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Economy of Australia vs Bulgaria compared: GDP & Debt

Updated on by Georank

Australia has a GDP of $1.8T compared to $131B for Bulgaria, ranking 15/197 and 63/197 by economy size, respectively.

Australia has $918B in government debt (51% of GDP), compared to $35.4B (27.1% of GDP) in Bulgaria.

Australia vs Bulgaria GDP by year

Australia
Bulgaria
1x
Year GDP, current $
Australia Bulgaria
2025 $1,798,518,933,689 $130,777,235,530
2024 $1,757,022,451,653 $113,349,149,167
2023 $1,734,451,264,656 $102,204,457,335
2022 $1,695,627,535,476 $90,510,784,778
2021 $1,560,617,493,203 $84,378,926,047
2020 $1,333,336,461,648 $70,490,478,088
2019 $1,398,349,602,956 $68,511,235,459
2018 $1,433,144,978,762 $66,100,606,677
2017 $1,330,890,554,614 $59,170,671,046
2016 $1,211,588,128,418 $53,932,152,154
2015 $1,356,805,839,936 $50,768,512,173
2014 $1,474,677,007,566 $57,083,817,240
2013 $1,583,737,461,925 $55,822,115,861
2012 $1,552,728,401,402 $54,299,825,600
2011 $1,402,939,868,653 $57,684,243,980
2010 $1,152,566,632,022 $50,691,645,231
2009 $931,761,689,771 $52,026,461,290
2008 $1,058,448,244,064 $54,483,464,293
2007 $856,603,595,823 $44,433,521,725
2006 $749,708,370,333 $34,382,295,487
2005 $696,811,489,613 $29,870,182,425
2004 $615,643,050,221 $26,159,078,743
2003 $468,517,181,130 $21,146,038,619
2002 $396,436,967,263 $16,403,880,783
2001 $380,360,222,861 $14,184,170,319
2000 $416,901,962,163 $13,246,669,554
1999 $390,347,787,943 $13,637,793,854
1998 $400,361,527,505 $15,031,821,788
1997 $436,321,902,767 $11,316,706,412
1996 $401,962,517,479 $12,295,588,924
1995 $368,725,126,225 $18,992,388,645
1994 $323,269,456,935 $9,709,230,161
1993 $312,568,858,910 $10,832,041,595
1992 $325,982,966,981 $8,602,874,120
1991 $326,416,407,861 $7,628,764,750
1990 $311,840,666,465 $20,726,605,649
1989 $300,264,309,002 $21,746,286,447
1988 $236,461,079,970 $23,003,003,708
1987 $189,726,707,253 $28,428,718,531
1986 $182,707,050,923 $20,261,546,635
1985 $180,861,108,959 $17,562,270,447
1984 $193,749,932,078 $17,410,894,971
1983 $177,523,719,680 $16,959,180,922
1982 $194,323,071,831 $19,803,624,625
1981 $177,151,979,566 $20,055,685,481
1980 $150,200,557,103 $20,039,544,133
1979 $135,093,718,051 -
1978 $118,660,813,780 -
1977 $110,504,702,914 -
1976 $105,209,354,856 -
1975 $97,440,939,506 -
1974 $89,086,219,602 -
1973 $63,923,126,201 -
1972 $52,117,990,654 -
1971 $45,283,847,245 -
1970 $41,395,206,623 -
1969 $36,738,245,878 -
1968 $32,763,365,242 -
1967 $30,487,524,878 -
1966 $27,349,284,376 -
1965 $26,014,244,162 -
1964 $23,835,843,814 -
1963 $21,573,443,452 -
1962 $19,953,923,193 -
1961 $19,713,123,154 -
1960 $18,635,682,982 -

Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

GDP per capita in Australia vs Bulgaria by year

Australia
GDP per capita

GDP per capita, PPP
Bulgaria
GDP per capita

GDP per capita, PPP
1x
Year Current $
Australia Bulgaria
GDP per capita GDP per capita, PPP GDP per capita GDP per capita, PPP
2025 $65,130 - $20,328 -
2024 $64,610 $72,111 $17,597 $41,969
2023 $65,058 $72,273 $15,854 $38,829
2022 $65,170 $66,103 $14,000 $36,320
2021 $60,759 $58,327 $12,967 $30,959
2020 $51,983 $54,184 $10,761 $27,352
2019 $55,195 $52,886 $10,354 $26,766
2018 $57,410 $50,371 $9,850 $23,998
2017 $54,118 $48,565 $8,697 $22,317
2016 $50,084 $47,446 $7,823 $20,746
2015 $56,970 $46,465 $7,269 $18,896
2014 $62,817 $47,109 $8,070 $17,991
2013 $68,477 $46,123 $7,796 $16,894
2012 $68,301 $43,007 $7,432 $16,327
2011 $62,799 $42,153 $7,850 $15,747
2010 $52,314 $39,504 $6,854 $14,954
2009 $42,955 $40,434 $6,989 $14,188
2008 $49,811 $37,616 $7,272 $14,347
2007 $41,128 $36,708 $5,889 $12,822
2006 $36,659 $34,890 $4,523 $11,406
2005 $34,535 $33,090 $3,900 $10,291
2004 $30,886 $31,815 $3,390 $9,200
2003 $23,758 $30,167 $2,720 $8,416
2002 $20,335 $29,080 $2,093 $7,786
2001 $19,734 $27,688 $1,771 $6,960
2000 $21,909 $26,585 $1,621 $6,424
1999 $20,750 $25,531 $1,661 $5,808
1998 $21,516 $24,386 $1,821 $6,178
1997 $23,683 $23,142 $1,361 $5,751
1996 $22,056 $22,134 $1,470 $6,849
1995 $20,479 $21,050 $2,259 $7,743
1994 $18,156 $20,174 $1,150 $7,338
1993 $17,725 $19,220 $1,279 $7,032
1992 $18,650 $18,259 $1,007 $6,917
1991 $18,885 $17,839 $884 $7,215
1990 $18,274 $17,385 $2,377 $7,548
1989 $17,858 - $2,450 -
1988 $14,303 - $2,561 -
1987 $11,666 - $3,169 -
1986 $11,406 - $2,262 -
1985 $11,455 - $1,960 -
1984 $12,436 - $1,943 -
1983 $11,532 - $1,897 -
1982 $12,798 - $2,221 -
1981 $11,871 - $2,256 -
1980 $10,223 - $2,261 -
1979 $9,308 - - -
1978 $8,264 - - -
1977 $7,786 - - -
1976 $7,497 - - -
1975 $7,014 - - -
1974 $6,492 - - -
1973 $4,778 - - -
1972 $3,955 - - -
1971 $3,500 - - -
1970 $3,310 - - -
1969 $2,996 - - -
1968 $2,728 - - -
1967 $2,584 - - -
1966 $2,347 - - -
1965 $2,284 - - -
1964 $2,134 - - -
1963 $1,970 - - -
1962 $1,858 - - -
1961 $1,880 - - -
1960 $1,813 - - -

Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

Australia's GDP per capita is $65,130, ranking 14/197, compared to $20,328 in Bulgaria, ranking 58/197. Adjusted for purchasing power (GDP per capita PPP), Australia ranks 22nd at $72,111, while Bulgaria ranks 54th at $41,969.

Economic indicators

Australia Bulgaria
Gross domestic product
$1.8T
2025
$131B
2025
GDP rank
15/197
2025
63/197
2025
GDP growth
1.35%
2024-2025
3.1%
2024-2025
GDP per capita
$65,130
2025
$20,328
2025
GDP per capita rank
14/197
2025
58/197
2025
GDP per capita, PPP
$72,111
2024
$41,969
2024
GDP per capita PPP rank
22/197
2024
54/197
2024
Government debt
$918B
2025
$35.4B
2025
Debt-to-GDP ratio
51%
2025
27.1%
2025
Government debt per person
$33,239
2025
$5,507
2025
Government debt per person rank
22/185
2025
79/185
2025
Average annual personal income after taxes
$50,637
2026
$16,126
2026
Market capitalization of domestic companies
$2.05T
2025
$11.2B
2025
Number of millionaires
1,634,000
2026
n/a
Number of billionaires
47
2026
2
2026
Income share by richest 10%
25.9%
2020
31.1%
2023
Income share by poorest 10%
2.6%
2020
2.1%
2023
Government expenditure, % of GDP
39.5%
2025
38.9%
2025
Consumer prices inflation
2.87%
2024-2025
3.5%
2024-2025
Central bank interest rate
4.35%
2026
1.81%
2025
Unemployment rate
4.2%
2025
3.5%
2025
Population
28010980
6390149

