China 'overtakes U.S. as the the world's largest economy': IMF says economy is now worth £11 trillion as America falls into second place for the first time since 1872

The Daily Mail UK, reports that China is now the largest economy in the world, according to figures from the International Monetary Fund. The top dog position economically has been the US when it overtook Britain in 1872, but has now lost that status as economic indicators suggests.

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The latest IMF figures show the Chinese economy is worth £11trillion compared with £10.8trillion for the US. China – whose wealth has accelerated in recent decades amid rapid industrialisation – is expected to extend its lead, with the IMF estimating its economy will be worth £16.7trillion in 2019.

The numbers are based on ‘purchasing power parity’ (PPP) which makes adjustments for the fact that goods are cheaper in countries such as China relative to the US. But experts have described the toppling of America after nearly 150 years by China – even on the PPP measure – as a ‘symbolic’ moment for the global economy.