China has now become the richest country in the world, overtaking the super power America. China’s wealth has grown strongly in the past 20 years. Whereas America’s wealth has not seen that much increase. In fact, the latest report by consultancy firm McKinsey & Company says that the world’s wealth has increased 3 times in the last two decades.
China has now become the richest country in the world, overtaking the super power America. China’s wealth has grown strongly in the past 20 years. While the wealth of America did not see that much increase.
In fact, the latest report by consultancy firm McKinsey & Company says that the world’s wealth has increased 3 times in the last two decades. But only China’s share in this increase has been one-third i.e. about 33%. Accordingly, China’s wealth has increased 16 times in almost two decades.
Huge increase in China’s wealth
According to the report, in the year 2000, the total wealth of the world was about $ 156 trillion, which increased to $ 514 trillion in 2020. But only China has a third of it. Consultancy firm McKinsey & Company has prepared this report by examining the balance sheets of the top-10 countries having 60 percent of the world’s income.
China’s economy has grown rapidly in the past 20 years. Year-2000 China became a member of the World Trade Organization (WTO). China’s total wealth at that time was estimated at $ 7 trillion, which has increased to $ 120 trillion in the last 20 years. That is, China’s wealth has increased by $ 113 trillion in 20 years.
America’s wealth doubles in 20 years
America’s wealth has grown very little in comparison to China in the last 20 years. In the year-2020, the total wealth of America has been estimated at $ 90 trillion. American wealth has only doubled in the past 20 years. According to the report, due to not much increase in property prices in America, the property remained less than China, and it lost the first place.
Significantly, America and China are the two largest economies in the world. According to the report, more than two-thirds of the wealth of these two countries is with the richest 10 percent people and their share is increasing continuously. According to McKinsey’s report, 68 percent of the world’s wealth is invested in real estate. The rest are in infrastructure, machinery and equipment, intellectual property and patents.