Spending and national debt comparison by year

Australia
Spending

Debt
Bulgaria
Spending

Debt
1x
Year % of GDP
Australia Bulgaria
Government spending Government debt Government spending Government debt
2025 39.5% 51% 38.9% 27.1%
2024 38.7% 50.6% 36.3% 23.8%
2023 37.4% 49.4% 37.5% 22.9%
2022 37.4% 50% 37.6% 22.5%
2021 41.7% 55.4% 38.5% 23.9%
2020 44.3% 56.9% 37.7% 22.7%
2019 38.8% 46.5% 36.1% 18.4%
2018 36.7% 41.6% 34.4% 20.1%
2017 36.6% 41% 32% 22.9%
2016 37.1% 40.5% 32.7% 27%
2015 37.1% 37.6% 37.3% 25.4%
2014 36.6% 33.9% 37.1% 26.3%
2013 36.2% 30.3% 35.5% 17.2%
2012 36.4% 27.4% 32.5% 16.5%
2011 36.2% 24% 32% 14.3%
2010 36.8% 20.3% 34.6% 14.1%
2009 37.6% 16.6% 33.8% 14.5%
2008 35% 11.7% 33.5% 14.7%
2007 34.2% 9.65% 33.1% 17.6%
2006 34.5% 9.92% 32.5% 22.6%
2005 34.5% 10.8% 34% 28.5%
2004 34.8% 11.9% 34.6% 37.8%
2003 34.9% 13.2% 35.8% 45.4%
2002 34.9% 15% 35.1% 53.4%
2001 35.6% 17.1% 36.5% 67.1%
2000 35.1% 19.5% 37.1% 73.3%
1999 36.2% 22.5% 36.2% 78.7%
1998 34.6% 23.7% 30.6% 67.3%
1997 32.8% 25.9% 32.9% 88.4%
1996 33.5% 29.3% 44% 113.8%
1995 33.6% 31.1% 45.4% 72%
1994 33.7% 31.7% - -
1993 34.1% 30.6% - -
1992 34% 27.6% - -
1991 33% 21.6% - -
1990 30.4% 16.4% - -
1989 34.5% 17% - -
1988 34.6% 20.5% - -
1987 36% 25.2% - -
1986 38.4% 25.5% - -
1985 38.7% 24% - -
1984 38.4% 22.3% - -
1983 37% 21% - -
1982 36.7% 16.8% - -
1981 33.4% 19.1% - -
1980 33.2% 21.2% - -
1979 32.5% 22.8% - -
1978 33.2% 24.7% - -
1977 34.1% 23.6% - -
1976 33.3% 22.9% - -
1975 33% 23.6% - -
1974 30.9% 22.3% - -
1973 26.6% 27.3% - -
1972 27% 30.7% - -
1971 26.1% 32.2% - -
1970 25.3% 34.9% - -
1969 24.7% 36.7% - -
1968 25.3% 39.4% - -
1967 26.4% 40.5% - -
1966 25.6% 42.4% - -
1965 25.8% 43.7% - -
1964 23.5% 44.9% - -
1963 23% 47.5% - -
1962 22.7% 50.2% - -
1961 23.3% 49.3% - -
1960 21.8% 48.3% - -

Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1990–2025, retrieved 2026-07-08); International Monetary Fund (IMF) | Public Finances in Modern History (1960–1997, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

In 2025, Australia's government spending was $710B, accounting for 39.5% of its GDP, while Bulgaria spent $50.8B, or 38.9% of GDP.

Debt-to-GDP ratio is 51% in Australia and 27.1% in Bulgaria, ranking 104/185 and 164/185, respectively.

