation of primary income account D.4 Property income 344.8 339.9 353.1 380.3 381.3 372.7 359.9 B.5g Balance of primary incomes, gross 151.3 198.6 251.1 316.6 380.8 432.6 298.5 B.5n BALANCE OF PRIMARY INCOMES, NET 136.3 171.7 224.5 287.4 352.0 406.4 280.9 II.2: Secondary distribution of income account D.7 Other current transfers 82.1 120.8 120.6 107.5 140.4 110.8 155.4 B.6g Disposable income, gross 747.5 913.4 853.8 913.5 1014.1 1511.1 1392.2 B.6n DISPOSABLE INCOME, NET 732.5 886.6 827.2 884.4 985.3 1484.9 1374.6 II.3: Redistribution of income in kind account D.632 Transfers of individual non-market goods and services 314.6 304.3 310.8 332.6 343.9 353.2 354.2 B.7g Adjusted disposable income, gross 432.9 609.1 543.0 581.0 670.2 1157.8 1038.0 B.7n ADJUSTED DISPOSABLE INCOME, NET 417.9 582.3 516.4 551.8 641.3 1131.7 1020.4 II.4: Use of income account II.4.1: Use of disposable income account P.3 Final consumption expenditure 662.4 647.4 676.3 746.5 785.9 815.6 820.8 P.31 Individual consumption expenditure 314.6 304.3 310.8 332.6 343.9 353.2 354.2 P.32 Collective consumption expenditure 347.8 343.0 365.5 413.9 442.0 462.3 466.6 B.8g Saving, gross 85.1 266.1 177.5 167.0 228.2 695.5 571.4 B.8n SAVING, NET 70.1 239.2 150.9 137.8 199.4 669.3 553.8 II.4.2: Use of adjusted disposable income account P.4 Actual final consumption 347.8 343.0 365.5 413.9 442.0 462.3 466.6 B.8g Saving, gross 85.1 266.1 177.5 167.0 228.2 695.5 571.4 B.8n SAVING, NET 70.1 239.2 150.9 137.8 199.4 669.3 553.8 III. : Accumulation accounts III.1: Capital account P.51 Gross fixed capital formation 54.5 49.6 73.0 65.6 67.8 72.1 93.0 P.52 Changes in inventories 0.0 -0.1 -3.1 -1.8 0.0 0.0 0.0 K.1 Consumption of fixed capital -15.0 -26.8 -26.6 -29.2 -28.8 -26.2 -17.6 K.2 Acq.less disposals of land and other tangible non-produced assets 4.0 2.0 1.1 3.4 3.3 4.6 2.8 D.99 Other capital transfers 207.6 216.5 232.6 252.2 244.2 252.2 283.2 B.9 NET LENDING (+) / NET BORROWING (-) -147.6 33.7 -80.0 -112.7 -37.9 413.4 258.3 33

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Table 14 Summary sequence of accounts for GENERAL GOVERNMENT, Curaao(mln ANG ) 2004200520062007200820092010 resources I. Production account P.1Output670.4721.3717.5769.3829.3852.0850.3 P.11 Market output 133.0143.9145.5155.3151.9161.0156.7 P.12 Output for own final use0.00.00.00.00.00.00.0 P.13 Other non-market output537.4577.4572.0614.1677.5691.0693.6 II. Distribution and use of income accounts II.1. Primary distribution of income account II.1.1. Generation of income account B.1gValue added, gross421.6463.3481.9498.4518.8547.4580.6 B.1nVALUE ADDED, NET406.6436.4455.3469.2489.9521.2563.0 II.1.2. Allocation of primary income account B.2gOperating surplus, gross14.826.726.329.228.826.017.8 B.2nOPERATING SURPLUS, NET-0.2-0.1-0.20.00.0-0.20.2 D.2Taxes on production and imports494.5500.3542.5623.1681.6700.7698.2 D.3Subsidies -127.4-141.9-96.7-99.0-103.6-98.3-115.4 D.4Property income114.3153.5132.0143.7155.2176.957.9 II.2: Secondary distribution of income account B.5gBalance of primary incomes, gross151.3198.6251.1316.6380.8432.6298.5 B.5nBALANCE OF PRIMARY INCOMES, NET136.3171.7224.5287.4352.0406.4280.9 D.5Current taxes on income, wealth631.9766.2662.1644.0703.5742.6967.2 D.7Other current transfers46.469.561.360.470.2446.7282.0 II.3: Redistribution of income in kind account B.6gDisposable income, gross747.5913.4853.8913.51014.11511.11392.2 B.6nDISPOSABLE INCOME, NET732.5886.6827.2884.4985.31484.91374.6 II.4: Use of income account II.4.1: Use of disposable income account B.6gDisposable income, gross747.5913.4853.8913.51014.11511.11392.2 B.6nDISPOSABLE INCOME, NET732.5886.6827.2884.4985.31484.91374.6 II.4.2: Use of adjusted disposable income account B.7gAdjusted disposable income, gross432.9609.1543.0581.0670.21157.81038.0 B.7nADJUSTED DISPOSABLE INCOME, NET417.9582.3516.4551.8641.31131.71020.4 III. : Accumulation accounts III.1: Capital account B.8gSaving, gross85.1266.1177.5167.0228.2695.5571.4 B.8nSAVING, NET70.1239.2150.9137.8199.4669.3553.8 D.9Capital transfers33.435.746.239.749.246.865.8 4.B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS 103.5274.9197.1177.6248.6716.1619.6 34

