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How much more (or less) output will the average American have next year if the $22 trillion U.S. economy (GDP) grows (or contracts) by 1% assuming a population of 340 million.

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Answer:

The **Gross Domestic Product (GDP)** is the total value of goods and services produced in a country in a year. According to the World Bank, the GDP of the United States was **$22.67 trillion** in 2020.

If the U.S. economy grows by 1%, the GDP would increase by **$226.7 billion** (1% of $22.67 trillion). If the U.S. economy contracts by 1%, the GDP would decrease by **$226.7 billion**.

The average American output is measured by Gross Domestic Product per capita (GDP per capita). According to the World Bank, the GDP per capita of the United States was **$68,309** in 2020.

If we assume that the population of the United States is 340 million people, then each person's share of GDP would be approximately **$201** ($68,309 divided by 340 million).

Therefore, if the U.S. economy grows by 1%, each person's share of GDP would increase by approximately **$0.67** ($201 times 1% growth rate). If the U.S. economy contracts by 1%, each person's share of GDP would decrease by approximately **$0.67** ($201 times 1% contraction rate).

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User Bluehorn
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