Government deficit by year

Deficit/surplus
Australia

Bulgaria
1x
Year Deficit/surplus, % of GDP
Australia Bulgaria
2025 -2.78% -3.01%
2024 -2.25% -3.01%
2023 -1.26% -3.04%
2022 -2.21% -0.8%
2021 -6.35% -2.8%
2020 -8.7% -2.92%
2019 -4.39% -0.96%
2018 -1.25% 0.12%
2017 -1.71% 0.82%
2016 -2.41% 1.54%
2015 -2.78% -2.77%
2014 -2.91% -3.65%
2013 -2.8% -1.75%
2012 -3.5% -0.43%
2011 -4.51% -1.83%
2010 -5.1% -3.77%
2009 -4.55% -0.86%
2008 -1.1% 2.73%
2007 1.47% 3.09%
2006 1.77% 3.22%
2005 1.7% 2.19%
2004 1.32% 1.59%
2003 1.05% 0.003%
2002 0.19% -0.61%
2001 -0.03% -0.58%
2000 1.25% -0.6%
1999 0.66% 0.15%
1998 -0.25% 1.08%
1997 -0.49% 0.83%
1996 -1.45% -10.1%
1995 -2.6% -7.98%
1994 -3.79% -
1993 -4.72% -
1992 -4.74% -
1991 -2.78% -
1990 -0.23% -
1989 -1.29% -
1988 -0.77% -
1987 -1.66% -
1986 -3.5% -
1985 -5.24% -
1984 -5.48% -
1983 -5.66% -
1982 -5.19% -
1981 -3.25% -
1980 -2.87% -
1979 -2.32% -
1978 -4.19% -
1977 -4.39% -
1976 -3.44% -
1975 -3.47% -
1974 -2.46% -
1973 0.16% -
1972 -0.97% -
1971 -0.23% -
1970 -0.23% -
1969 0.53% -
1968 -0.7% -
1967 -1.65% -
1966 -1.77% -
1965 -1.46% -
1964 0.19% -
1963 -0.26% -
1962 -0.38% -
1961 -0.78% -
1960 0.47% -
1959 0.06% -
1958 -0.25% -
1957 -0.33% -
1956 1% -
1955 0.08% -
1954 -0.27% -
1953 -0.86% -
1952 -0.44% -
1951 1.85% -
1950 4.29% -
1949 0.72% -
1948 2% -
1947 -0.45% -
1946 -4.09% -
1945 -8.87% -
1944 -11.8% 0%
1943 -12.4% 0%
1942 -5.17% -0.3%
1941 -2.14% 3.96%
1940 0.51% 0.75%
1939 0.77% 0.72%
1938 0.24% 1%
1937 0.28% 1.41%
1936 0.17% 1.17%
1935 0.24% 1.34%
1934 0.28% -0.12%
1933 0.28% -0.56%
1932 0.02% -2.14%
1931 -0.8% -3.07%
1930 -1% -5.48%
1929 -0.53% -6.67%
1928 -0.69% -1.09%
1927 -0.5% -0.02%
1926 -0.31% -0.25%
1925 -0.26% -0.97%
1924 -0.5% 1.26%
1923 -0.33% -
1922 -0.94% -
1921 -2% -
1920 -2.43% -
1919 -4.8% -
1918 -4.36% -
1917 -4.99% -
1916 -3.47% -
1915 -1.11% -
1914 -0.29% -
1913 0% -
1912 0.12% -
1911 0.39% -
1910 0.39% -
1909 0.37% -
1908 -0.15% -
1907 0.41% -
1906 0.23% -
1905 0.11% -
1904 -0.13% -
1903 -0.02% -
1902 0.16% -
1901 1.46% -

Data sources: International Monetary Fund (IMF) | Public Finances in Modern History (1901–1997, retrieved 2026-07-08); International Monetary Fund (IMF) | Fiscal Monitor (1990–2025, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

In 2025, Australia's government deficit, the difference between spending and revenue, was $50B, equivalent to 2.78% of GDP. This compares to Bulgaria's deficit of $3.94B, or 3.01% of GDP.

Over the past 31 years, Australia recorded a fiscal deficit in 23 of those years, while Bulgaria ran a deficit in 19 years. On average, Australia posted an annual deficit equal to 1.81% of GDP, compared to deficit of 1.1% of GDP for Bulgaria.