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Table 15 Summary sequence of accounts for SOCIAL SECURITY, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 uses I. Production account P.2 Intermediate consumption 4.8 5.5 5.0 5.1 6.0 7.0 7.0 B.1g Value added, gross 17.3 18.8 20.2 21.9 23.7 25.6 27.7 K.1 Consumption of fixed capital 0.9 1.0 1.0 1.0 0.9 1.0 1.2 B.1n VALUE ADDED, NET 16.4 17.8 19.2 20.9 22.8 24.6 26.5 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account D.1 Compensation of employees 16.4 17.8 19.2 20.9 22.8 24.6 26.5 D.11 Wages and salaries 12.6 13.8 15.0 16.5 17.8 19.1 20.8 D.12 Employers' social contributions 3.8 4.0 4.2 4.4 5.0 5.5 5.7 B.2g Operating surplus, gross 0.9 1.0 1.0 1.0 0.9 1.0 1.2 B.2n OPERATING SURPLUS, NET 0.0 0.0 0.0 0.0 0.0 0.0 0.0 II.1.2. Allocation of primary income account D.4 Property income 0.0 0.0 0.0 0.0 0.0 0.0 0.0 B.5g Balance of primary incomes, gross/National income, gross 0.9 1.0 1.0 1.0 0.9 1.0 1.2 B.5n BALANCE OF PRIMARY INCOMES, NET 0.0 0.0 0.0 0.0 0.0 0.0 0.0 II.2: Secondary distribution of income account D.62 Social benefits other than social transfers in kind 319.6 332.6 359.3 426.6 466.4 522.5 590.3 D.71 Net non-life insurance premiums 0.0 0.0 0.0 0.0 0.0 0.0 0.0 B.6g Disposable income, gross -53.0 -44.8 -50.3 -62.9 -23.6 -61.2 -134.5 B.6n DISPOSABLE INCOME, NET -53.9 -45.8 -51.3 -63.9 -24.5 -62.2 -135.7 II.3: Redistribution of income in kind account D.632 Transfers of individual non-market goods and services 22.3 24.3 25.4 27.2 29.9 32.8 34.9 B.7g Adjusted disposable income, gross -75.3 -69.1 -75.7 -90.1 -53.5 -94.0 -169.4 B.7n ADJUSTED DISPOSABLE INCOME, NET -76.2 -70.1 -76.7 -91.1 -54.4 -95.0 -170.6 II.4: Use of income account II.4.1: Use of disposable income account P.31 Final (individual) consumption expenditure 22.3 24.3 25.4 27.2 29.9 32.8 34.9 B.8g Saving, gross -75.3 -69.1 -75.7 -90.1 -53.5 -94.0 -169.4 B.8n SAVING, NET -76.2 -70.1 -76.7 -91.1 -54.4 -95.0 -170.6 II.4.2: Use of adjusted disposable income account B.8g Saving, gross -75.3 -69.1 -75.7 -90.1 -53.5 -94.0 -169.4 B.8n SAVING, NET -76.2 -70.1 -76.7 -91.1 -54.4 -95.0 -170.6 III. :Accumulation accounts III.1: Capital account P.51 Gross fixed capital formation 1.3 0.7 1.3 0.6 0.7 0.6 0.4 K.1 Consumption of fixed capital -0.9 -1.0 -1.0 -1.0 -0.9 -1.0 -1.2 B.9 NET LENDING (+) / NET BORROWING (-) -76.6 -69.8 -77.0 -90.7 -54.2 -94.6 -169.8 35

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Table 15 Summary sequence of accounts for SOCIAL SECURITY, Curaao (mln ANG ) 2004200520062007200820092010 resources I. Production account P.1Output22.124.325.227.029.732.634.7 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account B.1gValue added, gross17.318.820.221.923.725.627.7 B.1nVALUE ADDED, NET16.417.819.220.922.824.626.5 II.1.2. Allocation of primary income account B.2gOperating surplus, gross0.91.01.01.00.91.01.2 B.2nOPERATING SURPLUS, NET0.00.00.00.00.00.00.0 II.2: Secondary distribution of income account B.5gBalance of primary incomes, gross0.91.01.01.00.91.01.2 B.5nBALANCE OF PRIMARY INCOMES, NET0.00.00.00.00.00.00.0 D.61Social contributions265.6286.8307.9362.7441.9460.3454.7 D.72Non-life insurance claims0.00.00.00.00.00.00.0 II.3: Redistribution of income in kind account B.6gDisposable income, gross-53.0-44.8-50.3-62.9-23.6-61.2-134.5 B.6nDISPOSABLE INCOME, NET-53.9-45.8-51.3-63.9-24.5-62.2-135.7 II.4: Use of income account II.4.1: Use of disposable income account B.6gDisposable income, gross-53.0-44.8-50.3-62.9-23.6-61.2-134.5 B.6nDISPOSABLE INCOME, NET-53.9-45.8-51.3-63.9-24.5-62.2-135.7 II.4.2: Use of adjusted disposable income account B.7gAdjusted disposable income, gross-75.3-69.1-75.7-90.1-53.5-94.0-169.4 B.7nADJUSTED DISPOSABLE INCOME, NET-76.2-70.1-76.7-91.1-54.4-95.0-170.6 III. :Accumulation accounts III.1: Capital account B.8gSaving, gross-75.3-69.1-75.7-90.1-53.5-94.0-169.4 B.8nSAVING, NET-76.2-70.1-76.7-91.1-54.4-95.0-170.6 B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS -76.2-70.1-76.7-91.1-54.4-95.0-170.6 36

