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Statistics glossary

labour force

The sum total of persons in employment and the number of unemployed.

labour productivity

The output that can be produced with a given input of labour. It can be measured in several ways, but is commonly measured as GDP at constant prices divided by either total employment or total hours worked.

liquidity risk

The risk that a counterparty will not settle an obligation in full when it becomes due. Liquidity risk does not imply that a counterparty or participant is insolvent, since it may be able to effect the required settlement at some unspecified time thereafter.

loans for house purchase

Credit extended to households for the purpose of investment in housing, including building and home improvements. Included are loans secured by residential property (i.e. mortgage loans) that are used for house purchase and, where identifiable, other loans for house purchase provided on a personal basis or secured by other types of asset.

loans to euro area residents

Funds lent by monetary financial institutions (MFIs) to borrowers and not evidenced by negotiable documents or represented by one single document (if it has become negotiable). This description includes loans granted to households, non-financial corporations and government. Loans to households can take the form of consumer credit (loans granted for personal use in the consumption of goods and services), lending for house purchases (credit extended for the purpose of investing in housing, including building and home improvements) and other lending (loans granted for purposes such as debt consolidation, education, etc.). See also credit to euro area residents

local government

A sector defined in the ESA 2010 as comprising public authorities and/or bodies, excluding social security funds’ local agencies, whose competence extends only to a local area of the country’s economic territory.