Inflation comparison by year

Inflation
Australia

Bulgaria
1x
Year Consumer prices inflation
Australia Bulgaria
2025 2.87% 3.5%
2024 3.17% 2.6%
2023 5.6% 8.6%
2022 6.59% 13%
2021 2.86% 2.8%
2020 0.85% 1.2%
2019 1.61% 2.5%
2018 1.91% 2.6%
2017 1.95% 1.2%
2016 1.28% -1.3%
2015 1.51% -1.1%
2014 2.49% -1.6%
2013 2.45% 0.4%
2012 1.76% 2.4%
2011 3.3% 3.4%
2010 2.92% 3%
2009 1.77% 2.5%
2008 4.35% 12%
2007 2.33% 7.6%
2006 3.56% 7.4%
2005 2.69% 6%
2004 2.34% 6.1%
2003 2.73% 2.3%
2002 2.98% 5.8%
2001 4.41% 7.4%
2000 4.46% 10.3%
1999 1.48% 2.6%
1998 0.86% 18.7%
1997 0.22% 1,061%

Data sources: International Monetary Fund (IMF) | World Economic Outlook (1997–2025, retrieved 2026-07-08); World Bank | Economy & Growth (1997–2025, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

Over the past 29 years, Australia has recorded an average annual inflation rate of 2.67%, compared with 41.1% in Bulgaria. In 2025, inflation was 2.87% in Australia and 3.5% in Bulgaria.

Top exports between countries

Australia
Export category Export value
Machinery & equipment $5.54M
Raw materials & minerals $4M
Chemicals & pharma $3.66M
Textiles & consumer goods $2.61M
Metals $918K
Raw agricultural goods $571K
Processed food, beverages & tobacco $323K
Precious metals & jewellery $55K
Animal & marine products $36K
Wood & paper products $28K
Bulgaria
Export category Export value
IT & IP services $26.6M
Machinery & equipment $22.6M
Transport & tourism services $14.3M
Chemicals & pharma $13.5M
Business & finance services $6.17M
Raw agricultural goods $5.64M
Animal & marine products $5.21M
Textiles & consumer goods $4.4M
Raw materials & minerals $3.02M
Metals $2.44M

Balance of trade

Australia Bulgaria
Current account balance
-$48.2B
2025
-$7.64B
2025
Current account balance ranking
187/190
2025
170/190
2025
Current account balance, % of GDP
-2.68%
2025
-5.84%
2025
Goods imports
$309B
2025
$58.5B
2025
Goods exports
$337B
2025
$47.9B
2025
Service imports
$116B
2025
$9.42B
2025
Service exports
$91.6B
2025
$18.6B
2025
Imports of goods and services, % of GDP
22.7%
2025
51.8%
2025
Exports of goods and services, % of GDP
23.2%
2025
50.7%
2025

Economic freedom indices

The indices of economic freedom below are issued by the Heritage Foundation. Higher scores indicate stronger economic health.

Australia Bulgaria
Economic freedom 80.1 68.9
Economic freedom ranking 5/197 44/197
Property rights 88.2 75.8
Government integrity 88.1 48.4
Judicial effectiveness 96.3 58.5
Tax burden 61.8 89.1
Government spending 56.6 58.4
Fiscal health 89 90.4
Business freedom 92.3 78.2
Labor freedom 61.5 62.4
Monetary freedom 77.2 75.8
Trade freedom 89.8 79.4
Investment freedom 80 60
Financial freedom 80 50

Economic freedom comparison by year

Australia
Bulgaria
1x
Year Economic freedom index
Australia Bulgaria
2026 80.1 68.9
2025 79.3 68.8
2024 76.2 68.5
2023 74.8 69.3
2022 77.7 71
2021 82.4 70.4
2020 82.6 70.2
2019 80.9 69
2018 80.9 68.3
2017 81 67.9
2016 80.3 65.9
2015 81.4 66.8
2014 82 65.7
2013 82.6 65
2012 83.1 64.7
2011 82.5 64.9
2010 82.6 62.3
2009 82.6 64.6
2008 82.2 63.7
2007 81.1 62.7
2006 79.9 64.1
2005 79 62.3
2004 77.9 59.2
2003 77.4 57
2002 77.3 57.1
2001 77.4 51.9
2000 77.1 47.3
1999 76.4 46.2
1998 75.6 45.7
1997 75.5 47.6
1996 74 48.6
1995 74.1 50

Data sources: The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

The Economic Freedom Index for Australia is 80.1, ranking 5/197, compared to 68.9 for Bulgaria, ranking 44/197. The chart above displays a comparison of annual changes in economic freedom indexes.

