For the first time in human history the majority of the world’s population earn a middle class income and are well cared for and healthy. That’s right, for the first time ever a majority are not poor, starving, and struggling! And you can thank America for it.
A new global study has emerged to show this momentous change. According to the British Daily Mail, the study finds that the majority of the world’s population are not subject to the ravages of starvation or suffering from chronic need and that those earning a middle class income make up the largest block of the world’s peoples. Of an estimated 3.8 billion human beings, the majority can be classified as comfortable or even rich.
“A majority – nearly 3.6 billion – of those are strictly middle class, defined as households that spend $11-110 per person per day, and the number is growing,” the paper says, adding, “The middle class are on track to reach 5.3 billion people worldwide by 2030.”
For the first time in human history, just about half the world’s population is considered poor or vulnerable to poverty – and the middle class now accounts for the globe’s largest economic group, according to a new report.
As of September 2018, an estimated 3.8 billion people now live in households that qualify as middle class or rich, according to an analysis by the Brookings Institute.
Researchers say it’s a significant tipping point for humanity, marking the first time ever the poor and those on the verge of poverty are no longer a global majority.
‘This is the period of the most rapid expansion of the global middle class that we have ever seen and that we will ever see,’ said Homi Kharas, a co-author of the report for Brookings in an interview with Dailymail.com.
Even the people of Asia — where people have generally been least able to care for themselves — are more well off than ever in human history.
While global development efforts focus on elevating the world’s poorest, just one person is lifted out of extreme poverty every second, while five people enter the middle class every second, according to Brookings.
This is important because the middle class is the engine that drives demand in the global economy – and governments listen when the middle class makes demands.
In addition, private households account for roughly half of the global economic demand and two-thirds of that comes from the middle class. By comparison, the rich spend more per person but make up such a small proportion of the population that they can’t move the economic needle the way the teeming middle class can.
Ultimately, a growing middle class means a stronger global economy and a larger population to be targeted by businesses around the world.
“Experts at Brookings calculated the shift across 188 countries using a definition of extreme poverty as households that must spend less than $1.90 per person per day, and a measure of the middle class as households that spend $11-110 per person per day, The Mail reported on Monday.
So, why has this happened? No less than because the world is being led by America’s example. For over 200 years, now, the United States has been bringing its riches to every corner of the world by showing the world how to do business. In fact, far more than merely bringing business to the world, the U.S. has also exported its superior ethics and form of democracy.
Our founders had it exactly right. America has led the way and is the light of the world.
None of this would be happening without America. No doubt about it.
Follow Warner Todd Huston on Twitter @warnerthuston.