What are the Services of Consumer Durables?

The Services of Consumer Durables are the annual flow of benefits received from the stock of consumer durables by their owners, such as appliances and motor vehicles.

Why are the Services of Consumer Durables Important?

Consumer Durables provide benefits for many years, not just in the year they are bought. Ideally, this indicator could capture the difference between the purchase of objects with a short lifespan and those that last for a long time. This is not fully possible at the state level since this data is not recorded.

How Have the Services of Consumer Durables Changed Over the Years?

The services of consumer durables have increased over the years with increased consumer spending, but with a slightly lower share.

Methodology & Data Sources

Since state data was not available or insufficient, national data had to be scaled down. The Services of Consumer Durables are calculated as a flow equal to 20% of their original cost, based on depreciation and the interest rate that could have been achieve if the money had been invested instead.

Equation

20% of the Stock of Consumer Durables

Points of Contact

Al Goyburu, DBED

More Information

US Bureau of Labor Statistics