2002 Economic Census:
|Survey of Business Owners -- Introductory Text|
|Purposes and uses||Basis of reporting||Industry classifications||Relationship to historical classifications||Geographic area coding||Geographic areas covered||Historical information||Sources for more information|
|Reports||Dollar values||Comparability||Size||Reliability of estimates||Disclosure||Contacts||Additional data||Abbreviations and symbols|
|Appendix A: Explanation of Terms||Appendix B: NAICS Codes, Titles, Descriptions||Appendix C: Methodology||Appendix D: Geographic Notes||Appendix E: Metropolitan and Micropolitan Statistical Areas|
The economic census is the major source of facts about the structure and functioning of the nation's economy. It provides essential information for government, business, industry, and the general public. Title 13 of the United States Code (Sections 131, 191, and 224) directs the Census Bureau to take the economic census every 5 years, covering years ending in “2” and “7.”
The economic census furnishes an important part of the framework for such composite measures as the gross domestic product estimates, input/output measures, production and price indexes, and other statistical series that measure short-term changes in economic conditions. Specific uses of economic census data include the following:
The economic census is conducted on an establishment basis. A company operating at more than one location is required to file a separate report for each store, factory, shop, or other location. Each establishment is assigned a separate industry classification based on its primary activity and not that of its parent company. (For selected industries, only payroll, employment, and classification are collected for individual establishments, while other data are collected on a consolidated basis.)
The Survey of Business Owners (SBO) is conducted on a company or firm basis rather than an establishment basis. A company or firm is a business consisting of one or more domestic establishments that the reporting firm specified under its ownership or control at the end of 2002.
The SBO covers both firms with paid employees and firms with no paid employees. Although firms with no paid employees are included in this survey, they are omitted from many of the economic census reports. Because of the inclusion of firms with no paid employees, caution should be exercised in comparing data presented in this report with published or unpublished data from other reports of the 2002 Economic Census.
Data from the 2002 SBO are summarized by kind of business based on the 2002 North American Industry Classification System (NAICS). The 2002 SBO includes all firms operating during 2002 with receipts of $1,000 or more which are classified in one or more of the following NAICS sectors:
|11||Forestry, Fishing and Hunting, and Agricultural Support Services (NAICS 113-115)|
|48-49||Transportation and Warehousing|
|52||Finance and Insurance|
|53||Real Estate and Rental and Leasing|
|54||Professional, Scientific, and Technical Services|
|55||Management of Companies and Enterprises|
|56||Administrative and Support and Waste Management and Remediation Services|
|62||Health Care and Social Assistance|
|71||Arts, Entertainment, and Recreation|
|72||Accommodation and Food Services|
|81||Other Services (except Public Administration)|
|99||Industries Not Classified|
The 20 NAICS sectors are subdivided into 96 subsectors (three-digit codes) and 317 industry groups (four-digit codes). Selected NAICS industries are defined in Appendix B, NAICS Codes, Titles, and Descriptions.
The following NAICS industries are not covered in the 2002 SBO:
NAICS 11 and 99 are in scope of the SBO, but out of scope of the economic census. NAICS 525 and 813 are within the scope of the economic census, but out of the scope of the SBO. Therefore, caution should be exercised in comparing data presented in this report with published or unpublished data from other reports of the 2002 Economic Census.
Prior to the 2002 SBO, data were published according to the Standard Industrial Classification (SIC) system. NAICS identifies new industries, redefines concepts, and develops classifications to reflect changes in the economy. While many of the individual NAICS industries correspond directly to industries as defined under the SIC system, most of the higher level groupings do not. Particular care should be taken in comparing data for construction, manufacturing, retail trade, and wholesale trade, which are sector titles used in both the NAICS and SIC systems, but cover somewhat different groups of industries. A description and comparison of the NAICS and SIC systems can be found in the 2002 NAICS and 1987 Correspondence Tables on the Internet at www.census.gov/epcd/naics02/N02TOS87.HTM.
The size categories, both by receipts and employment, are based on the total nationwide receipts and/or employment of the firm. A firm is a business organization or entity consisting of one domestic establishment (location) or more under common ownership or control. All establishments of subsidiary firms are included as part of the owning or controlling firm. For the economic census, the terms "firm" and "company" are synonymous.
The revenue and employment of a multi-unit firm is determined by summing the receipts and employment, respectively, of all associated establishments. The receipts size and employment size of a firm are determined by the summed revenue or employment of all associated establishments. The employment size group 0 includes firms for which no associated establishments reported paid employees in the mid-March pay period, but paid employees at some time during the year.
Receipts size and employment size are determined for the entire company. Hence, counterintuitive results are possible, for example, only 100 employees in a category of firms with 500 employees or more in a particular industry.
Accurate and complete information on the physical location of each establishment is required to tabulate the economic census data for states, metropolitan and micropolitan statistical areas, counties, and corporate municipalities (places) including cities, towns, townships, villages, and boroughs. Respondents were required to report their physical location (street address, municipality, county, and state) if it differed from their mailing address. For establishments not surveyed by mail (and those single-establishment companies that did not provide acceptable information on physical location), location information from administrative sources is used as a basis for coding.