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Table 16 Summary sequence of accounts for HOUSEHOLDS & NPISH, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 uses I. Production account P.2 Intermediate consumption 151.1 148.1 132.1 142.8 147.7 186.5 213.1 B.1g Value added, gross/ Gross Domestic Product 361.0 375.7 412.6 412.0 444.4 435.2 453.6 K.1 Consumption of fixed capital 85.6 86.5 89.5 92.9 96.6 102.0 107.0 B.1n VALUE ADDED, NET/ NET DOMESTIC PRODUCT 275.4 289.2 323.1 319.0 347.9 333.2 346.6 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account D.1 Compensation of employees 19.0 27.1 27.9 29.8 30.4 48.7 49.5 D.11 Wages and salaries 16.5 23.5 24.2 26.1 26.5 43.9 45.6 D.12 Employers' social contributions 2.5 3.6 3.7 3.7 3.9 4.8 3.9 D.29 Other taxes on production 5.4 3.7 5.8 16.4 13.2 14.3 12.8 B.2.g Operating surplus, gross 258.5 262.8 295.9 290.0 318.2 285.0 297.6 B.2.g Operating surplus, net 176.5 179.3 210.6 201.5 225.5 188.3 194.9 B.3g Mixed income gross 336.5 344.9 378.9 365.7 400.8 372.3 391.3 B.3n Mixed income, net 250.9 258.4 289.3 272.8 304.2 270.3 284.3 II.1.2. Allocation of primary income account D.4 Property income 114.7 104.1 128.7 142.6 156.1 148.4 107.3 D.41 Interest paid 97.9 87.3 109.2 121.6 135.3 132.1 127.5 D.45 Rent 16.9 16.8 19.5 20.9 20.7 16.3 -20.2 B.5g Balance of primary incomes, gross 2858.3 3077.4 3261.6 3458.3 3074.2 4388.1 4427.2 B.5n BALANCE OF PRIMARY INCOMES, NET 2772.7 2990.9 3172.0 3365.4 2977.6 4286.1 4320.2 II.2: Secondary distribution of income account D.5 Current taxes on income, wealth etc. 441.2 424.5 445.2 459.5 494.5 518.3 529.4 D.51 Taxes on income 416.1 402.7 420.6 432.7 466.4 488.7 500.3 D.59 Other current taxes 25.1 21.8 24.6 26.8 28.1 29.6 29.1 D.61 Employees' social contributions 265.6 286.8 307.9 362.7 441.9 460.3 454.7 D.7 Other current transfers 411.2 408.9 424.7 469.9 585.2 656.8 658.6 B.6g Disposable income, gross 2516.8 2746.7 2921.5 3105.1 2648.9 3914.6 4004.0 B.6n DISPOSABLE INCOME, NET 2431.2 2660.2 2831.9 3012.2 2552.4 3812.6 3897.0 II.3: Redistribution of income in kind account B.7g Adjusted disposable income, gross 2884.5 3103.8 3281.7 3489.9 3050.3 4324.9 4426.4 B.7n ADJUSTED DISPOSABLE INCOME, NET 2798.9 3017.3 3192.1 3397.0 2953.8 4222.9 4319.4 II.4: Use of income account II.4.1: Use of disposable income account P.3 Final consumption expenditure 2543.1 2727.2 2970.3 3353.4 3691.6 3621.4 4027.8 B.8g Saving, gross -205.4 -90.8 -143.5 -360.7 -1308.4 37.6 -300.5 B.8n SAVING, NET 76.7 179.8 127.1 -68.9 -1003.5 345.9 14.8 II.4.2: Use of adjusted disposable income account P.4 Actual final consumption 2910.8 3084.3 3330.4 3738.2 4093.0 4031.7 4450.1 B.8g Saving, gross -205.4 -90.8 -143.5 -360.7 -1308.4 37.6 -300.5 B.8n SAVING, NET -291.0 -177.3 -233.0 -453.7 -1404.9 -64.4 -407.5 III. :Accumulation account s III.1: Capital account P.51 Gross fixed capital formation 189.6 159.3 192.2 100.2 162.3 101.3 123.6 P.52 Changes in inventories 0.0 0.2 0.1 -0.2 0.8 -0.4 -0.9 K.1 Consumption of fixed capital -85.6 -86.5 -89.5 -92.9 -96.6 -102.0 -107.0 K.2 Acquisitions less disposals of land 0.0 0.0 0.1 0.0 0.0 0.0 0.0 D.9 Capital transfers 1.8 2.0 3.8 1.3 1.1 1.2 3.0 B.9 NET LENDING (+) / NET BORROWING (-) -400.6 -215.0 -327.1 -453.9 -1474.5 -64.2 -423.2 37