Other economic metrics

Australia Bulgaria
Services, % of GDP
67.5%
2025
63.3%
2025
Industry, % of GDP
23.9%
2025
21.2%
2025
Agriculture, forestry, and fishing, % of GDP
2.27%
2025
2.47%
2025
GNI, Atlas method
$1.77T
2025
$114B
2025
GNI per capita, PPP
$69,930
2025
$42,170
2025
Total reserves including gold
$72.6B
2025
$47.1B
2025
Total reserves ranking
37/177
2025
51/177
2025
Net foreign direct investment
-$41.1B
2025
-$3.37B
2025
Net inflows of foreign direct investment
$53.7B
2024
$3.05B
2024
Net outflows of foreign direct investment
$13.9B
2024
$1.21B
2024
Servicing debt to the IMF, % of GNI n/a
6.8%
2024
Poverty at national poverty lines n/a
21.7%
2023
Gross capital formation, % of GDP
24.5%
2025
21.7%
2025

GDP per capita map

1x

Data sources: World Bank | Economy & Growth (1985–2025, retrieved 2026-07-08); U.S. Census Bureau (1985–2025, retrieved 2026-07-08).

GeoRank.org/economy/australia/bulgaria | CC BY

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Data sources:

  1. World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08)
  2. International Monetary Fund (IMF) | Public Finances in Modern History (1901–1997, retrieved 2026-07-08)
  3. International Monetary Fund (IMF) | Fiscal Monitor (1990–2025, retrieved 2026-07-08)
  4. The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-07-08)
  5. U.S. Census Bureau (1985–2025, retrieved 2026-07-08)
  6. TradeMap (2023–2025, retrieved 2026-07-08)
  7. United Nations | World Population Prospects (2026, retrieved 2026-07-08)
  8. LivingCost (2026, retrieved 2026-07-08)

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The current account balance is the sum of net trade in goods and services, net earnings from cross-border investments, and net transfer payments. It reflects a country's economic transactions with the rest of the world and is a fundamental component of the balance of payments. A surplus indicates that a country exports more than it imports, while a deficit shows the opposite.

Gross National Income (GNI) measures a country's total income. It encompasses income earned by residents, businesses, and foreign sources, defined as employee compensation and investment profits. GNI adds product taxes not included elsewhere and subtracts subsidies. It accounts for income from residents working abroad but excludes earnings from foreigners within the country.

A negative value for Net Foreign Direct Investment indicates a country is a net receiver of investments, as foreign inflows exceed outflows after Balance of Payments adjustments. A positive value indicates a net provider, with outflows exceeding inflows. Inflows are credits (increasing foreign claims on domestic assets), while outflows are debits (increasing domestic assets abroad).

Foreign direct investment (FDI, net inflows) shows how much capital foreign investors bring into a country after accounting for any funds that flow back in the opposite direction. It represents the net value of overseas companies establishing, expanding, or financing businesses in the reporting country. A positive number means more capital entered the country than was withdrawn, while a negative number means foreign investors pulled out more than they invested.

Foreign direct investment (FDI, net outflows) shows how much capital residents of a country invest abroad after accounting for any funds that flow back in the opposite direction. It represents the net value of domestic companies establishing, expanding, or financing businesses in other countries. A positive number means more capital was invested abroad than withdrawn, while a negative number means residents pulled back more than they invested.

Principal and interest payments to the IMF in currency, goods, or services on long-term debt expressed as a share of GNI.

Formerly gross domestic investment, gross capital formation measures the share of a country’s economic output invested in fixed assets, including buildings, machinery, and infrastructure. It indicates how much of the economy is devoted to building productive capacity.