This Diagram Will Change The Way You See The USA’s Economy By Robert Gehl

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August 4, 2017 By Robert Gehl

A single graphic gives great perspective on just how massive the United States economy is relative to other nations.

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Released by howmuch.net, and called a Voronoi Diagram, it represents each country’s share of the world economy as a slice in a global circle. America’s share takes up the largest amount by far at 23.32 percent, followed far behind by China at 13.9 percent.

 

Japan is third at a distant 6.18 percent, followed by Germany, France and the U.K.

The United States only has about 5 percent of the world population, yet it dominates the global economy. China, with almost three times the population, still has a long way to go.

The diagram from the “cost-information website”  also divides the country’s share into sectors, service, industry and agriculture – and this is where it gets less than stellar.

The vast majority of America’s economy is service-based, with the industrial and agricultural sector a much smaller share.

Compare that with China’s share of the “pie,” where services and industry are roughly the same. From the site:

The US economy is mostly composed of companies engaged in providing services (79.7% compared to the global average of 63.6%), while agriculture and industry make up smaller-than-average of portions of the economy (1.12% and 19.1% compared to averages of 5.9% and 30.5%).

The next largest economy, China, is roughly balanced between industry and services (though the service sector is growing at a faster rate), with a 9.1% contribution from agriculture. In this sense, China is a bit of an anomaly: other rich countries have service sectors that greatly outweigh both industry and agriculture. Over the past several decades, China has leveraged its competitive advantage and designed industrial policies to incent manufacturing in the country. But as China grows, it will continue to transition to a service-based economy. Similarly, India will see a decrease in agriculture’s contribution to its GDP and an increase in the size of the service sector.

Over time, the service sectors of developed nations have tended to grow relative to the other sectors. But are there limits to this trend? What is the natural size of each sector?

About Robert Gehl

Robert Gehl is a college professor in Phoenix, Arizona. He has over 15 years journalism experience, including two Associated Press awards. He lives in Glendale with his wife and two young children.

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Timeline of Arizona from  900 BC – 2017

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WHY PHOENIX? AMAZING!!!  POPULATION IN 1950 – 350 K PEOPLE; “NOW 5 MIL”. – “5TH. BIGGEST CITY IN USA”

 

ARIZONA FACTS – YEAR 1848 TO 2013

Timeline of Arizona from  900 BC – 2017

 

PHOENIX TOPS US IN POPULATION GROWTH (MORE THAN LA, NYC) AND WHY THAT’S GOOD FOR THE ECONOMY, BUSINESS

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  • DEMOGRAPHIC FACTS ABOUT MARICOPA COUNTY:
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Why Phoenix?  This is a very interesting article, you should read it, amazing, there were only 350 K people living in Phoenix in 1950

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