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Table 16 Summary sequence of accounts for HOUSEHOLDS & NPISH, Curaao (mln ANG ) 2004200520062007200820092010 resourcesI. Production account P.1Output512.1523.8544.8554.8592.2621.7666.7 P.11 Market output 81.881.591.083.3100.3115.8131.8 P.12 Output for own final use399.4413.7429.8446.4464.3481.6501.7 P.13 Other non-market output30.828.523.925.027.624.333.2 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account B.1gValue added, gross361.0375.7412.6412.0444.4435.2453.6 B.1nVALUE ADDED, NET275.4289.2323.1319.0347.9333.2346.6 II.1.2. Allocation of primary income account B.3gMixed income, gross 336.5344.9378.9365.7400.8372.3391.3 B.3nMIXED INCOME, NET 250.9258.4289.3272.8304.2270.3284.3 D.1Compensation of employees 2286.32349.62443.62584.12741.82981.83088.6 D.11 Wages and salaries 1956.72028.62120.02244.02330.02534.82626.5 D.12 Employers' social contributions 329.6321.0323.6340.1411.8447.0462.1 D.4Property income 350.2486.9567.8651.287.61182.41054.7 D.41 Interest 61.251.953.258.069.659.344.3 D.44 Property income attributed to insurance policy holders 289.0435.0514.5593.118.01123.11010.4 II.2: Secondary distribution of income account B.5gBalance of primary incomes, gross2858.33077.43261.63458.33074.24388.14427.2 B.5nBALANCE OF PRIMARY INCOMES, NET2772.72990.93172.03365.42977.64286.14320.2 D.62Social benefits other than social transfers in kind319.6332.6359.3426.6466.4522.5590.3 D.7Other current transfers457.0456.8478.5512.2630.0639.4629.2 II.3: Redistribution of income in kind account B.6gDisposable income, gross2516.82746.72921.53105.12648.93914.64004.0 B.6nDISPOSABLE INCOME, NET2431.22660.22831.93012.22552.43812.63897.0 D.63Social transfers in kind367.7357.1360.2384.8401.4410.3422.3 II.4: Use of income account II.4.1: Use of disposable income account B.6gDisposable income, gross2884.53103.83281.73489.93050.34324.94426.4 B.6nDISPOSABLE INCOME, NET2798.93017.33192.13397.02953.84222.94319.4 D.8 Adjustment for the change in net equity of households on pension funds -179.1-110.3-94.7-112.4-265.7-255.6-276.8 II.4.2: Use of adjusted disposable income account B.7gAdjusted disposable income, gross2884.53103.83281.73489.93050.34324.94426.4 B.7nADJUSTED DISPOSABLE INCOME, NET2798.93017.33192.13397.02953.84222.94319.4 D.8 Adjustment for the change in net equity of households on pension funds -179.1-110.3-94.7-112.4-265.7-255.6-276.8 III. :Accumulation account s III.1: Capital account B.8gSaving, gross-205.4-90.8-143.5-360.7-1308.437.6-300.5 B.8nSAVING, NET-291.0-177.3-233.0-453.7-1404.9-64.4-407.5 K.2Acquisitions less disposals of land -3.837.412.58.2-1.80.33.0 B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS -294.8-140.0-220.5-445.5-1406.8-64.1-404.5 38

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Table 17 Summary sequence of accounts for the TOTAL ECONOMY, Curaao (mln ANG ) 2004200520062007200820092010 usesI. Production account P.2Intermediate consumption2861.93074.73276.23639.24044.84179.24379.4 B.1*gGross Domestic Product4004.54196.94399.14643.05071.95135.85282.9 K.1Consumption of fixed capital481.2468.8472.2479.3506.6541.0668.6 B.1*nNET DOMESTIC PRODUCT3523.33728.13926.84163.74565.34594.84614.3 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account D.1Compensation of employees2282.52343.22422.92563.22725.32957.93050.6 D.11 Wages and salaries1952.92022.22099.32223.12313.52510.92588.5 D.12 Employers' social contributions329.6321.0323.6340.1411.8447.0462.1 D.2Taxes on production and imports494.5500.3542.5623.1681.6700.7698.2 D.3Subsidies -127.4-141.9-96.7-99.0-103.6-98.3-115.4 B.2gOperating surplus, gross1354.91495.31530.41555.81768.51575.51649.6 B.2gOPERATING SURPLUS, NET873.71026.51058.11076.51261.91034.5981.0 II.1.2. Allocation of primary income account D.4Property income1183.11331.11470.21650.91148.02273.51974.0 D.41 Interest 748.4727.8788.2809.3846.4780.6739.4 D.42 Distributed income of corporations 123.4147.8140.6232.2262.1350.9244.3 D.43 Reinvested earnings on direct foreign investment5.43.77.4-4.70.72.70.1 D.44 Property income attributed to insurance policy holders289.0435.0514.5593.118.01123.11010.4 D.45 Rent 16.916.819.520.920.716.3-20.2 B.5*gNational income, gross4041.14266.64482.44731.95059.35049.35263.8 B.5*nNATIONAL INCOME, NET3559.93797.84010.14252.64552.74508.34595.2 II.2: Secondary distribution of income account D.5Current taxes on income, wealth, etc.532.9477.2536.1525.5549.1592.9890.4 D.51 Taxes on income507.8455.4511.5498.7520.9563.2861.3 D.59 Other current taxes25.121.824.626.828.129.629.1 D.61Social contributions265.6286.8307.9362.7441.9460.3454.7 D.62Social benefits other than social transfers in kind319.6332.6359.3426.6466.4522.5590.3 D.7Other current transfers567.3627.2642.9691.3851.0908.1959.7 B.6gDisposable income, gross4182.54534.14601.54828.95174.15515.05414.9 B.6nDISPOSABLE INCOME, NET3701.34065.24129.24349.64667.54974.04746.3 II.3: Redistribution of income in kind account D.63Social transfers in kind367.7357.1360.2384.8401.4410.3422.3 B.7gAdjusted disposable income, gross4182.54534.14601.54828.95174.15515.05414.9 B.7nADJUSTED DISPOSABLE INCOME, NET3701.34065.24129.24349.64667.54974.04746.3 II.4: Use of income accoun t II.4.1: Use of disposable income account P.3Final consumption expenditure3227.83398.83672.04127.24507.44469.84883.5 D.8 Adjustment for the change in net equity of households on pension funds -179.1-110.3-94.7-112.4-265.7-255.6-276.8 B.8gSaving, gross954.71135.2929.5701.7666.71045.2531.4 B.8nSAVING, NET473.5666.4457.2222.5160.1504.2-137.2 II.4.2: Use of adjusted disposable income account P.4Actual final consumption3227.83398.83672.04127.24507.44469.84883.5 D.8 Adjustment for the change in net equity of households in pension funds -179.1-110.3-94.7-112.4-265.7-255.6-276.8 B.8gSaving, gross954.71135.2929.5701.7666.71045.2531.4 B.8nSAVING, NET473.5666.4457.2222.5160.1504.2-137.2 III. :Accumulation accounts III.1: Capital account P.51Gross fixed capital formation1298.21444.31621.01845.42023.61875.82035.9 P.52Changes in inventories44.421.9-112.0-199.4-48.8-11.399.1 K.1Consumption of fixed capital-481.2-468.8-472.2-479.3-506.6-541.0-668.6 K.2 Acquisitions less disposals of land and other tangible nonproduced assets -3.837.412.58.2-1.80.33.0 D.9Capital transfers209.3218.5236.4253.6245.4253.4286.2 B.9NET LENDING (+) / NET BORROWING (-)-357.8-298.2-541.2-912.2-1263.8-778.5-1548.6 39

