Edition: International | Greek
MENU

Home » Analyses

The $86 trillion world economy – in one chart

The world economy is in a never-ending state of flux.The fact is that billions of variables — both big and small — factor into any calculation of overall economic productivity, and these inputs are changing all of the time.Buying this week’s groceries or filling up your car with gas may seem like a rounding error when we are talking about trillions of dollars, but every microeconomic decision or set of preferences can add up in aggregate

By: EBR - Posted: Friday, September 13, 2019

Most interestingly, the gap between China and the United States is narrowing — and in nominal terms, China’s economy is now 66.4% the size.
Most interestingly, the gap between China and the United States is narrowing — and in nominal terms, China’s economy is now 66.4% the size.

by Jeff Desgardins*

The $86 Trillion World Economy in One Chart

The world economy is in a never-ending state of flux.

The fact is that billions of variables — both big and small — factor into any calculation of overall economic productivity, and these inputs are changing all of the time.

Buying this week’s groceries or filling up your car with gas may seem like a rounding error when we are talking about trillions of dollars, but every microeconomic decision or set of preferences can add up in aggregate.

And as consumer preferences, technology, trade relationships, interest rates, and currency valuations change — so does the final composition of the world’s $86 trillion economy.

Country GDPs, by Size

Today’s visualization comes to us from HowMuch.net, and it charts the most recent composition of the global economic landscape.

It should be noted that the diagram uses nominal GDP to measure economic output, which is different than using GDP adjusted for purchasing power parity (PPP). The data in the diagram and table below come from the World Bank’s latest update, published in July 2019.

The Top 15 Economies, by GDP

The above 15 economies represent a whopping 75% of total global GDP, which added up to $85.8 trillion in 2018 according to the World Bank.

Most interestingly, the gap between China and the United States is narrowing — and in nominal terms, China’s economy is now 66.4% the size.

A Higher Level Look

The World Bank also provides a regional breakdown of global GDP, which we helps to give additional perspective:

The low income countries — which have a combined population of about 705 million people — add up to only 0.6% of global GDP.

*Editor-in-Chief, Visual Capitalist

**first published in: www.weforum.org

READ ALSO

EU Actually

Does Vestager overplay her hand again?

N. Peter KramerBy: N. Peter Kramer

The EU General Court overturned the landmark 2016 decision by EU competition commissioner Margrethe Vestager that Ireland should claw back €13 billion in unpaid taxes plus interest from Apple

View 01/2020 2020 Digital edition

Magazine

Current Issue

01/2020 2020

View past issues
Subscribe
Advertise
Digital edition

Europe

Autumn challenges ahead as COVID rates rise amid European travel season

Autumn challenges ahead as COVID rates rise amid European travel season

Several European countries are experiencing a surge in coronavirus cases as holidaymakers set out to enjoy the last month of summer but experts are more concerned about a potential increase in COVID-19 infections in autumn

Business

COVID-19 has disrupted cybersecurity, too – here’s how businesses can decrease their risk

COVID-19 has disrupted cybersecurity, too – here’s how businesses can decrease their risk

COVID-19 is changing everything. Along with social distancing, obsessive sanitisation, broken supply chains, fragmented workforces and the rise of video meetings, the pandemic is driving acute systemic changes in consumer and business behavior

MARKET INDICES

Powered by Investing.com
All contents © Copyright EMG Strategic Consulting Ltd. 1997-2020. All Rights Reserved   |   Home Page  |   Disclaimer  |   Website by Theratron