List Of The Main Components of the US American GDP Structure

List Of The Main Components of the US American GDP Structure

It is erroneously believed that the United States produces a lot of goods and, therefore, has the strongest economy, know the components of the US GDP

Proponents of this statement confuse the United States with China, in which the main part of the GDP is formed precisely due to the volume of exported products. The US GDP is filled mainly from such sectors of the economy as the service sector, agriculture, and industry. Let us have a closer look at this issue.

List Of The Main Components of the US American GDP Structure And Points

Agriculture 

The USA is the first in the world in soybean production and the third in sugar beet production. Every year, American farmers harvest over 450 million tons of grain, which is 16% of all world production. About 60 million tons are exported, and the rest of the grain is used in other agricultural sectors, such as pig breeding, poultry farming, etc.

Industry 

The main sources of industrial goods and services in the GDP of the US industry are the production of gasoline, automobiles, conveyor lines, machine tools, and steel.

A large percentage of the US GDP is also formed by:

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  • Aircraft and aerospace products
  • Telecommunication and electronics
  • Products of the chemical industry
  • Consumer goods
  • Extraction of minerals and lumber

Compared to other countries of the world, industrial production in the United States has the highest figure at $3.4 billion. The next country is China, which has an industrial production of $2.75 billion. 

Service sector

The US service sector includes education and science, health care, finance and commerce, transportation and communications, government services, and various professional services.

It is necessary to consider the fact that large investments are being made in the development of new technologies in the United States. At the same time, the state not only creates attractive conditions for private investors and small businesses but also invests half of the ongoing research work. The rest of the funding comes from educational institutions, US state and local governments, and private corporations.

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This approach has led to the fact that every second innovation in developed countries falls on the share of the United States. It should be borne in mind that half of the state appropriations that are allocated for research work go to military development.

The USA is very much ahead of both the countries of the EU and Japan regarding the scope of innovative research. Therefore, the US GDP is not inferior to developed countries in the civilian sphere but it is far ahead in military innovations.

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The fact that research and development in the United States is a priority area can be judged by such an indicator that the number of employed scientists and engineers per 1 million people is 4.3 thousand people. Only Japan can boast of a larger number. For every 10,000 Americans employed, there are almost 300 scientists and engineers. And this trend has been increasing steadily annually. That is why the US GDP shows stable growth every year.

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