rld, with a per capita GDP of $23,400, the largest among major
industrial nations. The economy is market oriented with most decisions made
by private individuals and business firms and with government purchases of
goods and services made predominantly in the marketplace. In 1989 the
economy enjoyed its seventh successive year of substantial growth, the
longest in peacetime history. The expansion featured moderation in wage and
consumer price increases and a steady reduction in unemployment to 5.2% of
the labor force. In 1990, however, growth slowed to 1% because of a
combination of factors, such as the worldwide increase in interest rates,
Iraq's invasion of Kuwait in August, the subsequent spurt in oil prices, and
a general decline in business and consumer confidence. In 1991 output fell
by 1%, unemployment grew, and signs of recovery proved premature. Growth
picked up to 2.1% in 1992. Unemployment, however, remained at nine million,
the increase in GDP being mainly attributable to gains in output per worker.
Ongoing problems for the 1990s include inadequate investment in economic
infrastructure, rapidly rising medical costs, and sizable budget and trade
deficits.
National product:
GDP - purchasing power equivalent - $5.951 trillion (1992)
National product real growth rate:
2.1% (1992)
National product per capita:
$23,400 (1992)
Inflation rate (consumer prices):
3% (1992)
Unemployment rate:
7% (April 1993)
Budget:
revenues $1,092 billion; expenditures $1,382 billion, including capital
expenditures of $NA (FY92)
Exports:
$442.3 billion (f.o.b., 1992)
commodities:
capital goods, automobiles, industrial supplies and raw materials, consumer
goods, agricultural products
partners:
Western Europe 27.3%, Canada 22.1%, Japan 12.1% (1989)
Imports:
$544.1 billion (c.i.f., 1992)
commodities:
crude oil and refined petroleum products, machinery, automobiles, consumer
goods, industrial raw materials, food and beverages
partners:
Western Europe 21.5%, Japan 19.7%, Canada 18.8% (1989)
External debt:
$NA
Industrial production:
growth rate 1.5% (1992 est.); accounts for NA% of GDP
Electricity:
780,000,000 kW capacity; 3,230,000 million kWh produced, 12,690 kWh per
capita (1992)
Industries:
leading industrial power in the world, highly diversified; petroleum, steel,
motor vehicles, aerospace, telecommunications, chemicals, electronics, food
pr