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Table 17 Summary sequence of accounts for the TOTAL ECONOMY, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 resources I. Production account P.1 Output 6609.1 7019.6 7354.7 7912.2 8706.9 8898.1 9265.6 P.11 Market output 5619.4 5975.7 6303.7 6799.7 7507.8 7668.6 8002.4 P.12 Output for own final use 399.4 413.7 429.8 446.4 464.3 481.6 501.7 P.13 Other non-market output 590.3 630.2 621.1 666.1 734.7 747.9 761.5 Financial Intermediary services indirectly measured 90.9 96.8 105.6 108.1 125.4 131.8 144.1 D.21-D.31 Taxes less subsidies on products 348.2 348.8 426.2 478.0 535.2 548.7 540.8 II. Distribution and use of income accounts II.1. Primary distribution of income account II.I.I. Generation of income account B.1g Gross Domestic Product 4004.5 4196.9 4399.1 4643.0 5071.9 5135.8 5282.9 B.1n NET DOMESTIC PRODUCT 3523.3 3728.1 3926.8 4163.7 4565.3 4594.8 4614.3 II.1.2. Allocation of primary income account B.2g/B.3g Operating surplus, gross/mixed income,gross 1354.9 1495.3 1530.4 1555.8 1768.5 1575.5 1649.6 B.2g/B.3g OPERATING SURPLUS, NET/MIXED INC. NET 873.7 1026.5 1058.1 1076.5 1261.9 1034.5 981.0 D.1 Compensation of employees 2286.3 2349.6 2443.6 2584.1 2741.8 2981.8 3088.6 D.11 Wages and salaries 1956.7 2028.6 2120.0 2244.0 2330.0 2534.8 2626.5 D.12 Employers' social contributions 329.6 321.0 323.6 340.1 411.8 447.0 462.1 D.2 Taxes on production and imports 494.5 500.3 542.5 623.1 681.6 700.7 698.2 D.3 Subsidies -127.4 -141.9 -96.7 -99.0 -103.6 -98.3 -115.4 D.4 Property income 1215.9 1394.4 1532.8 1718.9 1118.9 2163.1 1916.9 II.2: Secondary distribution of income account B.5g National income, gross 4041.1 4266.6 4482.4 4731.9 5059.3 5049.3 5263.8 B.5n NATIONAL INCOME, NET 3559.9 3797.8 4010.1 4252.6 4552.7 4508.3 4595.2 D.5 Current taxes on income, wealth, etc. 631.9 766.2 662.1 644.0 703.5 742.6 967.2 D.51 Taxes on income 606.8 744.4 637.5 617.2 675.3 712.9 938.1 D.59 Other current taxes 25.1 21.8 24.6 26.8 28.1 29.6 29.1 D.61 Social contributions 265.6 286.8 307.9 362.7 441.9 460.3 454.7 D.62 Social benefits other than social transfers in kind 319.6 332.6 359.3 426.6 466.4 522.5 590.3 D.7 Other current transfers 609.6 605.7 636.0 669.8 811.4 1224.1 1034.0 II.3: Redistribution of income in kind account B.6g Disposable income, gross 4182.5 4534.1 4601.5 4828.9 5174.1 5515.0 5414.9 B.6n DISPOSABLE INCOME, NET 3701.3 4065.2 4129.2 4349.6 4667.5 4974.0 4746.3 D.63 Social transfers in kind 367.7 357.1 360.2 384.8 401.4 410.3 422.3 II.4: Use of income accoun t II.4.1: Use of disposable income account B.6g Disposable income, gross 4182.5 4534.1 4601.5 4828.9 5174.1 5515.0 5414.9 B.6n DISPOSABLE INCOME, NET 3701.3 4065.2 4129.2 4349.6 4667.5 4974.0 4746.3 D.8 Adjustment for the change in net equity of households on pension funds -179.1 -110.3 -94.7 -112.4 -265.7 -255.6 -276.8 II.4.2: Use of adjusted disposable income account B.7g Adjusted disposable income, gross 4182.5 4534.1 4601.5 4828.9 5174.1 5515.0 5414.9 B.7n ADJUSTED DISPOSABLE INCOME, NET 3701.3 4065.2 4129.2 4349.6 4667.5 4974.0 4746.3 D.8 Adjustment for the change in net equity of households on pension funds -179.1 -110.3 -94.7 -112.4 -265.7 -255.6 -276.8 III. :Accumulation accounts III.1: Capital account B.8g Saving, gross 954.7 1135.2 929.5 701.7 666.7 1045.2 531.4 B.8n SAVING, NET 473.5 666.4 457.2 222.5 160.1 504.2 -137.2 K.2 Acquisitions less disposals of land and other tangible nonproduced assets -3.8 37.4 12.5 8.2 -1.8 0.3 3.0 D.9 Capital transfers 239.5 251.3 274.7 285.7 289.7 294.1 341.2 B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS 709.2 955.1 744.4 516.3 447.9 798.7 207.0 40

