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10 Largest Economies in the World, Ranked by Nominal GDP
By: Zach Taras | Feb 13, 2025

The country with the biggest economy isn't necessarily the richest
nation. traffic_analyzer / Getty Images
Often measured by GDP (gross domestic product), the size of an economy
is often defined by the total value of all the goods and services
produced the borders of a given country. This gives us a nice, round
(and often very large) number to stick next to a country's name, which
makes it easy to compare to other countries.

So, what are the largest economies in the world?

Contents
10 Biggest Economies in the World
How Did We Measure Economies?
The Almighty Dollar
Other Ways to Measure an Economy
10 Biggest Economies in the World

Without further ado, here are the top 10 largest economies in the world.
These are projections by the IMF (International Monetary Fund) for the
year 2025, as ranked by nominal GDP. All amounts are in U.S. dollars.

1. The United States ($30.34 trillion)
It probably comes as no big surprise that the United States is on top of
the list. The U.S. has been a major component of the World GDP since at
least the Second World War, and because the dollar is the world's
reserve currency, it is both a domestic powerhouse and a target for lots
of foreign investment.

However, due to declining government investment (especially in things
like infrastructure, which in America has long been in severe decline),
and the rising costs of healthcare and other basic necessities, the
nation's status as the world's largest economy and leader in global GDP
has become increasingly tenuous.

2. China ($19.53 trillion)
China is the most recent big success story on this list, having gained
its status as the second-largest economy in the last quarter-century.

It was just out of the top 10 in 2000, but its current standing in the
global economy owes a lot to a combination of state-guided privatization
and massive investment in infrastructure and industry.

Like those of many large countries, the Chinese economy faces
challenges, including how to maintain its economic growth, having set
such high expectations. It also has serious inequality and environmental issues, which are byproducts of its supercharged economy that
contributed to global growth after the 2008 financial downturn.

3. Germany ($4.92 trillion)
Germany has the third-largest economy in the world and the largest
economy in Europe. It's therefore a major economic and political player,
and is known for its high quality manufacturing.

Key sectors in the German economy include automobiles, chemicals and telecommunications, as well as service industries such as tourism and healthcare.

4. Japan ($4.39 trillion)
An economic analysis of Japan can't help but confuse: Its economy was,
for a few decades, the most celebrated success in the world, rivaling
Europe and the United States. Then came the infamous "lost decade" of
the 1990s, when growth significantly slowed. Japan was also rocked,
along with the rest of the world, by the financial crisis of 2008.

There has been some rebound recently, with renewed economic growth in
the export industries for which Japan became so well known. Like many
other modern societies, Japan has an aging population, posing some
challenges to continued growth.

5. India ($4.27 trillion)
India, as the world's fifth-largest economy, is another country on the
rise, but also one facing significant challenges, both social and environmental. While the Indian government has taken steps to encourage
foreign investment and domestic development, much of the population
still struggles with basic necessities.

Rapid growth and modernization in the urban centers has seen uneven
benefits to the society as a whole, even as the country's elite strives
to compete with other advanced economies.

6. United Kingdom ($3.73 trillion)
The days of the British Empire are long over, but the U.K. still holds a position as the sixth-largest economy in the world.

The service sectors are its largest and most economically consequential: finance, insurance and international business services. London is well
known as a hub for international finance, and is also one of the most
expensive cities in the world.

Brexit, or the United Kingdom's withdrawal from the European Union, has
had effects on the British economy that are still unfolding, making its
place on a future list uncertain.

7. France ($3.28 trillion)
France, with the seventh-largest economy in the world, is also the
biggest tourist destination in the world, so it's no surprise that
tourism is a major contributor to its GDP. France has strong labor
unions and lots of government expenditure, which are factors in high
labor costs.

The French economy has also seen slower growth relative to some other
European states — and, like many societies, there are political and
economic tensions between the urban and rural areas of the country.

Many urban workers see themselves as the "highly skilled workforce" and
demand higher pay, while agriculture and some manufacturing sectors have stagnated.

8. Italy ($2.46 trillion)
Italy has the eighth-largest economy in the world. Like France, tourism
is a big factor in its GDP, as well as high net exports of consumer goods.

Still, Italy's economic situation varies considerably by region, with
the north being, in general, more industrial and wealthier. Meanwhile,
the more rural south is where many of the biggest tourist draws exist,
as well as much of the rich agricultural land.

9. Canada ($2.33 trillion)
Canada's fortunes as the ninth -argest economy in the world are thickly entwined with those of its southern neighbor, the United States.

Previously sturdy trade agreements ensured that the majority of Canada's exports went to the U.S., and it got a boost from its rich store of
natural resources, including agricultural products and fossil fuels such
as natural gas.

10. Brazil ($2.31 trillion)
Rounding out the top 10 is Brazil, with its diversified economy, the
largest in South America.

Brazil is incredibly rich in natural resources, although it has often
struggled to balance extraction and conservation. The destruction of the
Amazon rain forest is a good example of the dubious merits of seeking
GDP growth at the expense of ecological stability.

Brazil has also struggled mightily with political unrest and corruption,
which factors into its economic issues, as well as how the wealth is
shared among its citizens.

How Did We Measure Economies?
As with most complex phenomena — and it's hard to find phenomena more
complex than an entire country's economy — there's no simple, easy way
to measure economic activity. For this article, we looked at what's
called nominal GDP, which is probably the simplest overall.

For a country's GDP, simply add up all the goods and services produced
in a country over the course of a year. The resulting sum is the nominal
GDP. This gives a good indication of size, although there's a lot of
data that isn't taken into account (such as how this economic activity
is distributed among a country's citizens).

The biggest economy, for instance, doesn't always mean the richest country.

The Almighty Dollar
Note that all of the economies on this list are measured in the U.S.
dollar, which is the reserve currency of the world. The actual bank
notes are produced by the Bureau of Engraving and Printing, then issues
to Federal Reserve Banks around the country.

Of course, much of finance — including the international variety that
relies so heavily on the U.S. dollar — is done via electronic
communication between different banks and government agencies.

The U.S. benefits greatly from its status as the largest economy in the
world, but it also has a sprawling lobbying and diplomatic apparatus,
with organizations like the International Trade Administration (ITA), to
help ensure its preeminent financial standing.

Having the world's strongest military doesn't hurt, either...

Other Ways to Measure an Economy
You might be wondering about alternatives to using GDP to measure an
economy, and that's entirely understandable! As noted, GDP is a very
broad brush to paint with, and it doesn't always give a very good
indication of what living in a particular economy might be like.

With that in mind, here are some alternative methods that are used by organizations like the World Bank, the IMF and other think tanks and
academic organizations. The idea is to come up with different ways to
look at the world economy, hopefully with more nuance.

GDP per Capita: This measure takes the GDP and divides it up by how many
people live there. It's a simple enough tweak: By showing how much the
average individual partakes in the country's economic activity, it can
offer a rough approximation of what it's like to live there.
Purchasing Power Parity (PPP): This is a way to factor in the role of
different currencies, which effect how the average resident can buy
basic goods. PPP is a way to show what the cost of living is like in one country as compared to another.
Human Development Index (HDI): Economists and sociologists use HDI to
get a sense of how GDP is shared and how it impacts the quality of life
of a country's citizens. Health, education and standard of living are
all measured to get a more complete picture. What, after all, is an
economy good for?

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