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Where in the world are banks profitable?

World Bank data on ROA for 173 economies

There are many indicators to help us evaluate the U.S. economy, but international data are a little more limited. Which is why FRED is fortunate to have World Bank data to compare economic conditions across countries. Today, we look at how well banks are doing—according to their return on assets—all over the world. Measuring banks’ ROA is relatively simple: Aggregate the net income of all commercial banks in a country and divide this sum by their total assets.

The graph above shows three countries with contrasting fortunes. The most dramatic is Greece, whose banks have been struggling with bad debt. Then there’s Kenya, whose banks are doing surprisingly well, at least under this dimension. Finally, the United States is in the middle, with a noticeable dip during the financial crisis and lower returns since that crisis.

FRED has regional data that you can map using GeoFRED. And that’s exactly what we have in the map below: The world’s most profitable banks (darker colors) tend to be in the Global South, with Moldova, Belarus, and Iceland also doing very well.

How these graphs were created:The original post referenced an interactive map from our now discontinued GeoFRED site. The revised post provides a replacement map from FRED’s new mapping tool. To create FRED maps, go to the data series page in question and look for the green “VIEW MAP” button at the top right of the graph. See this post for instructions to edit a FRED map. Only series with a green map button can be mapped.

Suggested by Christian Zimmermann.

View on FRED, series used in this post: DDEI05GRA156NWDB, DDEI05KEA156NWDB, DDEI05USA156NWDB

Uneven fortunes in U.S. industry

Tracking types of industrial production

This FRED graph shows three very different stories for three different types of goods production in the U.S. The clothing sector dominated the other two for about 60 of the 70 years shown in this sample, only to collapse in the first decade of the millennium and slowly decline thereafter. This shift is a direct consequence of cheaper manufacturing opportunities abroad. The automotive products sector has been steadily increasing its output, except for some hard times during the financial crisis, when car manufacturers were struggling. Occasionally, short dips occurred during strikes in the car industry. Finally, the electronics sector comes out of nowhere in the 1990s to establish itself as a core component of American industry.

How this graph was created: Search for the release table for the Industrial Production index by market and industry group, select the series shown here (or those you’d like to see), and click “Add to Graph.”

Suggested by Christian Zimmermann.

View on FRED, series used in this post: IPB51110S, IPB51121S, IPB51212S

Jealous of the Aleutian commute?

Census data show average U.S. commutes range from 5 to 45 minutes

FRED has all sorts of socioeconomic data beyond the traditional macroeconomic fare, and today we highlight data on commuting time provided by the U.S. Census Bureau. These data are available at the county level, which makes it possible to compare various areas of the country. In the graph above, we can see that commuting times on the coasts (New York and Los Angeles) are longer and have increased more rapidly than the commuting times in St. Louis. This should surprise no one, but we thought we’d highlight a perk for those living in FRED’s hometown.

We can get a bigger (and much less anecdotal) picture by looking at the relevant GeoFRED map below. Non-urban commuting times tend to be shorter, but you’ll have a hard time finding the county with the shortest commuting time: We centered the map on the continental U.S., so you have to work a little to find Aleutians East Borough, Alaska, which has a daily commute of 5.13 minutes, closely followed by its neighboring counties. In the continental U.S., Kent County, Texas, has the shortest commute: 7.7 minutes. The longest is Clay County, West Virginia, which beats the metropolitan areas with a commute of over 45 minutes.

How this graph was created: The original post referenced an interactive map from our now discontinued GeoFRED site. The revised post provides a replacement map from FRED’s new mapping tool. To create FRED maps, go to the data series page in question and look for the green “VIEW MAP” button at the top right of the graph. See this post for instructions to edit a FRED map. Only series with a green map button can be mapped.

Suggested by Christian Zimmermann.

View on FRED, series used in this post: B080ACS006037, B080ACS029510, B080ACS036061


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