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Table 18 Summary sequence of accounts for the REST OF THE WORLD, Curaao (mln ANG ) 2004 2005 2006 2007 2008 2009 2010 uses V.I: Goods and services P.6 Exports of goods and services 2325.9 2497.0 2788.6 2825.4 3523.3 3116.6 2934.1 P.61 Exports of goods 742.4 887.3 1069.5 969.7 1688.5 1208.3 1222.8 P.62 Exports of services 1583.5 1609.7 1719.1 1855.7 1834.8 1908.3 1711.3 B.11 EXTERNAL BALANCE OF GOODS AND SERVICES 565.9 668.1 781.9 1130.2 1410.3 1198.4 1735.6 V.II: Primary incomes and current transfers D.1 Compensation of employees 6.3 12.1 23.6 26.1 24.1 33.1 48.9 D.4 Property income 150.0 170.5 209.4 233.1 178.5 128.7 148.2 D.41 Interest 122.5 138.9 177.4 181.4 123.8 78.6 86.7 D.42 Distributed income of corporations 27.5 31.6 32.0 51.7 53.1 50.1 61.5 D.43 Reinvested earnings on direct foreign investment 0.0 0.0 0.0 0.0 1.6 0.0 0.0 D.51 Current taxes on income, wealth, etc. 99.0 289.0 126.0 118.5 154.4 149.7 76.8 D.7 Other current transfers 346.1 322.8 322.0 349.4 435.4 832.0 645.8 B.12 CURRENT EXTERNAL BALANCE 387.9 330.9 579.5 944.3 1308.1 819.2 1603.6 V. Accumulation account V.III.1: Capital account D.92 Investment grants 31.6 33.7 42.3 34.9 33.2 40.3 53.9 D.99 Other capital transfers 0.0 0.0 0.1 3.5 14.9 5.3 8.9 B.9 NET LENDING (+) / NET BORROWING (-) 357.8 298.2 541.2 912.2 1263.8 778.5 1548.6 41

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Table 18 Summary sequence of accounts for the REST OF THE WORLD, Curaao (mln ANG ) 2004200520062007200820092010 resourcesV.I: Goods and services P.7Imports of goods and services 2891.73165.13570.53955.64933.64315.04669.7 P.71 Imports of goods 2083.42372.62719.33000.53866.83109.93404.7 P.72 Imports of services 808.3792.5851.2955.11066.81205.11265.0 V.II: Primary incomes and current transfers B.11 EXTERNAL BALANCE OF GOODS AND SERVICES 565.9668.1781.91130.21410.31198.41735.6 D.1Compensation of employees 2.55.72.95.27.69.210.9 D.4Property income 117.2107.2146.8165.1207.6239.1205.3 D.41 Interest 58.657.378.439.640.524.230.4 D.42 Distributed income of corporations 53.346.261.0130.2166.4212.2174.8 D.43 Reinvested earnings on direct foreign investments 5.43.77.4-4.70.72.70.1 D.7Other current transfers 303.8344.3328.9370.9475.0516.0571.5 V. Accumulation account V.III.1: Capital account B.12CURRENT EXTERNAL BALANCE387.9330.9579.5944.31308.1819.21603.6 D.99Other capital transfers1.50.94.16.33.84.97.8 B.10.1 CHANGES IN NET WORTH DUE TO SAVING AND CAPITAL TRANSFERS 389.4331.8583.6950.61311.9824.11611.4 42

