Finland Times

The key indicators for the household and non-financial corporation sectors has been declined slightly in the third quarter of the year2012, said a study reports of the Statistics Finland released on Friday.

The profit share of the non-financial corporation sector was a bit lower compared to the last year, said the report.

According to the statistics, the investment rate of both households and enterprises decreased somewhat. Household adjusted disposable income increased nominally thanks to the growth in wages and salaries and received social benefits.

Households' saving rate was 1.7 per cent in the third quarter of 2012. The figure was 2.3 per cent in the previous year. Saving rate refers to the proportion of savings in disposable income. In the third quarter, the investment rate of households accounted for 14.2 per cent of disposable income. One year previously, the corresponding figure was 14.6 per cent. Most of households' investments were investments in dwellings.

Household adjusted disposable income, the indicator recommended by the OECD for measuring economic well-being, grew in nominal terms by 2.7 per cent from the corresponding quarter of last year. Adjusted disposable income is derived by adding services produced by the public sector, such as education, health and social services, to the disposable income of the household sector.

In the third quarter of 2012, the profit share of non-financial corporations, or the share of profits in value added, was 22.5 per cent. One year previously, the corresponding figure was 23.7 per cent. The investment rate of non-financial corporations, or the proportion of investments in value added, was 22.6 per cent in the third quarter of 2012. One year ago, the investment rate was slightly higher, 23.4 per cent.

Sector accounts only contain figures at current prices. Profit share, saving rate and investment rate are calculated from net figures. Households do not include non-profit institutions serving households.