Personal Income and Outlays - US PCE
US Personal Income and Outlays: Monthly ReportThe "US Personal Income and Outlays" report, released monthly by the Bureau of Economic Analysis (BEA), provides a comprehensive overview of the economic well-being of households in the United States. This report includes several key indicators:
• Personal Income: This measures the total income received by individuals from all sources, including wages, salaries, social security, rental income, and dividends. An increase in personal income indicates a rise in the economic prosperity of individuals.
• Disposable Personal Income (DPI): This is the amount of money individuals have left to spend or save after paying personal current taxes. It is a crucial measure as it reflects the actual purchasing power of households.
• Personal Consumption Expenditures (PCE): This measures the value of goods and services purchased by households. PCE is a major component of the Gross Domestic Product (GDP) and is used to gauge consumer spending trends.
• PCE Price Index: This index measures the average increase in prices for all domestic personal consumption. It includes the prices of goods and services and is a key indicator of inflation. The report also provides the PCE price index excluding food and energy, as these can be volatile.
• Real Disposable Personal Income and Real PCE: These figures are adjusted for inflation, providing a more accurate picture of purchasing power and spending trends over time.
The report includes monthly changes, providing insight into economic trends and consumer behavior. It also compares current data to the previous month and the same month from the previous year to identify patterns and significant changes.
