Global GDP Comparison

February 17, 2011

This week’s chart shows the relative economic size (measured as a percentage of U.S. GDP) of the top nine countries during each time period compared to the U.S. economy. Back in 1980, the economic giants of the world were Japan and developed Europe, with only two emerging nations near the top (China and Argentina). Moving ahead 30 years to 2010, China surpassed Japan as the second largest economy in the world, and a few more emerging nations (India and Brazil) are now considered two of the largest economies. Japan and the European nations lost relative economic size to the United States from 1980-2010, while Canada remains the same relative size. Projecting out to 2020, China jumps off the chart, with GDP equal to 99% of the U.S economic output. Japan and the developed European nations are estimated to lose more relative size to the United States while more emerging nations will be considered among the largest economies, most especially Russia and Korea. Clearly, the unprecedented growth in emerging economies is a trend expected to continue through the next decade.