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Technical Notes
Gross Regional Domestic Expenditure (GRDE) 
Definition
Gross Regional Domestic Expenditure (GRDE) is defined as the expenditure of resident institutional sectors of the region in the domestic territory plus their expenditures in other regions including the rest world. This is intended to complement the current series of the Gross Regional Domestic Product (GRDP), which is being prepared by the Economic and Social Statistics Office (ESSO) of the National Statistical Coordination Board (NSCB).The first GRDE estimates were prepared by the NSCB in 1987 covering the series 1975-1987. The latest GRDE available is for 1999 and this series (1997-1999) now includes separate estimates for ARMM and Caraga.
ComponentsThe GRDE includes regional estimates on the following:
Data Sources
PCE - National Statistics Office, Local Water Utilities Administration, Land Transportation Office, Bureau of Internal Revenue, Department of Energy, National Economic Development Authority Regional Office, RSCS
GCE - Commission on Audit, Government Service Insurance System, Social Security System
Construction - National Economic Development Authority, Department of Transportation and Communication, National Irrigation Administration, Department of Public Works and Highways, Philippine Ports Authority, National Electrification Administration, Local Water Utilities Administration, National Statistics Office
Durable Equipment - National Statistics Office, National Power Corporation
Breeding Stocks and Orchard Development - Bureau of Agricultural Statistics, Bureau of Animal Industry
Changes in Stocks - Bureau of Agricultural Statistics, Department of Energy, National Statistics Office, Commission on Audit
Considerations
In using the GRDE for specific studies or analyses, the following points should be considered: The GRDE estimation is based on the national aggregation of the national income accounts. This is broken down by regions using various indicators. Specifically, the major expenditure items are estimated as follows:
The GRDE estimation usually starts with the national estimates and this is broken down to regions using indicators of regional distribution. However, some expenditure items are estimated independently by region, like in Government Consumption Expenditure (GCE).
For Personal Consumption Expenditure (PCE), the national estimate is distributed to the regions based on the results of the Family Income and Expenditure Survey (FIES). It is assumed that the distribution of the final expenditures of non-profit institutions serving households is the same as the household expenditure distributions.
GCE is independently estimated by region using data from the Commission on Audit (COA).
For construction, the undercoverage ratio for private construction is assumed to be uniform across regions at present because there are no data currently available to estimate the undercoverage ratio by region. For public construction, the national deflator was used for all regions to arrive at the constant price estimates.
The regional distribution of durable equipment utilizes the results of the Annual Survey of Establishment (ASE) and the Census of Establishment (CE). As such, the estimates are affected by the limitations of these surveys.
As in the case of durable equipment, estimates of the changes in stocks for non-agricultural industries use the ASE/CE for regional distribution. Data for stocks in agriculture and government are readily available.
In the absence of data on regional trade flow, net exports is derived as a residual item. Hence, net export refers to the combined effect of the income flows between regions, the commodity flows between regions and the rest of the world and statistical discrepancy.
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