Question

Which nations are the richest and which are growing the fastest? What are the conditions that lead to higher incomes and faster-growing incomes?

Answer 1

The U.S. has an ultra-high net worth individual (UHNWI) population of about 80,000, more than the combined total of the next five countries-Japan, China , Germany, Canada and France. A UNHWI is defined as a person worth $30 million or more and the United States is home to 31 percent of the world 's population. Despite being the leading country for the super-rich of the world, when it comes to UHNWI population growth, the USA lags behind other nations.

Steady economic development across Asia has resulted in a burgeoning population of wealthy individuals, especially in China, where the number of UHNWIs rose 19 percent between 2016 and 2017-twice the growth rate in North America. However, over the past five years, another and unlikely Asian country has led the world in the growth of the super rich population. Bangladesh saw its ultra-rich club grow by 17.3 per cent between 2012 and 2017. In China, growth was 13.4 percent over the same period, while in Vietnam it was 12.7 percent. Kenya and India recorded double-digit growth of 11.7 per cent and 10.7 per cent respectively among the other nations.

A country's Gross Domestic Product ( GDP) is the cumulative value of all the final goods and services generated over a period of time within one country. Hence an increase in GDP is an increase in the production of a country. Growth is not in solitary confinement. Events in one country and area will significantly impact growth prospects in another. For example, if there is a ban on outsourcing work in the United States, this could have a huge effect on India's GDP, which is dependent on outsourcing for a robust IT sector.

Discovering more natural resources such as oil, or mineral reserves will boost economic growth as this changes or increases the Production Possibility Curve in the region. Other resources include natural gas, land , water, forests and. In realistic terms, increasing the number of natural resources in a country is difficult, if not impossible. Countries must take care not to deplete the supply and demand for scarce natural resources. Improved land management can improve terrestrial quality and contribute to economic growth.

Increased investment in physical capital, such as factories , machinery, and roads, will reduce the cost of business. Better machinery and factories are more productive than physical labour. This higher productivity could improve production. Having a comprehensive highway network, for example, will minimize inefficiencies in moving raw materials or goods around the country, which can increase its GDP.

Another factor affecting the technology is its development. With the same rates of labor the technology could increase productivity, thereby increasing growth and development. This increment means that at lower costs factories can be more productive. Technology is most likely to lead to long-term, sustained growth.

A growing population means an increase in worker or employee availability, which means higher work force. One downside of having a large population is that it can cause high unemployment.