Explanatory Notes on Main Statistical Indicators

Enterprise Prosperity Index Survey also known as economic cycle survey or short-term economic observation survey. Targeting at entrepreneurs, the survey is conducted in a manner of questionnaires. It is a statistical survey to collect information on judgment of macro-economy and enterprise business climate changes. To be brief, enterprise prosperity survey is to investigate entrepreneurs’ judgment and expectation on macro-economic dynamics and enterprise production and business status. The survey covers 8 major national economic sectors, i.e. industry, construction, transport, warehouse storage and postal service, wholesale and retail trades, real estate, social service, information transmission, computer service and software, accommodation and food and drink.

Prosperity Index also called prosperity degree, is a quantitative description of qualitative indicators in enterprise climate survey, aiming to visualize the status of economy. The value of index ranges from 0 to 200, with 100 as the critical value. When the index is greater than 100, it indicates that the economic status is rising or improving, and in a prosperous state; when the index is 100, it shows the economic status is declining or deteriorating, and in a non-prosperous state.

Index of Confidence by Enterprisers also known as Macroeconomic Climate Index, which is indexed according to the enterprise decision makers' opinions and expectations (with choices of "optimistic", "moderate" and "non-optimistic") on the development status of the sector and its future trend. It reflects the enterprise decision makers’ confidence about and expectation on the national macroeconomic development. It serves as the enterprise decision makers’ feeling, experience and expectation about current macroeconomic status and its trend.

Prosperity Index on Enterprises also known as Business Climate Index, which is indexed according to estimations and expectations of enterprise decision makers’ opinions and expectation on the enterprise’s current and future production and operation status (choice of "good", "moderate” and "bad"). It represents the enterprise decision makers’ comprehensive evaluation and judgment on the current situation and future trend of the enterprise production and operation.

Non-public Economy means enterprises as corporate units whose shares are controlled by “non-public entities” and whose assets are controlled by individuals, investors from Hong Kong, Macao and Taiwan, and foreign investors, along with enterprises not as corporate units and self-employed operators whose main funds are from individuals, investors from Hong Kong, Macao and Taiwan, and foreign investors. Of which, enterprises controlled by individuals, investors from Hong Kong, Macao and Taiwan, and foreign investors mean economic sectors absolutely controlled or relatively controlled by such companies.

Consumer Confidence Index is an indicator reflecting and quantifying the consumers’ evaluation on current economic situation, and their personal feeling about the economic prospect, income level, income expectation, and psychological state of consumption. It serves as a leading indicator predicting the trend of economy tendency of consumption, and an essential basis for monitoring the changes in economic cycle. and other conditions as well as expectation on the economic prospect in a future period of time. Consumer Confidence Index consists of consumer satisfaction index and consumer expectation index. Of which, consumer satisfaction index reflects consumers’ evaluation on current economic life; consumer expectation index reflects consumers’ expectation on the development and changes in the economic prospect in a future period of time.

Meaning of index values: Values of the index range from 0 to 200. 100 represents a critical point between strong and weak confidence. An index greater than 100 indicates the consumers’ confidence is in a strong area of confidence. An index going toward 200 from 100 shows the consumers’ confidence is becoming strong gradually; in contrary, an index smaller than 100 means the consumers’ confidence is in a area of weak confidence. When the index value going toward 0 from 100, it means the consumers’ confidence is weakening gradually.