Today
The economist Paul Krugman once said, “Productivity isn’t everything, but in the long run, it’s almost everything”. When workers can produce more value in the same amount of time, economies can grow faster, and living standards can rise.
The chart shows the productivity metric published by the Penn World Table for South Korea and Japan. It measures gross domestic product (GDP) per hour of work.
Since 2000, South Korea’s productivity has more than doubled, narrowing what was once a vast gap with Japan. It has now even surpassed its neighbor.
Many forces affect productivity, but one stands out in Korea’s case: its commitment to innovation. The country spends nearly 5% of GDP on research and development, among the highest shares in the world, and it files far more patents per million people than any other nation.
December 18
What does the British government spend its budget on? The chart shows spending broken down by category, scaled to £100. It combines both central and local government spending.
Social protection is the single largest item. Out of every £100 spent, £33 goes to it — more than health, at £19 per £100. The UK is typical in this regard — in every OECD country except the US, social protection is the biggest category.
Public services also account for a large share: £14 per £100. These include core government functions, foreign aid, and interest payments on government debt.
Education and economic affairs, which support the broader economy or specific industries such as fishing and manufacturing, are also prominent categories.
December 16
Since 2000, GDP per capita has doubled in all three Baltic states: Estonia, Latvia, and Lithuania (where it has nearly tripled).
Living conditions in these countries have improved more broadly. Poverty rates are lower, and life satisfaction is higher. Incomes have not just doubled in terms of GDP per capita; median incomes have also doubled.
December 13
This Data Insight is the third of a three-part series on China’s role in global trade, drawing on new writing we added this week to our Trade and Globalization topic page.
China is the top source of imports for many countries. But this tells us only how China compares with other trading partners, not how large these imports are relative to the size of each country’s economy. That is what this map shows.
The map plots the total value of merchandise imports from China as a share of each importing country’s GDP. The data shows that Chinese imports are relatively small when compared with the overall size of the importing economy.
Take the Netherlands as an example: China is the country’s leading source of imports. But compared with the size of the whole Dutch economy, this is a comparatively small amount — about 10% as a share of GDP. And as the map shows, the Netherlands is at the high end, largely because it imports a lot overall.
In many countries, imports from China account for much less than 10% of GDP. There are a few reasons for this. First, even if China is the leading partner, most countries still import from a wide range of places. And second, in most countries, the economic value produced domestically is larger than the total value of imported goods.
December 11
This Data Insight is the second of a three-part series on China’s role in global trade, drawing on new writing we added this week to our Trade and Globalization topic page.
China’s central role in merchandise trade is the result of a large change that has taken place in just a few decades. This change has been especially large in Africa and South America.
In 1990, most African countries imported mainly from Europe, and most South American imports came from North America. Today, Asia is the top source of imports for both regions, primarily due to the rapid growth of trade with China.
The chart here focuses on Ethiopia, a country that illustrates this shift. Home to around 130 million people, it is one of Africa’s largest countries and has experienced rapid economic growth in recent decades.
In the early 1990s, over 40% of Ethiopia’s imports came from Europe, while very little came from China. Since then, the roles of China and Europe have almost reversed: imports from China now account for one-third of Ethiopia’s total imported goods.
December 09
This Data Insight is the first of a three-part series on China’s role in global trade, drawing on new writing we added this week to our Trade and Globalization topic page.
Over the past two decades, China’s role in global trade has expanded substantially. It has become a central hub, particularly through growing relationships with many lower and middle-income countries.
The map here shows how China ranks as a source of imports into each country. A rank of 1 means that China is the largest source of merchandise goods (by value) that a country buys abroad.
In 2024, China was the top source of imported goods for around two-thirds of countries worldwide. This includes nearly all of Asia, much of Africa and Latin America, and parts of Europe.
In many countries, China has overtaken the United States as the largest origin of their imported goods. This shift has occurred relatively recently, mainly over the past two decades.
December 06
Despite the world’s immense progress against child mortality, in some of the poorest countries, one in ten children still dies. That’s a level last seen in the richest countries in the middle of the 20th century.
The chart shows the nine countries, all located in Africa, where this is the reality today. In Niger, more than 11 out of every 100 children die before the age of five. In the European Union, the child mortality rate is more than twenty times lower.
