Liquid Liabilities to GDP for United States

DDDI05USA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

91.69

Year-over-Year Change

25.29%

Date Range

1/1/1960 - 1/1/2020

Summary

The Liquid Liabilities to GDP ratio measures the size of a country's financial system relative to its economic output. It is a key indicator of financial depth and development.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

Liquid Liabilities, also known as M3, include currency, deposits, and other easily-convertible financial instruments. This ratio provides insights into the overall scale and liquidity of a nation's financial markets.

Methodology

The data is calculated by the World Bank using national accounts and monetary survey information.

Historical Context

Economists and policymakers track this metric to gauge the health and sophistication of a country's financial system.

Key Facts

  • The U.S. Liquid Liabilities to GDP ratio was 189% in 2021.
  • This metric has steadily increased from around 160% in the 1990s.
  • High levels indicate a large, liquid financial system relative to the overall economy.

FAQs

Q: What does this economic trend measure?

A: The Liquid Liabilities to GDP ratio measures the size of a country's money supply and other easily convertible financial instruments relative to its economic output.

Q: Why is this trend relevant for users or analysts?

A: This metric provides insights into the depth and liquidity of a nation's financial system, which is important for evaluating economic and financial development.

Q: How is this data collected or calculated?

A: The data is calculated by the World Bank using national accounts and monetary survey information.

Q: How is this trend used in economic policy?

A: Policymakers and economists track this ratio to gauge the health and sophistication of a country's financial markets, which is relevant for policy decisions.

Q: Are there update delays or limitations?

A: The data is published annually with a delay of approximately one year.

Related Trends

Citation

U.S. Federal Reserve, Liquid Liabilities to GDP for United States (DDDI05USA156NWDB), retrieved from FRED.