Balance on primary income
IEABCPI • Economic Data from Federal Reserve Economic Data (FRED)
Latest Value
-7,618.00
Year-over-Year Change
-133.35%
Date Range
1/1/1999 - 1/1/2025
Summary
The Balance on Primary Income measures the net earnings and investment income received by U.S. residents from the rest of the world. It is a key component of the U.S. current account and an important indicator of the nation's international economic position.
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 Balance on Primary Income tracks income flows related to cross-border investment and employment, including interest, dividends, reinvested earnings, and compensation of employees. It provides insight into the U.S. net position as a creditor or debtor nation and the underlying drivers of the current account balance.
Methodology
The data is compiled by the U.S. Bureau of Economic Analysis using a variety of sources, including surveys of businesses and government agencies.
Historical Context
Policymakers monitor the Balance on Primary Income to assess the U.S. international economic competitiveness and the sustainability of the current account deficit.
Key Facts
- The U.S. has run a consistent surplus on the Balance on Primary Income since the 1970s.
- In 2021, the U.S. Balance on Primary Income surplus was $251 billion.
- Investment income, especially from U.S. assets abroad, is the largest component of the Balance on Primary Income.
FAQs
Q: What does this economic trend measure?
A: The Balance on Primary Income measures the net earnings and investment income received by U.S. residents from the rest of the world, including interest, dividends, reinvested earnings, and compensation of employees.
Q: Why is this trend relevant for users or analysts?
A: The Balance on Primary Income provides insight into the U.S. net position as a creditor or debtor nation and the underlying drivers of the current account balance, which is important for assessing the country's international economic competitiveness and the sustainability of the current account deficit.
Q: How is this data collected or calculated?
A: The data is compiled by the U.S. Bureau of Economic Analysis using a variety of sources, including surveys of businesses and government agencies.
Q: How is this trend used in economic policy?
A: Policymakers monitor the Balance on Primary Income to assess the U.S. international economic competitiveness and the sustainability of the current account deficit.
Q: Are there update delays or limitations?
A: The Balance on Primary Income data is published quarterly by the U.S. Bureau of Economic Analysis, with a typical release lag of 2-3 months.
Related Trends
Citation
U.S. Federal Reserve, Balance on Primary Income (IEABCPI), retrieved from FRED.