Data Insights

Bite-sized insights on how the world is changing, published every few days.

Economic Inequality

Global inequality is the result of two centuries of uneven economic growth

A line graph depicting GDP per capita from 1820 to 2022, with the vertical axis representing GDP in international dollars and the horizontal axis showing the years. Multiple colored lines represent different regions: 

- A purple line for "Western offshoots" (United States, Canada, Australia, and New Zealand), showing the highest GDP per capita, peaking just above $60,000 in 2022.
- A dark blue line for "Western Europe," also showing significant growth and stabilizing around $50,000.
- A light blue line for "East Asia," indicating gradual growth.
- An orange line for "Eastern Europe," displaying a more moderate increase.
- A green line for the "Middle East and North Africa," showing slow growth throughout the years.
- A brown line for the "World" that climbs steadily.
- An olive line for "Latin America," with modest growth.
- A purple line for "South and Southeast Asia," showing the lowest GDP per capita.
- A teal line representing "Sub Saharan Africa," showing minimal gains.

Additional information indicates the data is sourced from Bolt and van Zanden's Maddison Project Database, with a note that it is expressed in international dollars based on 2011 prices. The graph is attributed to "Our World in Data" and is labeled with a Creative Commons license (CC BY).

For most of history, almost everyone everywhere was very poor. Hunger was common, half of the children died, and, as the chart shows, average incomes were low across all regions.

The chart also shows how people’s incomes have changed over the last two centuries. The chart highlights a stark divergence: while average incomes in every region have increased, the pace of this growth has varied enormously. Western Europe and the “Western Offshoots” (like the US and Australia) experienced early and sustained economic growth. Meanwhile, Sub-Saharan Africa and South Asia grew much more slowly.

Two hundred years ago, people in all regions were similarly poor. Today, the average incomes of people in Australia, the US, or Denmark are more than 15 times higher than those in Sub-Saharan Africa.

I wrote an article on how economic growth is possible and why it is important: “What is economic growth?” →

Recent surges in house prices have affected many — but not all — countries in the European Union

A chart titled "There is no universal trend in housing prices in European countries" presents price changes of residential properties purchased by households in the 12 most populous European Union countries. It displays a grid layout. 

In the top row from left to right: 
- Portugal shows a steep increase of +50% from 2010 to 2023.
- Czechia indicates a +44% rise.
- Sweden reflects a +36% increase.

In the second row:
- Germany has a +33% change.
- Netherlands exhibits a +17% increase.
- Poland shows a +11% rise.

In the third row: 
- Belgium and France both have a modest increase of +6%.
- Greece shows a decrease of -9%.

In the fourth row: 
- Spain indicates a decline of -13%.
- Romania has a notable decrease of -27%.
- Italy shows a -28% drop.

The chart indicates that data has been adjusted for inflation and cites Eurostat as the data source for 2025. A note at the bottom reminds viewers about the inflation adjustment.

One of the most pressing problems I hear from European friends is that they cannot find an affordable place to live. Housing costs represent one of the largest expenses for most Europeans. While many people rent, purchasing a home remains a goal for some.

The chart shows the change in house prices of residential properties purchased by households in 12 countries across the European Union since 2010. In many, prices have increased sharply (even after inflation). Portugal shows the most dramatic increase, with prices rising by 50%.

But this large increase has not happened everywhere. Rises have been more modest in France and Belgium, and prices have actually fallen considerably in Romania and Italy.

These huge differences matter to young Europeans hoping to find their first home after leaving their family house.

Many Europeans say their nations are on the wrong track with housing

A horizontal bar chart titled "Europeans are pessimistic on housing" shows the survey responses from people in various European countries to the question: "In general, do you think that your country is on the right track or the wrong track when it comes to housing?".

Each bar represents the percentage of responses categorized as: "Wrong Track", "Don't Know", and "Right Track" . 

