Bleg: Accounting for the Real Sector
I’m hoping my gentle accounting-dweeby readers can help me.
I’m very interested in looking at economic measures (i.e. debt/lending/borrowing) for the U.S. “real” sector: households plus nonfinancial business.
My problem: with some exceptions, various national accounts (NIPA, FOFA, IMA) don’t provide tables for this “sector.”
I don’t think I can simply sum up household and nonfinancial business, because some of the lending/borrowing is between these two sectors. Is it possible to net that out based on published tables?
I’d really like to see a sectoral balance chart (really a “balance of flows”) displaying the following sectors:
Rest of World
I’d really love to see the lending/borrowing flows from each sector, to each other sector. Sized arrows between each. Is this possible?
That sectoral breakout is tricky, of course, because firms — especially financial firms — are heavily engaged in ROW. Is it even possible to realistically estimate the financial sector as a purely domestic entity?
Any thoughts and suggestions are welcome. Thanks.
Update: A further condundrum: at least in the FOFAs, hedge funds are tallied under Households. This is presumably because like households but unlike commercial banks, they’re not licensed/chartered to print new money for lending (at least nominally, technically…). To the extent that “hedge funds” includes the whole goddam shadow-banking industry (?), it seems like this would (wildly?) distort numbers for the household hence the real sector. Also: Several banks and holding companies, i.e. Goldman Sachs, magically transformed themselves into commercial banks during the financial crisis, so they could tap bailout funds. How did national accountants deal with that? How would it affect time series of debt/lending/borrowing for the financial and real sectors?