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Charted: Income Distributions in 16 Different Countries

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Charting Income Distributions in 16 Different Countries

Throughout the 19th century, roughly 80% of the global population lived in what we’d now consider extreme poverty.

And as earnings and living conditions have improved dramatically since then, they haven’t done so evenly across the world. There are still vast income gaps, both between different countries and within them.

To highlight these global income discrepancies, this chart by Ruben Berge Mathisen shows income distributions around the world, using 2021 income data from the World Inequality Database (WID) on a per adult basis.

Global Income Distributions

This graphic shows the adult income distributions of 16 different countries in U.S. dollars, along with the world average.

On a global scale, adults making an annual income greater than $124,720 make it into the 99th percentile, meaning they make more than 99% of the worldwide population.

However, things change when you zoom in on specific countries. Here’s a look at all the countries on the list, and how much annual income is needed (at minimum) to be in the top 1%:

RegionCountryAdult income (2021, 99th percentile)
North America🇺🇸 United States$336,953.19
North America🇨🇦 Canada$193,035.55
North America🇲🇽 Mexico$130,388.19
South America🇧🇷 Brazil$115,257.86
South America🇨🇴 Colombia$97,500.37
South America🇦🇷 Argentina$94,794.89
Asia🇨🇳 China$99,095.34
Asia🇮🇳 India$65,370.51
Asia🇮🇩 Indonesia$85,176.35
Europe🇷🇺 Russia$124,805.86
Europe🇩🇪 Germany$212,106.53
Europe🇬🇧 United Kingdom$162,547.56
Africa🇳🇬 Nigeria$53,144.36
Africa🇪🇹 Ethiopia$24,295.66
Africa🇪🇬 Egypt$115,546.44
Oceania🇦🇺 Australia$164,773.40
🌎 World$124,719.60

People in America’s top 1% make at least $336,953 in annual pre-tax income. That’s more than $100,000 above the 1% of next closest countries, Germany ($212,107) and Canada ($193,036).

On the flip side, adults in Ethiopia only need to make $24,297 to fall into the country’s 99th percentile. Ethiopia is one of the poorest nations in the world—according to estimates by the World Bank, about 27% of Ethiopia’s population is thought to be currently living under the poverty line.

Income Gaps Within Countries

It is also noticeable how much income varies within each country.

One example is Colombia, which has one of the largest wealth gaps of any country on the list. The 99th percentile in Colombia is making an annual income that’s 192x higher than its 10th percentile. In contrast, an income in the 99th percentile in the United States is 83x higher than the 10th percentile.

Colombia’s high level of income inequality stems from early childhood disadvantages, such as lack of access to education, which can limit opportunities later on in life.

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This article was published as a part of Visual Capitalist's Creator Program, which features data-driven visuals from some of our favorite Creators around the world.

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GDP

Visualizing U.S. GDP by Industry in 2023

Services-producing industries account for the majority of U.S. GDP in 2023, followed by other private industries and the government.

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Visualizing U.S. GDP by Industry

The U.S. economy is like a giant machine driven by many different industries, each one akin to an essential cog that moves the whole.

Understanding the breakdown of national gross domestic product (GDP) by industry shows where commercial activity is bustling and how diverse the economy truly is.

The above infographic uses data from the Bureau of Economic Analysis to visualize a breakdown of U.S. GDP by industry in 2023. To show this, we use value added by industry, which reflects the difference between gross output and the cost of intermediate inputs.

The Top 10 U.S. Industries by GDP

As of Q1 2023, the annualized GDP of the U.S. sits at $26.5 trillion.

Of this, 88% or $23.5 trillion comes from private industries. The remaining $3 trillion is government spending at the federal, state, and local levels.

Here’s a look at the largest private industries by economic contribution in the United States:

IndustryAnnualized Nominal GDP
(as of Q1 2023)
% of U.S. GDP
Professional and business services$3.5T13%
Real estate, rental, and leasing$3.3T12%
Manufacturing$2.9T11%
Educational services, health care, and social assistance$2.3T9%
Finance and insurance$2.0T8%
Wholesale trade$1.7T6%
Retail trade$1.5T6%
Information$1.5T6%
Arts, entertainment, recreation, accommodation, and food services$1.2T4%
Construction$1.1T4%
Other private industries$2.6T10%
Total$23.5T88%

Like most other developed nations, the U.S. economy is largely based on services.

Service-based industries, including professional and business services, real estate, finance, and health care, make up the bulk (70%) of U.S. GDP. In comparison, goods-producing industries like agriculture, manufacturing, mining, and construction play a smaller role.

Professional and business services is the largest industry with $3.5 trillion in value added. It comprises establishments providing legal, consulting, design, administration, and other services. This is followed by real estate at $3.3 trillion, which has consistently been an integral part of the economy.

Due to outsourcing and other factors, the manufacturing industry’s share of GDP has been declining for decades, but it still remains a significant part of the economy. Manufacturing of durable goods (metals, machines, computers) accounts for $1.6 trillion in value added, alongside nondurable goods (food, petroleum, chemicals) at $1.3 trillion.

The Government’s Contribution to GDP

Just like private industries, the government’s value added to GDP consists of compensation of employees, taxes collected (less subsidies), and gross operating surplus.

GovernmentAnnualized Nominal GDP
(as of Q1 2023)
% of U.S. GDP
State and Local$2.1T8%
Federal$0.9T4%
Total$3.1T12%

Figures may not add up to the total due to rounding.

State and local government spending, largely focused on the education and public welfare sectors, accounts for the bulk of value added. The Federal contribution to GDP amounts to roughly $948 billion, with 52% of it attributed to national defense.

The Fastest Growing Industries (2022–2032P)

In the next 10 years, services-producing industries are projected to see the fastest growth in output.

The table below shows the five fastest-growing industries in the U.S. from 2022–2032 in terms of total output, based on data from the Bureau of Labor Statistics:

IndustrySectorCompound Annual Rate of Output Growth (2022–2032P)
Software publishersInformation5.2%
Computing infrastructure providers, data processing, and related servicesInformation3.9%
Wireless telecommunications carriers (except satellite)Information3.6%
Home health care servicesHealth care and social assistance3.6%
Oil and gas extractionMining3.5%

Three of the fastest-growing industries are in the information sector, underscoring the growing role of technology and digital infrastructure. Meanwhile, the projected growth of the oil and gas extraction industry highlights the enduring demand for traditional energy sources, despite the energy transition.

Overall, the development of these industries suggests that the U.S. will continue its shift toward a services-oriented economy. But today, it’s also worth noticing how services- and goods-producing industries are increasingly tied together. For example, it’s now common for tech companies to produce devices, and for manufacturers to use software in their operations.

Therefore, the oncoming tide of growth in service-based industries could potentially lift other interconnected sectors of the diverse U.S. economy.

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