US GDP - An Evolution in Charts

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Using charts, we dissect the evolution of the US economy from a balanced one to one that is now service dominated.

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US GDP - An Evolution in Charts

  1. 1. SurplusProductivity.com presents
  2. 2. The US Economy Charting the Evolution Data Source: The Bureau of Economic Analysis Charts by Paul Winghart Text by Paul Winghart SurplusProductivity.com, your premier source for original economic content. Music Danza Negra Ernesto Lecuona Cuarteto de Clarinetes de Caracas
  3. 3. Gross Domestic Product The summation of market or monetary values of all the goods and services produced domestically over a given period. In 2013, the US economy totaled over $16.5 trillion in officially recognized production1 1Subject to future revisions by the US Bureau of Economic Analysis
  4. 4. The US Economy $0.00 $2,000.00 $4,000.00 $6,000.00 $8,000.00 $10,000.00 $12,000.00 $14,000.00 $16,000.00 $18,000.00 InUSD($)Billions Annual Gross Domestic Product In 1982 US GDP totaled $3.342 Trillion By 2013 GDP was up to 16.797 Trillion Average Annual Pace 5.36 percent (w/ inflation)
  5. 5. Real GDP It is important to account for how much growth is actual production and how much growth is from rising prices. Adjusted for inflation, GDP has averaged growth of 2.92 percent per year since 19822 2 Based on 2009 chained prices
  6. 6. The US Economy $0.00 $2,000.00 $4,000.00 $6,000.00 $8,000.00 $10,000.00 $12,000.00 $14,000.00 $16,000.00 $18,000.00 InUSD($)Billions Annual Gross Domestic Product In 1982 US GDP totaled $3.342 Trillion By 2013 GDP was up to 16.797 Trillion Average Annual Pace 5.36 percent (w/ inflation) 2.92 percent (w/o inflation)
  7. 7. Components of GDP GDP is a function of (Personal) Consumption + (Gross) Investment + Government + Net Exports3 3 This number is typically negative since the US imports much more than it exports
  8. 8. Components of GDP While the components that make up GDP don’t change, the weightings do. It depends upon what area of the economy produces the most activity.
  9. 9. Components of GDP For example, this is how the economy broke-down in 1982
  10. 10. ‘82 GDP = $3.345 Trillion 62.00%17.37% -0.60% 21.23% 1982 Consumption Investment Trade Government
  11. 11. Components of ‘82 GDP GDP is a function of (Personal) Consumption + $2.403 T 62% (Gross) Investment + $0.551 T 17% Government + $0.412 T 22% Net Exports -$0.020 T -1%
  12. 12. ‘82 GDP = $3.345 Trillion 62.00%17.37% -0.60% 21.23% 1982 Consumption Investment Trade Government
  13. 13. ‘83 GDP = $3.631 Trillion 62.85%17.52% -1.42% 21.05% 1983 Consumption Investment Trade Government
  14. 14. ‘84 GDP = $4.040 Trillion 61.83% 20.30% -2.54% 20.42% 1984 Consumption Investment Trade Government
  15. 15. ‘85 GDP = $4.346 Trillion 62.64% 19.09% -2.62% 20.90% 1985 Consumption Investment Trade Government
  16. 16. ‘86 GDP = $4.590 Trillion 63.14% 18.50% -2.87% 21.23% 1986 Consumption Investment Trade Government
  17. 17. ‘87 GDP = $4.870 Trillion 63.49% 18.32% -2.97% 21.17% 1987 Consumption Investment Trade Government
  18. 18. ‘88 GDP = $5.252 Trillion 63.72%17.84% -2.08% 20.53% 1988 Consumption Investment Trade Government
  19. 19. ‘89 GDP = $5.657 Trillion 63.50% 17.67% -1.53% 20.36% 1989 Consumption Investment Trade Government
  20. 20. ‘90 GDP = $5.979 Trillion 63.98% 16.61% -1.30% 20.71% 1990 Consumption Investment Trade Government
  21. 21. From 1982 to 1990, the percentages didn’t alter in a significant way. However as trade increased, the percentage of activity due to consumption was able to grow.
  22. 22. ‘91 GDP = $6.174 Trillion 64.14% 15.29% -0.46% 21.03% 1991 Consumption Investment Trade Government
  23. 23. ‘92 GDP = $6.539 Trillion 64.47% 15.49% -0.53% 20.57% 1992 Consumption Investment Trade Government
  24. 24. ‘93 GDP = $6.878 Trillion 65.00% 16.09% -0.95% 19.86% 1993 Consumption Investment Trade Government
  25. 25. ‘94 GDP = $7.308 Trillion 64.87% 17.19% -1.27% 19.21% 1994 Consumption Investment Trade Government
  26. 26. ‘95 GDP = $7.664 Trillion 65.03% 17.19% -1.17% 18.95% 1995 Consumption Investment Trade Government
  27. 27. ‘96 GDP = $8.100 Trillion 65.04% 17.68% -1.19% 18.47% 1996 Consumption Investment Trade Government
  28. 28. ‘97 GDP = $8.608 Trillion 64.60% 18.54% -1.18% 18.05% 1997 Consumption Investment Trade Government
  29. 29. ‘98 GDP = $9.089 Trillion 64.95% 19.09% -1.79% 17.75% 1998 Consumption Investment Trade Government
  30. 30. ‘99 GDP = $9.665 Trillion 65.35% 19.49% -2.70% 17.86% 1999 Consumption Investment Trade Government
  31. 31. ‘00 GDP = $10.289 Trillion 66.10% 19.77% -3.69% 17.83% 2000 Consumption Investment Trade Government
  32. 32. By the year 2000, consumption accounted for over 66.0 percent of all domestic economic activity. This was the first time in modern economic history that one GDP component made up 2/3rds of the economy.
  33. 33. ‘01 GDP = $10.625 Trillion 66.89% 18.15% -3.47% 18.44% 2001 Consumption Investment Trade Government
  34. 34. ‘02 GDP = $10.980 Trillion 67.26% 17.53% -3.87% 19.08% 2002 Consumption Investment Trade Government
  35. 35. ‘03 GDP = $11.512 Trillion 67.44% 17.62% -4.35% 19.29% 2003 Consumption Investment Trade Government
  36. 36. ‘04 GDP = $12.277 Trillion 67.26%18.54% -5.01% 19.20% 2004 Consumption Investment Trade Government
  37. 37. ‘05 GDP = $13.095 Trillion 67.13%19.30% -5.47% 19.04% 2005 Consumption Investment Trade Government
  38. 38. ‘06 GDP = $13.857 Trillion 67.09% 19.34% -5.50% 19.07% 2006 Consumption Investment Trade Government
  39. 39. ‘07 GDP = $14.480 Trillion 67.29%18.26% -4.90% 19.35% 2007 Consumption Investment Trade Government
  40. 40. ‘08 GDP = $14.720 Trillion 67.97%16.47% -4.85% 20.40% 2008 Consumption Investment Trade Government
  41. 41. ‘09 GDP = $14.417 Trillion 68.27% 13.03% -2.72% 21.43% 2009 Consumption Investment Trade Government
  42. 42. ‘10 GDP = $14.958 Trillion 68.20% 14.04% -3.47% 21.22% 2010 Consumption Investment Trade Government
  43. 43. ‘11 GDP = $15.533 Trillion 68.96% 14.37% -3.66% 20.33% 2011 Consumption Investment Trade Government
  44. 44. ‘12 GDP = $16.244 Trillion 68.64% 15.24% -3.37% 19.50% 2012 Consumption Investment Trade Government
  45. 45. ‘13 GDP = $16.797 Trillion 68.44% 15.92% -2.96% 18.60% 2013 Consumption Investment Trade Government
