When did USA become world’s greatest economy?

Question

When did the United States become the nation with the world’s largest economy? What nations preceded the United States as the world’s largest economy. When will China surpass the United States?

Answer 1

In 1854 Britain had a gross domestic product of 712 million pounds. Using a conversion factor of 4.88, That is 3475 Million dollars. This was edged out for the first time by the United States with a gross domestic product of 3680 million dollars. See the links below. These figures are estimates only, so let's say the United States replaced Britain as the world largest economy some time in the 1850's.

Estimating if and when China will surpass the United States are speculative. China's growth rate will probably slow down some in the future, making extrapolation difficult. It should be noted with China's high population, they can have a higher GDP than the US even if they average 1/3 the output per person.

Answer 2

The United States became the world's largest economy somewhere between the two world wars. Prior to that, it's hard to say, because modern national income accounting was developed (again, in the U.S.) around 1925. It was probably the British Empire though (not the UK in its current borders, but the entire empire including all colonies).

As to when China will surpass the U.S., it depends on assumptions you make. Assuming that China continues to grow at 9.5% from current GDP of about $1.5 trillion and the U.S., at 2.5% from current GDP of about $12 trillion, China should surpass the U.S. as the world's largest economy around 2035. (Note that the Chinese GDP estimates I am using are Atlas method; Chinese GDP estimated using purchasing power parity is much higher.)

The question is, how realistic are those assumptions? Also, history suggests that a politically unified China is an exception rather than a rule; it is entirely possible that North and South at some point will part ways, so there won't be a China in 2035.

Answer 3

The United States became the world's largest economy (passing Great Britain) after the second world war. China will probably surpass the United States within 10-15 years, assuming their current growth continues at roughly the same rate. And if Japan and China ever decide to stop funding American debt, it will happen much sooner.

Answer 4

In 2005 the US GDP (ppp) was $12.36 trillion and China's was $8.859 trillion. The avg, growth rate for the past 10 years for the US was 3.34% and China was 8.87%.

Based on these assumptions, US GDP will be 15.05 in 2011 and China's will be 14.75. In 2012, US GDP will be 15.56 and China's 16.06. So, as the largest economy China may surpass us in 2012. that's 6 years! (note, when I started doing the calcs I thought it would be longer)

In other ways we will still be much better off however. Don't forget they also have a lot more people. Current per capita GDP (i.e. if GDP were divided exactly evenly among everyone, this would be everyone's annual salary) in the US is $41,800 and China's is $6,800. Using the same assumptions as above, China would not surpass us until 2040, and assuming China can continue its current growth until 2040 is a much more shaky assumption than assuming it can continue until 2012. So in terms of individual wealth (which also translates into everyone's health, education, etc) we may still dominate for awhile.

Answer 5

Just after World War II
Europe and some Asian countries had no money because of the war. As soon as the Marshall Plan was implemented it became the strongest economy

When Chinese establish themselves out of China, as Japanese did
We will be talking of a greater superpower

Answer 6

Is it? Is that with or without its untold billions in foreign debt (6o% held by China)?

Just kidding...It was basically after WWII when the British Empire collapsed. Before then it was pretty well the biggest, but the War sealed it.

Answer 7

that is lots, lots extra desirable than a team of grasping losers who desperate to purchase a house they knew they could no longer have the money for. that is lenders lending funds to human beings they knew could no longer pay it lower back, no longer even asking them for data of earnings, and mendacity to them approximately no rely if or no longer they'd have the money for the loan in the event that they asked, just so as that they'd get the cost and unload the loan previously all and numerous found out. that is economic institutions in any respect stages hiding the authentic cost of valueless debt and repackaging it as a powerful asset with a view to make the sale. And in any respect stages, the outrageous preliminary earnings have been accompanied with the help of much extra outrageous salaries (up into 8 figures). The investment banks on the top have been paying their managers lots funds that when the backside dropped out, there have been no components left. This became into all made obtainable with the help of an unheard of era of economic amnesia and deregulation, extremely for McCain, who thoroughly forgot how deregulation he championed previously reason over 1000 fee reductions and loan institutions to flow out of company. and of direction, greed of amazing proportions, which says that is o.k. to scouse borrow human beings blind in case you think of you may destroy out with it, and you will blame them for letting you're taking their existence's fee reductions and throwing them out on the line. And that is contributors of the present administration who began a conflict to conceal their manipulation of the oil markets and ballooning of gasoline expenses like a tax, paid with the help of you directly to human beings like Dick Cheney. that's a controversy of divide and conquer, getting human beings to ingredient with the extremely rich against their own hobbies, while they are themselves one disallowed scientific emergency from financial ruin and homelessness. element your finger in case you like at poor people who misplaced their homestead while they misplaced an earnings or had scientific expenditures. although if that's the folk on the top who made out like bandits, and suited now the treasury is preparing to pay them off with infinite tax funds.

Answer 8

i don't know but as far as i can remember they would do anything and everything to stay on top.