The 2002 SBO data are presented for the United States, each state and the District of Columbia; metropolitan and micropolitan statistical areas; counties; and corporate municipalities (places) including cities, towns, townships, villages, and boroughs with 100 or more minority- or women-owned firms. Although collected on a company basis, data are published such that firms with more than one domestic establishment are counted in each geographic area in which they operate. The employment, payroll, and receipts reflect the sum of their locations within the specified geography and are, therefore, additive to higher levels. The sum of firms, however, reflects all firms in a given tabulation level and are not additive. For example, a firm with operating locations in two counties will be counted in both counties, but only once in the state total.
The level of geographic detail varies by report. Notes specific to areas in the state are included in Appendix D, Geographic Notes. Data may be presented for –
The economic census has been taken as an integrated program at 5-year intervals since 1967 and before that for 1954, 1958, and 1963. Prior to that time, individual components of the economic census were taken separately at varying intervals.
The economic census traces its beginnings to the 1810 Decennial Census, when questions on manufacturing were included with those for population. Coverage of economic activities was expanded for the 1840 Decennial Census and subsequent censuses to include mining and some commercial activities. The 1905 Manufactures Census was the first time a census was taken apart from the regular decennial population census. Censuses covering retail and wholesale trade and construction industries were added in 1930, as were some service trades in 1933. Censuses of construction, manufacturing, and the other business censuses were suspended during World War II.
The 1954 Economic Census was the first census to be fully integrated, providing comparable census data across economic sectors and using consistent time periods, concepts, definitions, classifications, and reporting units. It was the first census to be taken by mail, using lists of firms provided by the administrative records of other federal agencies. Since 1963, administrative records also have been used to provide basic statistics for very small firms, reducing or eliminating the need to send them census report forms.
The range of industries covered in the economic census expanded between 1967 and 2002. The census of construction industries began on a regular basis in 1967, and the scope of service industries, introduced in 1933, was broadened in 1967, 1977, and 1987. While a few transportation industries were covered as early as 1963, it was not until 1992 that the census broadened to include all of transportation, communications, and utilities. Also new for 1992 was coverage of financial, insurance, and real estate industries. With these additions, the economic census and the separate census of governments and census of agriculture collectively covered roughly 98 percent of all economic activity. New for 2002 is coverage of four industries classified in the agriculture, forestry, and fishing sector under the SIC system: landscape architectural services, landscaping services, veterinary services, and pet care services.
The Survey of Business Owners, formerly known as the Survey of Minority-Owned Business Enterprises, was first conducted as a special project in 1969 and was incorporated into the economic census in 1972 along with the Survey of Women-Owned Businesses.
An economic census has also been taken in Puerto Rico since 1909, in the Virgin Islands of the United States and Guam since 1958, in the Commonwealth of the Northern Mariana Islands since 1982, and in American Samoa for the first time as part of the 2002 Economic Census.
Printed statistical reports from the 1992 and earlier censuses provide historical figures for the study of long-term time series and are available in some large libraries. Reports for 1997 were published primarily on the Internet and copies of 1992 reports are also available there. CD-ROMs issued from the 1987, 1992, and 1997 Economic Censuses contain databases that include nearly all data published in print, plus additional statistics, such as ZIP Code statistics, published only on CD-ROM.
More information about the scope, coverage, classification system, data items, and publications for the 2002 Economic Census and related surveys is published in the Guide to the 2002 Economic Census at www.census.gov/econ/census02/guide. More information on the methodology, procedures, and history of the census will be published in the History of the 2002 Economic Census at www.census.gov/econ/www/history.html.
The following reports are published from the 2002 Economic Census, Company Statistics (CS) Series, Survey of Business Owners, and include totals for all U.S. businesses based on the 2002 Economic Census and estimates of business ownership by gender, Hispanic or Latino origin, and race based on the 2002 SBO. Estimates for equally male-/female-owned firms and publicly held companies and other businesses whose ownership cannot be classified by gender, Hispanic or Latino origin, and race are tabulated and published separately.
Data are presented by industry classifications and/or geographic area (states, metropolitan and micropolitan statistical areas, counties, and corporate municipalities (places) including cities, towns, townships, villages, and boroughs) and size of firm (employment and receipts). Data include estimates at the U.S., state, and metropolitan and micropolitan statistical area levels by detailed Asian or Pacific Islander group in the Asian-Owned Firms and the Native Hawaiian- and Other Pacific Islander-Owned Firms reports; and by Hispanic subgroup in the Hispanic-Owned Firms report.
Data are presented by industry classifications and/or geographic area (states, metropolitan and micropolitan statistical areas, counties, and corporate municipalities (places) including cities, towns, townships, villages, and boroughs) and size of firm (employment and receipts).
