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Expenditure Categories
In order to relate the commodity labor shares to consumption expenditure data, commodities are mapped into 48 separate categories. A labor share is then calculated for every expenditure category. Commodities are weighted by the amount of personal consumption expenditures (PCE) to determine labor shares by expenditure category. Expenditures on housing are largely allocated to the construction industry. The definition of expenditure categories depends on how easy it is to map an expenditure category to a commodity in the I-O tables. On one hand, for example, expenditures on laundry, cleaning, and garment services can be directly linked to one I-O commodity. On the other hand, expenditures on food inside the home are linked to 50 commodities, most of which fall under "food and kindred products." Expenditure categories range from food (inside the home, outside the home), household services, financial and legal services, household goods (appliances, furniture), utilities, housing (rent, maintenance), apparel, education, transportation (cars, public), and recreation (equipment, fees).