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Annex 43

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Annex I. Overview of selected concepts and definitions1 Actual final consumption Governm ent actual final consumption is e qual to the value of the expenditures on collective servi ces. (art. 9.91) Household actual final consumption consists of the consumption of goods or services acquired by individual households by expenditures or through social transfers in kind, received from government units or non-profit institutions serving households NPISHs (art.9.72). Adjustment for the change in net equ ity of households in pension funds The reserves of private funded pension sche m es are treated in the System as being collectively owned by the hous eholds with claims on the funds. The payments of pension contributions into th e funds and the receipts of pensions by pensioners are, therefore, not transfers between different institutional units. They constitute the acquisition and disposal of financial assets However, this may not accord with the perception of the households concerned, especially pensioners' households, who tend to regard the pensions they receive as in come in the form of current transfers. In order to present income information th at may be more useful for analyzing the behavior of the households concerned, the pa yments of pension contributions and the receipts of pensions are th erefore recorded as part of the disposable incomes of households (art. 9.14, 9.15). Balancing item A balancing item is equal to the total value of the entries on one side of an account minus the total value for the other side. Balancing items are not simply devices introduced to ensure that ac counts balance. They contain a great deal of information and include some of the most important macro-economic aggregates in the accounts namely, value added/domestic product, opera ting surplus, disposable income, saving, net lending/net borrowing and curr ent external balance (art.3.64, 3.65). Consumption Consum ption is an activity in which institu tional units use up goods or services. There are two quite different kinds of consumpti on. Intermediate consumption consists of inputs into processes of production that are used up within the accounting period. Final consumption consists of goods and se rvices used by individual households or the community to satisfy their individua l or collective need s or wants (art.1.49). Exports of goods and services Exports of goods and services consist of sale s, barter, or gifts or grants, of goods and services from resident to non-residents (art 14.88) Financial corporations sector This sector consists of all resident corporations and quasi-corporations whose principal activity is financial intermediati on or facilitating financial intermediation. In addition, it includes NPIs engaged in market production of a fina ncial nature (e.g., 1 System of National Accounts 1993, Brussels/Luxembourg, NY, Paris, Washington,DC. 1993. Variables are in alphabetical order and the corresponding article numbers from the SNA manual are between brackets. 44

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insurance), including those financed by subscriptions from financial enterprises whose role is to promote and serve the interests of those enterprises (art 4.8). Financial Intermediation services indirectly measured (FISIM) Some financial intermediaries are able to provide services for which they do not charge explicitly by paying or charging diffe rent rates of interest to borrowers and lenders (and to different categories of borro wers and lenders). They pay lower rates of interest than would otherwise be the case to those who lend them money and charge higher rates of interest to those who borrow from them. The resulting net receipts of interest are used to defray their expens es and provide an operating surplus. This scheme of interest rates avoids the need to charge their customers individually for services provided and leads to the patter n of interest rates observed in practice. However, in this situation, the System mu st use an indirect measure, financial intermediation services indirect ly measured (FISIM), of the value of the services for which the intermediaries do not charge explicitly. The total value of FISIM is measured in the System as the total property income receivable by financial intermediaries minus their total interest payable, excluding the value of any property income receivable from the investment of their own funds, as such income does not arise from financial intermediation. Whenever the production of output is recorded in the System the use of that output must be explicitly accounted for elsewhere in the System. Hence, FISIM must be recorded as being disposed of in one or more of the following ways -as in termediate consumption by enterprises, as final consumption by households, or as exports to non-residents. In principle, the total out put should, therefore, be allocated among the various recipients or users of the services for wh ich no explicit charges are made. In practice, however, it may be difficult to find a method of allocating the total output among different users in a way wh ich is conceptually satisfactory from an economic viewpoint and for which the requisite data are also available. Some flexibility has therefore to be accepted in the way in which the output is allocated. (6.124, 6.125, 6.126) A lot of countries including Curaao pref er to continue to use the convention proposed in the 1968 version of the SNA wher eby the whole of the output is recorded as the intermediate consumption of a nominal industry. This convention makes total GDP for the economy as a whole invarian t to the size of the estimated output. General government sector This sector consists m ainly of central, st ate and local government units together with social security funds imposed and controlled by those units. In addition, it includes NPIs engaged in non-market production that are controlled and mainly financed by government units or social security funds (art.4.9). Gross Domestic Product (GDP) The sum of gross value added of all resident producer units (institutional sectors or, alternatively, indus tries) plus that part (possibly the total) of taxes, less subsidies on products, which is not in cluded in the valuation of output (production approach) or, 45

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The sum of the final uses of goods and se rvices (all uses except intermediate consumption) measured in purchasers' prices, less the value of imports of goods and services (expenditure approach) or, The sum of primary incomes distributed by resident producer units (income approach); (art.7.17). Gross fixed capital formation This is the value of acquisitions less disp osals of fixed assets Fixed assets are produced assets (mostly machinery, equipment, buildings or other structures but also including some intangible assets) that ar e used repeatedly or continuously in production over several accounting periods (more than one year); (art.1.49). Gross National Income (GNI) Gross National Income (GNI) is equal to GDP less primary incomes payable to nonresident units plus primary incomes rece ivable from non-resident units. In other words, GNI is equal to GDP less taxes (l ess subsidies) on production and imports, compensation of employees and property income payable to the rest of the world plus the corresponding items receivable from the rest of the world. Thus GNI at market prices is the sum of gross primary inco mes receivable by resident institutional units/sectors (art. 7.16). Households sector This sector consists of all resident households. These in clude institutional households m ade up of persons staying in hospitals, re tirement homes, convents, prisons, etc. for long periods of time. As already noted, an unincorporated enterprise owned by a household is treated as an integr al part of the latter and not as a separate institutional unit, except when the enterprise quali fies as a quasi-cor poration (art 4.11). Imports of goods and services Im ports consist of purchases, barter, or re ceipts of gifts or grants, of goods and services by resident from non-residents (art.14.88). Non-profit institutions serving households sector This sector consists of all resident NPIs, except those controlled and m ainly financed by government that provide non-market goods or services to households (art 4.10). Output Output consists only of those goods or services that are produced within an estab lishment that become available for use outside that establishment. When an enterprise contains more than one establishment, the output of the enterprise is the sum of the outputs of its compone nt establishments (art. 6.38). Quasi corporations Quasi-corpo rations are unincorporated ente rprises that function as if they were corporations. If they function like corporations, they mu st keep complete sets of accounts A quasi-corporation may be: either an unincorporated enterprise owned by a resident institutional unit that is operated as if it were a separate co rporation and whose de facto relationship to its owner is that of a corporation to its shareholders: such an enterprise must, of course, keep a co mplete set of accounts; or 46