  46. 46. Even the economic procession4 of 2008 could not derail the growth of the consumption sector. In fact, the procession4 only served to amplified the decades’ long trend. 4 A procession is an economic force whereas surplus productivity drives the economy’s potential too far beyond realized GDP growth.
  47. 47. Consumption Personal consumption is made up of different products that are categorized as either: Service Durable Goods Nondurable Goods
  48. 48. Consumption While service consumption has always accounted for a large portion of total expenditures, it has grown right along with the economy. As a result, it is more than fair to say that the US economy is much more service-dominated today than ever before.
  49. 49. Consumption ‘82 – ’ 56.64% 31.16% 12.20% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  50. 50. Consumption ‘82 – ’83 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  51. 51. Consumption ‘82 – ’84 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  52. 52. Consumption ‘82 – ’85 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  53. 53. Consumption ‘82 – ’86 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  54. 54. Consumption ‘82 – ’87 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  55. 55. Consumption ‘82 – ’88 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  56. 56. Consumption ‘82 – ’89 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  57. 57. Consumption ‘82 – ’90 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  58. 58. Consumption ‘82 – ’91 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  59. 59. Consumption ‘82 – ’92 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  60. 60. Consumption ‘82 – ’93 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  61. 61. Consumption ‘82 – ’94 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  62. 62. Consumption ‘82 – ’95 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  63. 63. Consumption ‘82 – ’96 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  64. 64. Consumption ‘82 – ’97 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  65. 65. Consumption ‘82 – ’98 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  66. 66. Consumption ‘82 – ’99 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  67. 67. Consumption ‘82 – ’00 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  68. 68. Consumption ‘82 – ’01 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  69. 69. Consumption ‘82 – ’02 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  70. 70. Consumption ‘82 – ’03 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  71. 71. Consumption ‘82 – ’04 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  72. 72. Consumption ‘82 – ’05 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  73. 73. Consumption ‘82 – ’06 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  74. 74. Consumption ‘82 – ’07 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  75. 75. Consumption ‘82 – ’08 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  76. 76. Consumption ‘82 – ’09 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  77. 77. Consumption ‘82 – ’10 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  78. 78. Consumption ‘82 – ’11 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  79. 79. Consumption ‘82 – ’12 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  80. 80. Consumption ‘82 – ’13 56.64% 31.16% 12.20% 66.19% 22.82% 10.98% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% Service NonDurable Goods Durable Goods
  81. 81. Service Economy Services are much different products than goods, especially in the behavior of their prices. It is service price growth, therefore, that now dominates trends in inflation.
  82. 82. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  83. 83. Service Prices (Annual) 6.23% 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  84. 84. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  85. 85. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  86. 86. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  87. 87. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  88. 88. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  89. 89. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  90. 90. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  91. 91. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  92. 92. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  93. 93. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  94. 94. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  95. 95. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  96. 96. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  97. 97. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  98. 98. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  99. 99. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  100. 100. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  101. 101. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  102. 102. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  103. 103. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  104. 104. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  105. 105. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  106. 106. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  107. 107. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  108. 108. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  109. 109. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  110. 110. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  111. 111. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  112. 112. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  113. 113. Service Prices (Annual) 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  114. 114. Service Prices (Annual) 6.23% 1.95% 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
  115. 115. Service Prices Service prices have fallen on average of 0.20 percent per year since 1982. Trends in service prices, while less volatile, are harder to dislodge than the trends in the prices of goods.
  116. 116. In Conclusion The size of the economy has more than quintupled on a dollar-volume basis. Much of that growth is due to an expanding consumption sector. Consumption has increased by way of service expenditures. Service prices have been under pressure consistently as the sector has expanded.
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