Net Income of Corporations Reporting Net Income for United States

A09008USA144NNBR • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

9,106.00

Year-over-Year Change

-14.24%

Date Range

1/1/1909 - 1/1/1940

Summary

The 'Net Income of Corporations Reporting Net Income for United States' trend measures the total net income, or profits, earned by U.S. corporations. It serves as an important indicator of overall corporate financial health and economic activity.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This metric represents the aggregate net income (after deducting expenses and taxes) of all U.S. corporations that reported positive net income. It provides insight into the profitability and earnings power of the corporate sector, which is a crucial driver of broader economic growth and investment.

Methodology

The data is collected and calculated by the U.S. Bureau of Economic Analysis based on financial reporting from corporations.

Historical Context

Analysts and policymakers closely monitor this trend to gauge the strength of the U.S. business environment and corporate earnings cycle.

Key Facts

  • U.S. corporate net income reached a record high of $2.2 trillion in 2021.
  • The trend experienced a sharp decline during the 2008-2009 financial crisis.
  • Corporate profits are a key input for measures of U.S. GDP and national income.

FAQs

Q: What does this economic trend measure?

A: This trend measures the total net income, or profits, earned by U.S. corporations. It provides an overview of the profitability and financial performance of the corporate sector.

Q: Why is this trend relevant for users or analysts?

A: Corporate earnings and profitability are crucial indicators of broader economic health and activity. This trend offers insights into the strength of the business environment and can inform investment, policy, and economic growth decisions.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the U.S. Bureau of Economic Analysis based on financial reporting from corporations.

Q: How is this trend used in economic policy?

A: Policymakers and analysts closely monitor corporate profits to gauge the strength of the business cycle, which informs decisions around monetary policy, fiscal policy, and economic stimulus measures.

Q: Are there update delays or limitations?

A: The data is published quarterly with a lag of approximately two to three months, so there may be delays in accessing the most recent information.

Related Trends

Citation

U.S. Federal Reserve, Net Income of Corporations Reporting Net Income for United States (A09008USA144NNBR), retrieved from FRED.