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Home BUSINESSHouseholds' saving rate negative in Q4, 2015
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Fri, 18 Mar, 2016 04:01:54 AM
FTimes Report, Mar 18
 
The saving rate of the household sector was negative in the fourth quarter of 2015, but it improved compared to the third quarter.
 
Adjusted disposable income describing households' economic well-being grew year-on-year.
 
The profit share of the non-financial corporation sector weakened compared with the previous quarter but the investment rate grew clearly, according to Statistics Finland’ data derived from its quarterly sector accounts.
In the fourth quarter of 2015, the profit share of non-financial corporations, or the share of profits in value added, weakened by 1.3 percentage points to 22 per cent.
 
The investment rate of non-financial corporations, or the proportion of investments in value added, increased by 1.1 per cent to 26.6 per cent.
 
Households' saving rate was -0.4 per cent in the fourth quarter of 2015 and it was -0.8 per cent in the previous year while in the early part of the year it was positive.
The investment rate of households accounted for 10.4 per cent of disposable income.
 
The investment rate of households has not changed significantly over the past year. Most of households' investments were investments in dwellings.
 
Households' adjusted disposable income grew from the corresponding quarter in 2014 by 0.8 per cent adjusted for price changes.
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