Data include all businesses (minority-, nonminority-, female-, male-, and equally male-/female-owned; publicly held companies and other businesses whose ownership cannot be classified by gender, Hispanic or Latino origin, and race) and are presented by industry classifications and/or geographic area (states, metropolitan and micropolitan statistical areas, counties, and corporate municipalities (places) including cities, towns, townships, villages, and boroughs) and size of firm (employment and receipts).
Data for respondent firms by Hispanic or Latino origin, race, and gender are presented by industry classifications at the U.S. level and by size of firm (employment and receipts). Data include additional demographic and economic business characteristics for home-based, family-owned, and franchised businesses; types of customers and workers; sources of financing for expansion, capital improvements, or start-up; the year the owner(s) in 2002 established, purchased, or acquired the business; and the sole proprietor's self-employment or business activities.
Data are presented by industry classifications at the U.S. level; by state; and by size of firm (employment and receipts). Data will include additional demographic and economic characteristics of business owners and their businesses, such as: owner’s age, education level, veteran status, and primary function in the business; family- and home-based businesses; types of customers and workers; and sources of financing for expansion, capital improvements, or start-up.
All dollar values presented in the SBO reports are expressed in current dollars, i.e, 2002 data are expressed in 2002 dollars and 1997 data in 1997 dollars. Consequently, when making comparisons to prior years, data users should take into consideration the inflation that has occurred.
The data presented in the 2002 SBO are based on the 2002 NAICS. Previous data were presented according to the SIC system developed in the 1930s. Due to this change, comparability between census years is limited (see Relationship to Historical Industry Classifications section).
The 2002 SBO covers more of the economy than any previous survey. New for 2002 are data on information, finance and insurance, real estate, and health-care industries. The scope of the census includes virtually all sectors of the economy.
Additional information about NAICS is available from the Census Bureau Internet site at www.census.gov/naics.
More information on the comparability of the SBO data is included in Appendix C, Methodology.
The figures shown in this report are, in part, estimated from a sample and will differ from the figures which would have been obtained from a complete census. Two types of possible errors are associated with estimates based on data from sample surveys: sampling errors and nonsampling errors. The accuracy of a survey result depends not only on the sampling errors and nonsampling errors measured, but also on the nonsampling errors not explicitly measured. For particular estimates, the total error may considerably exceed the measured errors. More information on the reliability of the data is included in Appendix C, Methodology.
In accordance with federal law governing census reports (Title 13 of the United States Code), no data are published that would disclose the operations of an individual establishment or business. However, the number of firms in a kind-of-business or industry classification is not considered a disclosure; therefore, this information may be released even though other information is withheld. Techniques employed to limit disclosure are discussed at www.census.gov/epcd/ec02/disclosure.htm.
The information and data obtained from the Internal Revenue Service, the Social Security Administration, and other sources are also treated as confidential and can be seen only by Census Bureau employees sworn to protect the data from disclosure.
Questions about these data may be directed to the U.S. Census Bureau, Company Statistics Division, Economic Census Branch, 301-763-3316 or firstname.lastname@example.org.
All results of the 2002 Economic Census, including the SBO, will be available on the Census Bureau Internet site (www.census.gov) and on digital versatile discs (DVD-ROMs) for sale by the Census Bureau. The American FactFinder system at the Web site allows selective retrieval and downloading of the data. For more information, including a description of electronic and printed reports being issued, see the Internet site, write to U.S. Census Bureau, Washington, DC 20233-0801, or call Customer Services at 301-763-4100.
Special tabulations of data collected in the 2002 SBO may be obtained, depending on availability of time and personnel, in electronic or tabular form. The data will be summaries subject to the same rules prohibiting disclosure of confidential information (including name, address, kind of business, or other data for individual business establishments or companies) that govern the regular publications.
Special tabulations are prepared on a cost basis. A request for a cost estimate, as well as exact specifications on the type and format of the data to be provided, should be directed to the Chief of the Economic Census Branch, Company Statistics Division, U.S. Census Bureau, Washington, DC 20233-6400.
To discuss a special tabulation before submitting specifications, call 301-763-3316.
The following abbreviations and symbols are used with the 2002 Economic Census data:
|–||Represents zero (page image/print only)|
|D||Withheld to avoid disclosing data for individual companies; data are included in higher level totals|
|N||Not available or not comparable|
|S||Estimates are suppressed when publication standards are not met, such as, the firm count is less than 3, or the relative standard error of the sales and receipts is 50 percent or more.|
|a||0 to 19 employees|
|b||20 to 99 employees|
|c||100 to 249 employees|
|e||250 to 499 employees|
|f||500 to 999 employees|
|g||1,000 to 2,499 employees|
|h||2,500 to 4,999 employees|
|i||5,000 to 9,999 employees|
|j||10,000 to 24,999 employees|
|k||25,000 to 49,999 employees|
|l||50,000 to 99,999 employees|
|m||100,000 employees or more|
|t||90 percent or more reporting|
|u||80 to 89 percent reporting|
|v||70 to 79 percent reporting|
|w||60 to 69 percent reporting|
|y||Less than 60 percent reporting|
Source: U.S. Census Bureau, 2002 Economic Census