FINANCIAL SERVICES INDUSTRY
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FINANCIAL SERVICES CONTRIBUTION TO GROSS DOMESTIC PRODUCT

Gross domestic product (GDP) is the total value of all final goods and services produced in the economy. The GDP growth rate is the primary indicator of the state of the economy.
GROSS DOMESTIC PRODUCT OF FINANCIAL SERVICES, SHARES BY COMPONENT, INCLUDING REAL ESTATE, 2002




Source: U.S. Department of Commerce, Bureau of Economic Analysis.

  • When real estate transactions (e.g., development, mortgages and related services, property sales and rentals) are included, financial services accounted for 20.3 percent of GDP in 2002, compared with 20.1 percent in 2001.

GROSS DOMESTIC PRODUCT OF FINANCIAL SERVICES, SHARES BY COMPONENT, EXCLUDING REAL ESTATE, 2002



Source: U.S. Department of Commerce, Bureau of Economic Analysis.

  • With real estate excluded, the remaining financial services industries contributed 7.7 percent to the GDP in 2002, compared with 7.6 percent in 2001.

GROSS DOMESTIC PRODUCT OF THE FINANCIAL SERVICES INDUSTRY, 1998-2002 (1)

($ billions)



1998

1999

2000

2001

2002
      
     Funds, trusts and other financial vehicles11.915.015.517.917.9
     Industry percent of total GDP19.3%19.4%19.7%20.1%20.3%
     Rental and leasing services and lessors of intangible assets93.2100.6108.3107.8111.5
     Securities, commodity contracts and investments134.1139.9167.7164.6162.6
     Insurance carriers and related activities217.4216.9238.3235.3248.7
     Federal Reserve banks, credit intermediation and related activities277.7308.0319.0352.3374.8
Finance and insurance$641.1$679.8$740.5$770.1$804.0
     Real estate950.31,017.91,082.11,150.01,210.3
Total real estate and rental and leasing1,043.51,118.61,190.51,257.81,321.7
Total GDP$8,747.0$9,268.4$9,817.0$10,100.8$10,480.8
Total financial services industry1,684.61,798.41,931.02,028.02,125.7
 

(1) Includes real estate and rental and leasing.

Source: U.S. Department of Commerce, Bureau of Economic Analysis.

FINANCIAL SERVICES SECTOR’S SHARE OF GROSS DOMESTIC PRODUCT, 1998-2002 (1)


     

Percent of total gross domestic product

 

1998

1999

2000

2001

2002
Finance, insurance, real estate and rental and leasing19.3%19.4%19.7%20.1%20.3%
  Finance and insurance7.37.37.57.67.7
     Federal Reserve banks, credit intermediation and related activities3.23.33.23.53.6
     Securities, commodity contracts and investments1.51.51.71.61.6
     Insurance carriers and related activities2.52.32.42.32.4
     Funds, trusts and other financial vehicles0.10.20.20.20.2
  Total real estate and rental and leasing11.912.112.112.512.6

(1) Includes real estate and rental and leasing.

Source: U.S. Department of Commerce, Bureau of Economic Analysis.

FINANCIAL SERVICES VS. TOTAL U.S. GROSS DOMESTIC PRODUCT GROWTH, 1998-2002

($ billions)


Year

Total U.S. gross domestic product

Percent change from prior year

Finance, insurance, real estate and rental and leasing

Percent change from prior year

Finance and insurance

Percent change from prior year
1998$8,747.0NA$1,684.6NA$641.1NA
19999,268.46.0%1,798.46.8%679.86.0%
20009,817.05.91,931.07.4740.58.9
200110,100.82.92,028.05.0770.14.0
200210,480.83.82,125.74.8804.04.4

NA=Not applicable.

Source: U.S. Department of Commerce, Bureau of Economic Analysis.

FINANCIAL SERVICES PERCENTAGE SHARE OF GROSS STATE PRODUCT, 2001

(Excludes real estate)


State

Percent

State

Percent

State

Percent
Alabama7.6%Louisiana4.7%Oklahoma5.9%
Alaska3.2Maine7.3Oregon5.3
Arizona7.8Maryland6.5Pennsylvania8.7
Arkansas5.3Massachusetts11.2Rhode Island15.3
California7.1Michigan6.3South Carolina5.1
Colorado7.3Minnesota9.5South Dakota16.0
Connecticut15.2Mississippi5.4Tennessee7.2
Delaware34.6Missouri7.9Texas6.7
District of Columbia8.0Montana6.3Utah11.8
Florida7.6Nebraska8.6Vermont6.1
Georgia7.3Nevada7.8Virginia6.9
Hawaii5.2New Hampshire10.0Washington5.6
Idaho4.1New Jersey9.0West Virginia4.9
Illinois10.7New Mexico3.9Wisconsin7.4
Indiana6.4New York20.1Wyoming3.7
Iowa9.1North Carolina11.0Total U.S.8.9
Kansas6.5North Dakota7.8  
Kentucky5.5Ohio8.9  

Source: U.S. Department of Commerce, Bureau of Economic Analysis.