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an unincorporated enterprise owned by a non-resident ins titutional unit that is deemed to be a resident institutional unit because it engages in a significant amount of production in the ec onomic territory over a l ong or indefinite period of time ( art. 4.49 t/m 4/52). Residency An institu tional unit is resident in a country when it has a center of economic interest in the economic territory of that country. It is said to have a center of economic interest when there exists some location--dwelling, place of production or other premises--within the economic territory on, or from, which it engages, and intends to continue to engage, in ec onomic activities and transact ions on a significant scale either indefinitely or over a finite but long period of time. In most cases, a long period of time may be interpreted as one year or more, although this is suggested only as a guideline and not as an inflexible rule (art.4.15). Thus, residence is not based on nationality or legal criteria (although it may be similar to the concepts of residence used for excha nge control, tax or ot her purposes in many countries). Some aspects of residence: (a) The residence of individual persons is determined by that of the household of which they form part and not by their pl ace of work. All members of the same household have the same residence as th e household itself, even though they may cross borders to work or otherwise spend pe riods of time abroad. If they work and reside abroad so long that they acquire a center of economic interest abroad, they cease to be members of th eir original households; (b) Unincorporated enterprises that ar e not quasi-corporations are not separate institutional units from their owners and, th erefore, have the same residence as their owners; (c) Corporations and NPIs may normally be expected to have a center of economic interest in the country in which they are legally constituted and registered. Corporations may be resident in countries different fr om their shareholders and subsidiary corporations may be resident in different countries from their parent corporations. When a corporation, or uninc orporated enterprise, maintains a branch, office or production site in another country in order to engage in a significant amount of production over a long period of time but without creating a subs idiary corporation for the purpose, the branch, office or site is considered to be a quasi-corporation (i.e., separate institutional unit) resident in the country in which it is located (see paragraphs 14.22 to 14.28 of chapter XIV); d) Owners of land and buildings in the economic territory of a country are deemed always to have a center of economic intere st in that country, even if they do not engage in other economic activities or tr ansactions in the country. All land and buildings are therefore owned by residents (see paragraph 14.14 of chapter XIV).(art. 4.16) Transfers A transf er is defined as a transaction in which one institutional unit provide s a good, service or asset to another unit without receiving from th e latter any good, service or asset in return as counterpart. Transfers may be either current in kind or in cash or capital in kind and in cash. In the case of a capital transfer the ownership of an asset (o ther than inventories) is transferred, or an asset (other than inventories) is purchas ed or disposed of by one or 47

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both parties to the transaction. An exam ple of a capital transfer is an investment grant (in cash). In practice, capital transfers tend to be large, infrequent and irregular. Current transfers consist of all transfers that are not transfers of capital. They directly affect the level of disposable income a nd should influence the consumption of goods or services. Current transfer s tend to be comparatively small and are made frequently and/or regularly. Both parties should classi fy a transfer in the same way (art. 8.27). 48

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Annex II. Classification of select ed transactions and other flows2 1. Transactions in goods and services (products) (P) P.1 Output P.11 Market output P.12 Output for own final use P.13 Other non-market output P.2 Intermediate consumption P.3 Final consumption expenditure P.31 Individual consumption expenditure P.32 Collective consumption expenditure P.4 Actual final consumption P.41 Actual individual consumption P.42 Actual collective consumption P.5 Gross capital formation P.51 Gross fixed capital formation P.52 Changes in inventories P.6 Exports of goods and services P.61 Exports of goods P.62 Exports of services P.7 Imports of goods and services P.71 Imports of goods P.72 Imports of services 2. Distributive transactions (D) D.1 Compensation of employees D.11 Wages and salaries D.12 Employers' social contributions D.2 Taxes on production and imports D.21 Taxes on products D.212 Taxes and duties on imports excluding VAT D.2121 Import duties D.2122 Taxes on imports excluding VAT and duties D.213 Export taxes D.214 Taxes on products, except VAT, import and export taxes D.29 Other taxes on production D.3 Subsidies D.31 Subsidies on products 2 System of National Accounts 1993, Brussels/Luxembourg, NY, Paris, Washington,DC. 1993. Selected transactions are those used in the Curaao. 49

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50 D.39 Other subsidies on production D.4 Property income D.41 Interest D.42 Distributed income of corporations D.421 Dividends D.43 Reinvested earnings on direct foreign investment D.44 Property income attributed to insurance policy holders D.45 Rent D.5 Current taxes on income, wealth, etc. D.51 Taxes on income D.59 Other current taxes D.6 Social contributions and benefits D.61 Social contributions D.611 Actual social contributions D.62 Social benefits other th an social transfers in kind D.621 Social security benefits in cash D.7 Other current transfers D.71 Net non-life insurance premiums D.72 Non-life insurance claims D.74 Current international cooperation D.75 Miscellaneous current transfers D.8 Adjustment for the change in net equity of households in pension funds D.9 Capital transfers D.91 Capital taxes D.92 Investment grants D.99 Other capital transfers 3. Other accumulation entries (K) K.1 Consumption of fixed capital K.2 Acquisitions less disposals of non-produced non-financial assets K.21 Acquisitions less disposals of land and other tangible nonproduced assets K.211 Acquisitions of land and other tangible non-produced assets K.212 Disposals of land and other tangible non-produced assets