Methodology
How we calculate the Real GDP score, where the data comes from, and how to verify it yourself.
Formula
rGDP = (Physical + Human + Natural + Institutions + Technology) / 5
Each dimension is normalized 0-100. Equal weights. The raw data is public — you can verify every number.
The 5 Dimensions
Physical Capital
Infrastructure, machinery, buildings, transport networks, energy grids, telecoms. Everything humans have built that enables production.
Data sources (direct links to datasets):
Human Capital
Education, health, skills, experience. The productive capacity of people. The single largest component of national wealth in advanced economies (~70%).
Data sources (direct links to datasets):
Natural Capital
Arable land, forests, mineral reserves, water, biodiversity, ecosystem services. Both renewable and non-renewable. The asset most distorted by GDP accounting.
Data sources (direct links to datasets):
Institutional Capital
Rule of law, government effectiveness, corruption control, regulatory quality, political stability, accountability. The rules of the game and how well they're enforced.
Data sources (direct links to datasets):
Technology & Innovation
R&D expenditure, patents, scientific output, total factor productivity. The "Solow residual" — the growth that can't be explained by more labor or more capital.
Data sources (direct links to datasets):
How we compute the scores
For each dimension, we collect multiple indicators from the sources above. Each indicator is min-max normalized to a 0-100 scale using the global min and max across all countries. The dimension score is a weighted average of its normalized indicators.
For example, the Physical Capital score combines: Gross Fixed Capital Formation (40%), Logistics Performance Index (30%), broadband penetration (15%), and electricity access (15%). Countries with missing data for an indicator are scored using the remaining indicators with re-normalized weights.
The final rGDP is the simple (unweighted) average of the 5 dimension scores.
Limitations
This is an approximation, not gospel. Honest caveats:
Equal weights are a choice. Weighting all 5 dimensions equally is simple and transparent, but it's a political decision. You might argue institutions matter more than natural capital, or vice versa.
Each score compresses complexity. "Institutions: 58" for Italy hides enormous variation between Northern and Southern regions, between different aspects of governance.
Data availability varies. Some countries have better statistical infrastructure than others. Low-income countries may have less reliable data.
We publish the data. Download the JSON, change the weights, build your own ranking. That's the point.
GDP per capita (PPP)
We use GDP per capita in PPP (Purchasing Power Parity) rather than nominal GDP. PPP adjusts for the cost of living: $1 buys a lot more in Vietnam than in Switzerland. This gives a much fairer comparison of actual living standards.
Source: World Bank — GDP per capita, PPP (current international $)