Econometrica, Vol. 81, No. 1 (January, 2013), 423–430
THE ECONOMETRIC SOCIETY ANNUAL REPORTS REPORT OF THE TREASURER
MÁLAGA, SPAIN AUGUST 26–27, 2012
1. 2012 ACCOUNTS
THE 2011 ACCOUNTS of the Econometric Society show a deficit of $145,047 (Table III, Line G). The deficit is higher than the estimate of $115,000 at this time last year. Total revenues were $1,010,169 (Table II, Line D) and total ex- penses were $1,155,216 (Table III, Line F). The revenues were lower than last year’s estimates by $89,831, with significant positive deviations in membership and subscription revenues and significant negative deviations in investment in- come and in other revenues (Table II, Lines A–C). The expenses were also lower than last year’s estimates by $59,784, with significant negative deviations in publishing and administrative expenses (Table III, Lines A and C).
The net worth of the Society on 12/31/2011 went down to $1,481,619 (Table I, Line C). Consequently, the ratio of net worth to total expenses on 12/31/2011 was 128 percent, a figure close to the lower end of the target range between 120 and 160 percent agreed by the Executive Committee in August 2007.
Table I shows the balance sheets of the Society for the years 2007–2011, dis- tinguishing between unrestricted assets and liabilities, whose difference gives the Society’s net worth, and five restricted accounts: The World Congress Fund, which is a purely bookkeeping entry that serves to smooth the expenses every five years on travel grants to the World Congress, the Jacob Marschak Fund, devoted to support the Marschak lectures at regional meetings outside Europe and North America, and the Far Eastern, Latin American, and Euro- pean Funds, which are held in custody for the convenience of the correspond- ing Regional Standing Committees. Tables IV and V show the movements in the World Congress Fund and the other restricted accounts for the years 2007– 2011.
Table II shows the actual revenues for 2010, the estimated and actual rev- enues for 2011, and the estimated revenues for 2012 and 2013. Total revenues for 2012 are expected to be 18.0 percent higher than those for 2011, because the reduction in membership and subscription revenues (Line A), caused by the continuing decline in the number of institutional subscribers, is expected to be more than compensated by a significant increase in investment income (Line C). The budget for 2013 estimates a 4.2 percent reduction in total rev- enues as a result of the additional fall in subscription revenues.