Economic Indicator (GDP) and Inflation Rates for Different Countries

The economy is the wealth and resources of a country mostly measured regarding production and their consumption. Most of the developed countries in the world have experienced challenges in their struggle to attain strong economies. Since 1871, US have been the leading economic giant in the world until recently when it has faced a threat from the fast growing economy of China. China has recently been in the limelight of economic developments being the fastest growing economy in the world. However, the top economic players have always remained the same for the past years. 

The USA is one of the most developed countries in the world having many industries that supply the world with different products. The USA has been able to maintain a steady economic development given the strict laws that guide its industrial developments ( Kilian, 2008) . Despite the many rising competition from other countries regarding economic development, US remain the best since it has the most developed infrastructure and technologically advanced service sector. The US GDP has remained consistently growing over the years as can be observed in the table below. The US has the industry sector, which earns it about 17% of the overall GDP. It is the world’s home of high-value industries such as the aerospace, automobile, telecommunication, and chemical. It is also the largest producer of agricultural products to the world market, which earns IT 2% income. 

Germany is also another country that experiences the economic stability just like the US dos. Germany is European country that has contributed to the world economic growth. It is among the countries that participated in the World War, which is one of the factors that led to the development of the world economies. Germany has industries among which are automobiles. German has been renowned for the manufacture of motor vehicles, which contributes to the country’s income ( Schneider, 2008) . 

Canada has been one of the leading economic powers in the world economy until recently it has been forced to increase its imports affecting its economy ( Hawthorne, 2016) . It has recently shown its optimism to grow its economy once again. With the oil deposits, Canada has now focused its energy on; the country hopes to make the greatest impact on the economy of the world. Canada is situated in the region of the world covered by ice. Therefore it has most of its land covered with ice forcing it to depend on the lower region of almost 2.4% to cultivate for agricultural goods that it exports to the US and Mexico. The exports assist in its GDP. The country is also very lucky for the oil, gas, electricity and uranium that it exports to the US. It is the largest energy supplier to the US. However, Canada may face recession due to the expected removal of the NAFTA policies by the US as it is highly depended on oil export. 

China another rising world economic power has come through various challenges and is now one of the most powerful countries of the world. It has traversed the technological tools to speed up its economic growth. China utilizes the technology to manufacture most of the consumables that it later sells to the world markets mostly in the African countries. China depends mostly on the industrial products by exporting since other sectors of the economy like agriculture cannot produce enough to export. Therefore, the country depends on both construction industry and manufacturing to top up its GDP ( Breslin, 2016) . 

India has been the largest growing economy in the world, which had expected to beat the US economy. However, it has experienced a consumption shock after the ban of some of its currencies ( Joshi & Rupee, 2016) . The country, which is highly populated, realized a 6.6% economic increase, which was slightly below that of the China economy 6.7. India receives 20% of its GDP from the manufacturing sector. India has mineral sectors that have recently supported the economy from the mining and export of the mineral components found. The various issues affect the country, which affects it from providing services to its people. The corruption has forced the government to resort to providing a digital platform that will serve its citizens directly to avoid the intermediaries who interfere with the progress that is intended. India’s GDP is considered the seventh largest in the world with the highest purchasing power. India’s service industry, which includes trade, hotels and restaurants, transport, communication, finance, insurance, and real estate contributes 60% of the total GDP. The rural area in India is the driver of the economy has contributed so much to the growth of the country. 

Inflation can be controlled by the rise of the monetary policy. The government will have to predict the future inflation then adjust its economy policy to face the inflationary forces easily. Long-term supplies policies will help the government softly face the inflationary pressures. The government can employ the fiscal policies to tame the inflationary pressures by changing tax and spending measures in to influence the aggregate demand. The government can also use the exchange rate policy to control the inflation. Another policy is keeping the currency level high helps to tame the inflationary pressures. Finally, wage control policy helps contain the inflationary pressures. The rise in wages causes the rise in inflation at considerable rates. 

Reference 

Breslin, S. (2016). China and the global political economy . Springer. 

Hawthorne, L. (2016). Labour market outcomes for migrant professionals: Canada and Australia compared. 

Joshi, A., & Rupee, P. (2016). India. In Angel Financing in Asia Pacific: A Guidebook for Investors and Entrepreneurs (pp. 151-169). Emerald Group Publishing Limited. 

Kilian, L. (2008). Exogenous oil supply shocks: how big are they and how much do they matter for the US economy?. The Review of Economics and Statistics , 90 (2), 216-240. 

Schneider, F. (2008). The shadow economy in Germany: a blessing or a curse for the official economy?. Economic Analysis and Policy , 38 (1), 89-111.