The term “top 1%” has captured the American imagination since Occupy Wall Street exploded in 2011, and it’s become an important symbol of wealth and power. However, it’s a murky concept that often confuses people.
What is the Top 1% World Income?
The top 1% is a group that covers a wide range of people, from prosperous professionals to billionaires with more wealth than many nations. The amount you need to make to be in the top 1% varies greatly depending on where you live. Here’s what you need to know about the top 1%.
1. The world’s top 1% makes more than nine times the median household income in America (median income is $67,500 in 2020).
2. The wages of the top 1% have increased by 160.3% in the past 35 years, while the bottom 90% have seen wages increase by 28.2%, according to the Economic Policy Institute Wealthy Fools.
3. The rise in wealth among the top 1% has prompted a boom in luxury spending, especially in China.
4. The top 1%’s rising wealth has also fueled a surge in real estate prices, which have soared around the world as the rich invest their money.
5. The top 1% is benefiting from three trends: global governments pumping trillions of dollars into their economies to prevent a collapse, corporate profits soaring and inflation outpacing wages.
Oxfam said that these three trends have led to a surge in wealth among the richest, and to a surge in poverty. The organization calculated that if a one-time tax on the richest 1% was imposed worldwide, it would raise enough money to help 2 billion people out of poverty.