05 Dec China Overtakes US as World’s Largest Economy
By January 2015, China will overtake the United States as the World’s Largest Economy with China producing $17.6 trillion versus the US producing $17.4 trillion. Compare this to 2004 when China produced 1/3 that of the United States.
Financial Times estimates China accounts for 16.5% of the global economy, while the US accounts for $16.3%
Bear in mind that these numbers are the result of the IMF’s calculation which uses Purchasing Power Parity, so any change in currency is not taken into account.
Well, we had a good run – the US was the world’s largest economy since 1872, when it surpassed the United Kingdom.
FT shared an interesting tidbit that I never knew, so I’ll pass it along: the UK was only the world’s largest economy from 1870 – 1872. Prior to 1870, it was China.
So we can say they are simply reclaiming the crown. Although, this is only if we don’t take into account the relative population of each country.
China’s Per Person GDP is less than ¼ of that in the United States. But a trend is a trend.
View a great site for economic statistics from around the globe: TradingEconomics »