Chart Detail

Corporate-sector income shares, profit rates, and capital-to-output ratio, selected years, 1959–2010

Income share Profit rate Capital-to-output ratio
Labor Capital Total Pretax Post-tax
1959 77.5% 22.5% 100.0% 12.6% 6.9% 1.78
1969 79.1 20.9 100.0 13.0 7.8 1.61
1979 81.2 18.8 100.0 9.4 5.8 2.01
1989 80.0 20.0 100.0 10.8 7.8 1.85
1995 79.3 20.7 100.0 11.6 8.1 1.79
2000 81.2 18.8 100.0 11.0 7.8 1.71
2007 78.0 22.0 100.0 11.1 7.5 1.99
2010 73.8 26.2 100.0 13.3 9.6 1.97

Source: Authors' analysis of Bureau of Economic Analysis National Income and Product Accounts (Table 1.14) and Fixed Assets Accounts (Table 6.1)

Updated May 22, 2012

Documentation and methodology

Underlying data are from the Bureau of Economic Analysis National Income and Product Accounts, Table 1.14, “Gross Value Added of Domestic Corporate Businesses in Current Dollars and Gross Value added of Nonfinancial Domestic Corporate Business in Current and Chained Dollars” and BEA Fixed Assets Accounts, Table 6.1, “Current-Cost Net Stock of Private Fixed Assets by Industry Group and Legal Form of Organization.” Total income shares are the sum of labor and capital income, specifically the sum of line items Compensation and Net Operating Surplus to get net value added in NIPA Table 1.14. Labor share is the share of compensation in net value added and capital is net operating surplus over net value added. Pretax profit rate is the net operating surplus divided by private fixed corporate assets, line item 2 from Table 6.1. Post-tax profit rate is the net operating surplus, without taxes, divided by private fixed corporate assets. The capital-to-output ratio is private fixed corporate assets divided by the constructed net value added.

Get the data

Get the data behind the charts.

Explore Our Charts

Subject

Demographic

Select a subject or demographic

Interactive feature

Interactive feature promo image When income grows, who gains?

For the media

Economic Policy Institute Media Relations Department (202) 775–8810 |