A Cumulative Production Structure Matrix for Dutch SMEs

At the meso-economic level, GDP is defined as the balance between sales of final goods and services and sales of intermediate goods and services on the one hand, and the use of domestically produced and imported intermediate goods on the other. At the macro-economic level, sales of intermediate goods and services and use of domestically produced goods and services cancel out, and a direct relation between final sales and GDP is obtained: the well-known Y= C + G + I + X – M identity. Still, as sectors differ significantly regarding the distribution of sales over sales categories (including intermediate goods and services), it would still be interesting to analyse the relation between GDP at the meso-level and final demand. A Cumulative Production Structure (CPS) matrix provides such information. The current document documents the development of such a matrix for the Dutch SME-sector for the year 2009, and summarises its results.