Definition: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller.
Source: CIA World Factbook - Unless otherwise noted, information in this page is accurate as of January 1, 2012See also: GDP (purchasing power parity) map
De-jargoned: Purchasing Power Parity
Live Mint - 10/19/2014 4:01:53 PM
India’s equivalent of the McDonald’s Big Mac burger is one of the world ... to purchasing power comparisons across countries, but there are other more relevant calculations that economists rely on. PPP-adjusted gross domestic product (GDP) data ...
China Is Now the World's Largest Economy Based on Purchasing Power Parity, Says the IMF
The Christian Post - 10/9/2014 4:35:13 PM
According the IMF, the purchasing power parity measure is a type of cross-country comparison that ... form in many countries around the world," it continued. The new figures show China's economy with a total GDP of $17.6 trillion in 2014, just ahead ...
China ahead of US in purchasing power parity: IMF
Dawn - 10/13/2014 1:35:41 AM
According to the IMF, China now amounts for 16.48pc of the world’s purchasing-power-adjusted GDP. At 16.28pc, the United States is slightly less than China. The IMF used the PPP (GDP based on purchasing power parity) method to calculate the size of the ...
The 5 Richest Countries in the World
The Motley Fool - 10/11/2014 10:34:56 AM
But just who is making out the best in the post-recession world? Let's take a look at the globe's five richest countries -- as ranked by the International Monetary Fund's 2014 estimates for GDP per capita, adjusted for purchasing power parity -- and see ...
China Overtakes US as World's Largest Economy in Purchasing Power
International Business Times - 10/9/2014 12:39:00 PM
China has finally surpassed the United States to become the world's largest economy, according to International Monetary Fund figures, which are based on GDP measured according to Purchasing Power Parity (PPP). With $17.6 trillion, China has surpassed the ...
IMF Says China World's Largest Economy, Sort Of
Breitbart News - 10/9/2014 11:59:02 PM
equals Purchasing Power Parity for China of $15.1 trillion. For about 2000 years until approximately 1750 AD, China had the largest population and the largest GDP in the world. China kept the banner as the most populous country, but lost in GDP to Britain ...
Here they come! China passes U.S. economy based on purchase power
Catholic Online - 10/9/2014 6:51:13 PM
LOS ANGELES, CA (Catholic Online) - The IMF said that by the end of 2014, China will have 16.48% of the ... Hensley. Purchase power parity is "not quite the real thing." Before calculating for inflation, in 2013, the United States had a GDP of $16.8 ...
China Just Overtook The US As The World's Largest Economy by PPP
Pakistan Defence - 10/8/2014 5:02:03 AM
China just overtook the US to become the world's largest economy ... the method used by the IMF adjusts for purchasing power parity, explained here. The simple logic is that prices aren't the same in each country: A shirt will cost you less in Shanghai ...
China leads U.S. in GDP, adjusted for purchasing power
istock Analyst - 10/8/2014 3:31:59 PM
With adjustments in purchasing power parity, or acknowledgement of a lower cost of living in some countries, as well as a currency conversion to dollars, the IMF's World Economic Outlook said China's gross domestic product is now $17.6 trillion ...
IMF Forecasts China To Dethrone US As World’s Biggest Economy With $17.6T GDP
International Business Times - 10/10/2014 5:21:09 AM
In April, the World Bank pointed out at by the end of 2014, China's GDP purchasing power parity terms would exceed that of the ... China's growth during the crisis enable a number of other countries, particularly commodity-exporting economies, to ride ...
China Economy Surpasses US In Purchasing Power, But Americans Don't Need To Worry
International Business Times - 10/8/2014 8:11:09 PM
The International Monetary Fund announced Wednesday that China's economy, when measured by purchasing power parity (PPP), surpassed ... tends to present developing countries like China as having more wealth than normal GDP indicates.
China Overtakes US As World's Biggest Economy
Peace FM Online - 10/9/2014 6:58:23 PM
China has finally overtaken the USA as the world's ... of the world's purchasing-power adjusted GDP for a total of $17.632 trillion (£11 trillion). The US, by contrast, will make up 16.28 per cent, or $17.416 trillion. Purchasing power parity seeks ...
China Overtakes United States as Largest Economy in the World FT
Softpedia News - 10/8/2014 1:01:39 PM
China has managed to overtake the United States and has become the largest economy in the world ... the purchasing power parity in order to come to such conclusions. This makes sense, simply because prices aren’t the same in both countries.
China no more
The Economist online - 10/15/2014 11:59:04 PM
We timed it to coincide with the news that China, at least in purchasing-power parity terms, is now the world's biggest economy. People tend to find this historical stuff rather interesting, so below we have produced a similar chart that shows GDP per ...