Rest of the World; U.S. Direct Investment Abroad, Including Netherlands Antillean Financial Subsidiaries; Liability (Current Cost), Transactions

Annual

ROWNAFA027N • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

298,984.00

Year-over-Year Change

-11.64%

Date Range

1/1/1946 - 1/1/2024

Summary

The Annual trend measures the year-over-year change in net income for U.S. nonfinancial corporations. It provides insight into the overall profitability and financial health of the corporate sector.

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

The Annual trend tracks the annual percent change in net income, which is a key measure of corporate profitability. It is used by economists and policymakers to assess the financial strength and investment capacity of the business sector.

Methodology

The data is collected and calculated by the U.S. Bureau of Economic Analysis as part of the National Income and Product Accounts.

Historical Context

Trends in corporate profitability are closely monitored for their implications on business investment, employment, and the broader economic outlook.

Key Facts

  • Net income for U.S. nonfinancial corporations reached a record high in 2021.
  • The Annual trend experienced its largest decline on record in 2020 due to the COVID-19 pandemic.
  • Trends in corporate profitability are closely watched for their implications on the broader economy.

FAQs

Q: What does this economic trend measure?

A: The Annual trend measures the year-over-year percent change in net income for U.S. nonfinancial corporations.

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

A: Trends in corporate profitability provide insight into the financial health and investment capacity of the business sector, which has important implications for the broader economic outlook.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the U.S. Bureau of Economic Analysis as part of the National Income and Product Accounts.

Q: How is this trend used in economic policy?

A: Policymakers and analysts closely monitor trends in corporate profits to assess the financial strength and investment capacity of the business sector, which can inform decisions on monetary and fiscal policy.

Q: Are there update delays or limitations?

A: The Annual trend data is published on a quarterly basis with a lag of several months, so there may be delays in observing the most recent trends.

Related Trends

Citation

U.S. Federal Reserve, Annual (ROWNAFA027N), retrieved from FRED.