China is now the richest country in the world, overtakes US

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• Nov 17, 2021 | moderator

Beijing: The dragon has taken over the eagle to be the next financial hub, claiming the top spot worldwide as global wealth tripled over the last two decades. China reached claimed the top global ranking as its wealth quadrupled in the last few decades, surpassing United States.

A report by McKinsey & Co. examines the national balance sheets of ten countries representing more than 60 per cent of the world’s income. China accounted for almost one-third of gains in global net worth over the past two decades, Bloomberg reported.

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“We are now wealthier than we have ever been,” Jan Mischke, a partner at the McKinsey Global Institute in Zurich, said in an interview.

Net worth worldwide rose to $514 trillion in 2020, from $156 trillion in 2000, according to the study. China accounted for almost one-third of the increase. Its wealth skyrocketed to $120 trillion from a mere $7 trillion in 2000, the year before it joined the World Trade Organization, speeding its economic ascent, the report said.

The U.S., meanwhile, has experienced muted increases in property prices, but nearly doubled its net worth over the same period, to $90 trillion. China and the U.S. are the largest economies in the world, but the lion’s share of the world’s wealth is held by the richest 10% of households. And they’re only getting richer, according to the report.

These are interesting times specifically because the richest people in the world are getting far richer than any have before, with the poorest beginning to suffer more in leading countries in ways not seen for at least half a century.