New GDP Figures Explained

Day 98, 14:41 • Published in United Kingdom United Kingdom • by Kaleb

Ok, now that the RER has [a url=http://www.erepublik.com/article-101021.html]finally been fixed[/a] and is now a very useful economic indicator in Erepublik, it's now possible to do a proper calculation of various countries GDP statistics. So now we can really see which countries are succeeding or failing in terms of their economy. Onto that in a moment, but first an explanation of how GDP is calculated.

The GDP Formula is as follows:

GDP = Domestic Output + Exports + Investments (over the last 30 days)

Investments are the total value, in Gold, of all the companies that have been created and all the upgrades and export licenses that have been purchased. All of these have an intrinsic value and the investments are duely included in the GDP calculations.

Domestic Output
This is the total of all the sales in the economy divided by the RER/LC rate.

So if you there have been total sales of £3000 in the UK and the RER😕C is 1G = £10 then the Domestic Output would be 300 Gold. Imports are not included in this figure.

Exports are the value of all sales abroad valued in Gold according to the RER of that country.

Now that's all been explained we can see what the top Erepublik economies are (the pages you can see haven't been updated yet).

GDP of the Top 15 Countries:
1 Sweden 10908.61
2 Norway 4385.86
3 Indonesia 4160.86
4 Spain 3968.53
5 Portugal 2791.91
6 UK 2455.72
7 Pakistan 1897.9
8 Romania 1687.77
9 Turkey 1556.04
10 Brazil 1432.21
11 Netherlands 1309.87
12 Iran 1290.45
13 USA 1240.57
14 France 1055.95
15 Venezuela 788.48

GDP per Capita
1 Spain 4.63
2 Sweden 4.53
3 UK 4.26
4 Portugal 3.99
5 Brazil 3.99
6 Netherlands 3.43
7 Romania 3.39
8 Pakistan 3.38
9 Norway 3.26
10 Turkey 3.15
11 Indonesia 3.1
12 France 2.92
13 Venezuela 2.64
14 USA 1.95
15 Iran 1.64

Analysis:
Spain and Sweden both have very strong exports which has enabled them to just beat the UK to the top spot. Both countries also had large populations in December which have stuck around giving them a skilled workforce. Portugal also does well for this same reason.

Iran shouldn't be too bothered about being at the bottom because they have a very young population who will rapidly gain in skill if current trends are anything to go by.

The USA's GDP per capita is less than half of that of other countries with a similar population and age of population. But I'm probably going about to get told that all the empirical evidence about the state of the US economy is meaningless no doubt!

France and Indonesia are medium-performers. Their balance of trade is pretty much even so I suspect the problem may be sector imbalances. One big problem in Indonesia is too much of their economy is geared towards food production, they have more food stock than any other country. France has probably suffered from stagnant population growth.

Now that these new figures shouldn't be changed much I'll be able to start showing growth figures in future reports.