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Spending the 2005 GDP


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Orwell's 1984Substantial National IssuesUSA in 2012
The US Dept. of Commerce, Bureau of Economic Analysis shows how the GDP is generated. This tells us how people spent the $11 trillion circulating in the US Economy in 2005. Combining a few categories and looking at the big numbers we can see where the money goes:
  • 17.7% to government1
  • 13.7% to housing
  • 11.4% goes to medical care
  • 9.6% to food
  • 4.0% to cars and personal transportation
  • 3.5% to furnishings
  • 3.4% to clothing
  • and 2.8% to recreation
Note 1. The government actually spends about 1/3rd of the GDP ($4 trillion of the $12 trillion total) but much of this is in the form of transfer payments. When they collect taxes and then redistribute the money to others to spend. So the 17.7% is what they actually spend on goods and services like guns and butter.

Line      2000       2001       2002       2003       2004       2005   
1      Gross domestic product9,817.09,890.710,048.810,301.010,703.511,048.6
2Personal consumption expenditures6,739.46,910.47,099.37,295.37,577.17,841.2
3   Durable goods863.3900.7964.81,020.61,085.71,145.3
4      Motor vehicles and parts386.5405.8429.0442.1450.4452.9
5      Furniture and household equipment312.9331.8364.3397.8446.0490.6
6      Other163.9163.2172.4183.2195.6212.6
7   Nondurable goods1,947.21,986.72,037.12,103.02,179.22,276.8
8      Food925.2940.2954.6977.71,011.01,065.7
9      Clothing and shoes297.7303.7318.3334.2350.9372.7
10      Gasoline, fuel oil, and other
          energy goods
191.5193.4197.4198.5200.5199.5
11      Other532.9549.2567.1593.2618.5643.9
12   Services3,928.84,023.24,100.44,178.84,323.94,436.6
13      Housing1,006.51,033.71,042.11,051.91,091.61,122.6
14      Household operation390.1391.0393.2398.8409.3418.0
15         Electricity and gas143.3140.9144.9147.5149.8153.8
16         Other household operation246.8250.2248.3251.2259.5264.1
17      Transportation291.3288.0280.2280.6284.0284.4
18      Medical care1,026.81,075.21,136.61,180.81,217.31,260.9
19      Recreation268.3274.9281.2290.8304.8313.1
20      Other945.9960.3966.6975.31,016.01,036.2
21Gross private domestic investment1,735.51,598.41,557.11,613.11,770.61,866.3
22   Fixed investment1,679.01,629.41,544.61,596.91,713.91,842.0
23      Nonresidential1,232.11,180.51,071.51,081.81,145.81,223.8
24         Structures313.2306.1253.8243.5248.7251.5
25         Equipment and software918.9874.2820.2843.1904.2984.9
26            Information processing
                equipment and software
467.6459.0437.4462.7509.3552.6
27               Computers and
                   peripheral equipment 1
---  ---  ---  ---  ---  ---  
28               Software 2 176.2173.8169.7177.3195.0206.2
29               Other190.0181.7161.1167.1180.7193.6
30            Industrial equipment159.2145.7134.5138.4132.7143.5
31            Transportation equipment160.8142.8126.0113.8128.8145.4
32            Other equipment131.2126.9122.9130.4137.6147.3
33      Residential446.9448.5469.9509.4559.9608.0
34   Change in private inventories56.5-31.712.514.353.419.6
35      Farm-1.30.0-2.50.46.10.2
36      Nonfarm57.8-31.815.214.047.019.6
37Net exports of goods and services-379.5-399.1-471.3-518.9-590.9-619.2
38   Exports1,096.31,036.71,013.31,026.11,120.41,196.1
39      Goods784.3736.3707.0719.8784.4843.2
40      Services311.9300.4306.0306.2335.9352.9
41   Imports1,475.81,435.81,484.61,545.01,711.31,815.3
42      Goods1,243.51,204.11,248.21,309.31,452.21,549.9
43      Services232.3231.6236.5236.6260.3267.5
44Government consumption expenditures
    and gross investment
1,721.61,780.31,858.81,904.81,940.61,958.0
45   Federal578.8601.4643.4687.1716.6727.5
46      National defense370.3384.9413.2449.0475.4483.6
47         Consumption expenditures321.5334.1356.7387.5408.3413.3
48         Gross investment48.850.856.761.767.571.2
49      Nondefense208.5216.5230.2238.0241.0243.7
50         Consumption expenditures177.8185.8197.3204.5207.0207.3
51         Gross investment30.730.732.933.533.936.7
52   State and local1,142.81,179.01,215.41,217.81,223.91,230.4
53      Consumption expenditures917.8941.2969.4969.8979.6988.0
54      Gross investment225.0237.8246.1248.1244.1242.1
55Residual0.11.2-1.1-6.4-17.6-42.6


  • Military Spending : We spend more. Do you feel safer now? If this $711 billion was a productive part of the US Economy don't you think we could save the world? An investment of $2 trillion would build enough nuclear power plants to make the US an energy exporter. Oil would drop to $5 per barrel. :: Continue reading...


  • National Defense


    Created : 1/1/2007 7:02:15 AM Updated: 12/20/2012 8:10:48 AM

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