Wholesale Margin

From Open Risk Manual

Definition

Wholesale Margin. Measures output in the wholesale industry as the addition to the price of a product when the product is sold through wholesale trade.

Wholesale margin includes sales and excise taxes collected by the wholesaler. Wholesale margin is calculated when the wholesaler buys and then resells the product. It is calculated as sales less the cost of the goods sold. There are also nonmargin types of wholesale output - for example, commissions or expenses of manufacturers’ sales offices.[1]

References

  1. Concepts and Methods of the US Input-Output Accounts. K.J.Horowitz, M.A.Planting, 2009