What percentage of GNP is controlled by the federal government?
According to the CIA World Factbook the US GDP is $10.99 trillion dollars; federal government spending is $2.156 trillion, so that works out to 19.6%.
According to the U.S. Bureau of Economic Analysis website’s figures:
http://www.bea.gov/bea/industry/gpotables/gpo_action.cfm?anon=59&table_id=4127&format_type=0
Government (all levels) account for 12.7% of the GDP in 2003. It takes a while for the figures divided up this way to be counted up.
Is this the right calculation?
I found this:
http://www.cbo.gov/showdoc.cfm?index=3521&sequence=0
It shows the federal government was 18.4 of GDP in 2001. What is the difference between GDP and GNP desides the words domestic and national?
The Gross National Product is the total value of all goods & services produced in a country in a year; the Gross Domestic Product is almost the same thing, but adds the income made by a country’s citizens produced in other countries, and subtracts out the income made foreigners in the country.
The figure they used in this paper appears way, waaaaay off. It says that the Federal government accounts for $447 billion in economic activity in 2003. However, the total amount of government spending that year was $2.1 trillion.
I’m sure there is a reason that the BEA used $447 billion, but I have no idea what that reason is.
Government transfer payments are not included in the calculation of GDP, nor is money spent outside the country.