20 Private Industry Sectors
The gross domestic product comprises 20 private industry sectors and two government groups. All together 22 distinct sectors contribute to the gross domestic product (GDP). The governmental sectors consist of the federal and state/local governments. This article will identify the 20 private industry sectors and their corresponding annual production in dollars and percentage of the total GDP.
Here is a basic table taken from a news release dated February 21, 2019 from the Bureau of Economic Analysis, Department of Commerce. See pages 9 and 10.
GDP Private Industry Sector ContributionTable identifies the respective industry and its annual financial contribution and corresponding perecentage of the total Gross Domestic Product.
|Industry Sector||Annual Billions of Dollars||Percentage of GDP|
|Agriculture, Forestry, Fishing, and Hunting||$157.6||.8|
|Durable Goods (Manufacturing)||1,311.3||6.3|
|Nondurable Goods (Manufacturing)||1,041.8||5.0|
|Transportation and Warehousing||650.6||3.1|
|Finance and Insurance||1,539.6||7.5|
|Real Estate, Rental and Leasing||2,745.9||13.3|
|Professional, Scientific, and Technical Services||1,561.4||7.6|
|Management of Companies and Enterprises||387.9||1.9|
|Administrative and Waste Management Services||646.1||3.1|
|Health Care and Social Assistance||1,534.9||7.4|
|Arts, Entertainment, and Recreation||226.6||1.1|
|Accomodation and Food Services||619.8||3.0|
|87.8% (Rounding Up)|
Take note of a couple interesting items from the above table.
- The largest industry sector is real estate at 13.3%. This makes sense as the customary number one cost for the typical family unit is housing.
- The third largest industry is finance and insurance. Again, this ties to the traditional family unit related to financing of housing and transportation.
- The fourth biggest contributor to the private side of the GDP formula is health care at 7.4%.
The governmental side of the equation contributes 12.2 percent of the total economy. ACT ON KNOWLEDGE.
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