Countries listed from top to bottom include: Netherlands, Spain, Hungary, Germany, Turkey, Great Britain, France, Ireland, Italy, Belgium, Sweden, and Poland. The chart reveals a dominant trend of pessimism, with many countries showing a higher percentage in the "Wrong Track" category. 

The data source is Ipsos (2025)

The Ipsos Housing Monitor 2025 surveyed people across 30 countries, asking: “In general, do you think that your country is on the right track or the wrong track when it comes to housing?”.

The chart shows results for European countries, where housing prices dipped after the 2008 global financial crisis, before starting to rise again around 2013, with particularly large increases since 2015.

The Netherlands and Spain stand out, with nearly 80% believing their country is on the wrong track.

People in Poland and Sweden are less concerned than in other countries. But even in these nations, the majority feels like their country is on the wrong track.

Explore more data on optimism and pessimism about the future

How far apart are the incomes of the rich and poor in different countries?

This chart, titled "How far apart are the incomes of the rich and poor in different countries?" compares the monthly after-tax income of individuals in the richest 10% and the poorest 10% across various countries. The income disparities are represented visually with vertical lines and circles for each country, showing the ratio between the two groups. For instance, in South Africa (2017), the richest 10% earn 22 times more than the poorest 10%, while in Norway (2021), the richest 10% earn only 3.1 times more. Other countries included are Brazil (2022), China (2018), Uruguay (2022), the UK (2021), and the US (2022), with the disparity ranging from 3.1x in Norway to 22x in South Africa. All incomes are measured in international dollars at 2017 prices to account for differences in the cost of living. Data source: Luxembourg Income Study (2024).

The chart shows how incomes are spread in several countries in different world regions. The data comes from the excellent Luxembourg Income Study.

Blue points show the monthly after-tax income of someone who falls just inside the richest 10% of their country's population. Red points show the income of someone who falls just inside the poorest 10%. To allow for comparisons, all incomes are shown in international dollars, which account for differences in cost of living across countries.

The ratio between these two numbers gives us a measure of inequality known as the “P90/P10 ratio”.

In Norway, a country with very low inequality, this ratio is around 3. A person just inside the richest 10% has a monthly income of $5,490 — a little more than 3 times the $1,760 earned by someone just inside the poorest 10%.

In the United States, inequality is much higher, and the ratio is twice as large — around 6. The chart shows that the richest 10% are much richer than those in Norway, with incomes above $7,440. But, the poorest are also poorer, with incomes of less than $1,240.

In many countries, the ratio is between 4 and 6. But in the most unequal countries, it is much higher. In South Africa, the ratio is 22. Those in the bottom decile are among the poorest people in the world, living on less than $110 per month. In contrast, the richest 10% earn $2,490 or above — higher than the incomes of half the UK population and nearly a third of the US population.

Explore incomes across the distribution for other countries in our dedicated Data Explorer →

How much of national income goes to the richest 1%?

A world map showing the income share of the top 1% before taxes and benefits in 2022. The map is color-coded from light yellow to dark red, representing different levels of income share: light yellow (0-5%), light orange (5-10%), orange (10-15%), dark orange (15-20%), light red (20-25%), and dark red (25%). Countries with no data are marked with hatched lines. Notable regions with high income shares among the top 1% include parts of South America, southern Africa, and some regions in Asia. The data source is the World Inequality Database (WID.world) 2024, and the map is produced by Our World in Data.

Globally, there are large differences in the estimated share of income received by the richest 1% of the population. In Norway and Slovakia, it’s 7%; 27% in Mexico, and 31% in Mozambique and the Central African Republic.

You might expect these numbers to be strongly correlated to a country's level of economic development. But this isn't always the case. In the United States, for example, 1% of its population takes home 21% of national income. This is relatively high globally.

The data comes from the World Inequality Database, and we just updated our charts with their latest data. The data above is based on income before taxes and benefits, but after-tax incomes show a broadly similar inequality map.

Explore this data