Richest Countries by GDP and the Poorest Country
GDP Provides Context for Richest Country's Growing Debt and Deficits
Jan 28, 2009
GDP (Gross Domestic Product) is the sum of all output produced by economic activity within a country. These figures are regularly reported, especially by the world's richest countries, and these GDP figures provide scale and context for news regarding country debts. They also provide context for country trade figures -- the balance of imports and exports, with trading partners.
GDP, GDP Per Head and PPP
A large economy is not necessarily an accurate representation of the country's wealth but it is a reasonable approximation to assume that the higher the GDP the richer the country. Whilst this will have limitations it is a simple way to define the top 10 richest countries and the poorest country. Often GDP is expressed as "per head" to account for the size of the population and therefore provide a comparison between countries. This comparison has been further refined by PPP (Purchasing Power Parity), which adjusts for cost of living differences using the US as a benchmark.
World's Top Ten Richest Countries by GDP
The Richest Country by GDP is the US with an annual GDP of $14.8 trillion.
- United States of America. GDP = $14,839bn, GDP per head = $48,400, PPP = $48,400
- Japan. GDP = $5,388bn, GDP per head = $42,310, PPP = $35,710
- China. GDP = $4,818bn, GDP per head = $3,600, PPP = $6,830
- Germany. GDP = $3,440bn, GDP per head = $41,550, PPP = $36,100
- France. GDP = $2,734bn, GDP per head = $43,910, PPP = $35,750
- United Kingdom. GDP = $2,442bn, GDP per head = $39,470, PPP = $36,820
- Italy. GDP = $2,334bn, GDP per head = $40,150, PPP = $32,210
- Russia. GDP = $1,680bn, GDP per head = $11,880, PPP = $16,300
- Spain. GDP = $1,581bn, GDP per head = $34,540, PPP = $32,120
- Canada. GDP = $1,468bn, GDP per head = $43,860, PPP = $40,540
Source: Economist Intelligence Unit, The World in 2009. For more information go here.
World's Top Ten Richest Countries by PPP
It is clear from the above figures that the world's richest countries by GDP may not be the same when adjusted for PPP. The GDP per head in PPP (USA = 100), 2006, looks like this:
- Luxembourg 172
- Qatar 160.8
- Bermuda 159.0
- Channel Islands 117.9
- Norway 113.9
- Brunei 113.5
- Singapore 101.7
- = Macau 100, USA 100
- Cayman Islands 99.6
- Kuwait 99.1
Out of curiosity, some additional countries: 17. Canada 83.5; 21. Australia 80.8; 27. UK 75.3; 31. Japan 72.7; 70. Russia 29.8. The poorest country by this measure is Congo-Kinshasa and a number of other South African countries share this category.
Source: The Economist, Pocket World in Figures 2009 Edition.
Richest Countries by GDP
It is clear that the top 10 countries by GDP have enormous economies measured in trillions of dollars, with the US being clearly the largest and presumably the richest country. These GDP figures provide context for financial headlines of growing trillion dollar debts and deficits or that note a trillion dollar spending plan.
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