Each nation has its factors and characteristics based on which the GDP is contributed and driven to affect the economy. All over the world, some countries are performing well in the list of the top 10 largest economies in the world in 2024. A recent report has listed the 10 largest economies in the world.
India is placed in the 5th position on that list where some are performing well like the USA and China whereas some are at last like Italy and Canada. In future, India is going to achieve the third-largest economy tag in a few years.
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Measurement of GDP
The country’s economy predicts the nation’s development and the standard of lifestyle of the country’s people. There are many factors based on which the economy can be calculated but the crucial one is the GDP (Gross Domestic Product) that assesses the magnitude of the nation’s economy. The traditional method of calculating GDP is the expenditure ways in which the total is derived by adding expenditure on fresh consumer articles, novice investments, government outlays, and the exact value of exports.
Here in this article, we will list the top 10 largest economies in the world in 2024 and their insights including important facts like their economy and basic points that affect it.
Have you ever wondered which of the top 5 countries have the highest economy? let’s read them the US, China, Germany, Japan and India are those nations holding the top 5 positions in the list.
| 10 Largest economies in the world 2024 | |
| 1. | United States |
| 2. | China |
| 3. | Germany |
| 4. | Japan |
| 5. | India |
| 6. | United Kingdom |
| 7. | France |
| 8. | Brazil |
| 9. | Italy |
| 10. | Canada |
10 Largest Economies in the World 2024
Now let’s have a look at the top 10 nations that have the tags of the richest countries in 2024, as stated by the IMF on 1 July 2024.
1- United States
The United States is on the list of countries with the largest economy in the world, as measured by the nominal GDP. It has been observed that the largest part of the economy is driven by its service sector which includes the finance sector, real estate, professional and business services, insurance, and healthcare.
The nation has an open structural economy that provides flexibility for all types of business investment and foreign direct investment in the country.
2- China
China is the second on the list of the largest 10 economies in the world in 2024 in present dollars and it is the largest in terms of PPP. The nation’s economy has witnessed the largest growth in the past two decades invokes economists to speculate that China in future may overtake the US as the biggest economy in the future.
In the current progression, China has opened its economy and in the past four decades, the nation’s development and living standards of people have been improved. It has globally phased out agriculture and industry, giving access to flexibility in the market prices, and increased the autonomy of businesses, allowing local and global trade investments.
Many factors made China no one in the world and one is that it coupled with an industrial policy that helped to enhance domestic manufacturing. Despite the advantages, China has also several challenges example growing ageing pollution and serious environmental degradation that stop its growth.
3- Germany
In a world full of economic competitors Germany is the third country on the list of the world’s largest economies in the world. Germany is also the largest economy in Europe’s largest economy.
This nation is the top exporter of vehicles, machinery, chemicals, and other goods that are most demanding in the world. Germany also has the best workforce which has a surprising impact on the economy in the country. The country also faces some of the biggest challenges like its low fertility rate which replacing its aging workforce more difficult.
4- Japan
Japan is the 4th country on the list of the world’s largest economies and the biggest technology-oriented nation. It comes in the East Asia region which has a 0.7% Annual GDP growth rate.
The main driving force of its economy is its notable work in the progressive technology, manufacturing prowess, and servicing industry. The main sectors of its economy include automotive, electronic, and financial domains.
Japan is known moreover for its unwavering work ethic, leading in technological advancement, and some unique exports of superior quality.
5- India
India is the largest developing country in terms of economy and industrial power as it comes in the South Asia region with having 7% Annual GDP growth rate. Recently the IMF has estimated its GDP growth of about 6.8 as per the April 2024. After two months it has revised its predictions by 20 basis points to 7 percent. One of the important reasons given by the organisation is the better privatisation in the country and the rural areas.
India is the 5th largest economy in the world which uses diversified factors and swift growth, greatly driven by crucial factors like information technology, agriculture, services, and manufacturing. The nation is famous for its broad domestic market, younger age and technical adept labour force, and the comprehensive middle class.
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6- United Kingdom
United Kingdom is the 6th largest economy in the world having an Annual GDP Growth of 0.7% and it comes under Western Europe. The key driving factors of this economy are services, manufacturing, finance, and creative sectors. It is one of the important key centres for worldwide finance centres, attracting foreign investment. The trade alliances and global functions are shaping the expansion of the UK.
7- France
France is a part of Western Europe with 0.7% of Annual GDP Growth. France has many factors that drive its largest economy and those are its diversified crucial industries like aerospace, agriculture, tourism, and luxury goods. France is known for its research and development work including a robust social welfare system, well-developed infrastructure and substantial investment.
8- Brazil
Brazil is the 8th largest economy in the world and it cunted as the largest in the South America. The nation has an Annual GDP Growth of about 2.2% and the major factors that make the diversified economy a successful economy are heavy industries like aircraft and automotive production, and mineral and energy resources extraction. Brazil has the largest agricultural production of coffee and soybeans which contribute a large percentage to its economy.
Brazil has faced some major challenges in its economy like major scams and fraudulent activities mostly in 2017 and fortunately, it emerged from there. Following some of the strategic steps the country has recovered its economy using several corrective steps in public spending and debt, investing in energy infrastructure, lowering the barriers to foreign investment, and improving the marketing labour market.
9- Italy
Italy is placed in the 9th in the list of the 10 largest economies in the world in 2024 which is also the Erozone’s third largest economy. The economic development of the country can be seen varied as per the different regions it is more developed in the region of the north but underdeveloped in the southern region. The country has faced significant growth due to several factors majorly due to the public debts, an inefficient court system, a poor banking sector, an inefficient labour market with high youth unemployment and an undervalued economy.
10- Canada
Canada is the 10th country in the list of the largest economies in the world which is known for its well-developed energy extraction sector with the world’s third-largest oil reserves. This country also has the best and most renowned manufacturing and service sector which is based near the urban areas near the border area of the US.
Canada has a global relationship with different countries especially with the US which means that three-quarters of Canadian exports head to the market of the United States each year. Canada’s internal agreements with the United States show that the countries have developed a parallel connection with the world’s largest economy.
Conclusion
The GDP i.e. Gross Domestic Product is used to measure the total output of a country and assumed as a gauge of the health of an economy and its size. Countries regularly measure their GDP as a result of their economic success and based on that they take further steps to improve it.
All the countries that have been on the list in this article have different populations, political impacts, trade impacts, and demographics, these factors make the economy of any country big or small and therefore based on the GDP performance. The best way to enhance the growth of your GDP is the factors that reduce corruption, open marketing, and taking advantage of natural resources and new technologies.
