Tina Highfill - BEA: The Impact of Space Commerce on the U.S. GDP

The U.S. Department of Commerce Bureau of Economic Analysis recently released its most recent statistics concerning the impact of Space Commerce on the country's GDP for the years 2017-2022. The findings show the space economy accounted for $131.8 billion, or 0.5 percent, of total U.S. GDP in 2022.

On this edition of The Ex Terra Podcast, Tom Patton talks to Dr. Tina Highfill, the lead economist working to develop these statistics for the BEA.

"What we see is, for the first time, this fast growth is being caused by an increase in spending from national defense ... so U.S. Space Force ... but also private R&D. Space Force does mostly R&D at this point, so a lot of R&D both in the private and government sectors is driving growth in the space economy," Highfill said.

The estimates developed by BEA give business leaders, policymakers, and the public a new tool to analyze the space economy and to inform investment decisions.

For the first time, this release of the space economy statistics is presented in the same format as BEA's official industry statistics. This means the industry detail is expanded from just over 30 industries to 75 industries, providing even more information about the industrial composition of the U.S. space economy and its changes over time. Additionally, two new datasets are provided that show price indexes for value added (also known as GDP) and gross output, also published with the same 75-industry detail. Lastly, this report focuses on GDP and chained growth rates, further aligning with BEA's official statistical releases.