China’s middle-class wealth share 10 times that of India!

Discussion in 'China' started by rockdog, Oct 13, 2012.

  1. rockdog

    rockdog Regular Member

    Dec 29, 2010
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    Mid-2012, India’s total net wealth fell by 18%

    According to the Credit Suisse’s third annual global wealth report 2012, the number of millionaires in India is going to increase by a whopping 53% to touch 84,000 by 2017.

    The report also says that India has around 2,37,000 members of the top one percent of global wealth-holders, which sums up to a 0.5% share. However, it adds that between mid-2011 and mid-2012, India’s total net wealth fell by 18%. The study observes that rupee declined by more than 20% during the aforementioned period.

    However, India’s wealth per capita (measured in rupees) has increased slightly, says the study. Nevertheless, the report points out that just 0.3% of the country’s population has a net worth of over $100,000. Given India’s large population, this low figure translates into 2.3 million people.

    Across the emerging markets, India has personal wealth that is more inclination towards property and other real assets, which sums upto 84% of estimated household assets.

    India’s personal debts stand at $162 per adult and the report says that it suffers from a significant under-reporting of household liabilities, which implies that the personal debt figured may have been underestimated.

    While the study states that India will see 53% rise in millionaires seen by 2017, it adds that Brazil will see around 119% rise! On the flip side, high level of poverty exists with 95% of Indians having wealth below $10,000 versus 60% in China, says the study.

    As a matter of concern for the India economy, the firm’s report says that China’s middle class wealth share is 10 times that of India. It explains that India’s middle class global wealth share has been stagnant at 3%

    As the dollar has been steadily appreciating against other global currencies has resulted in aggregate global household wealth falling by 5.2% in dollar terms to $223 trillion from mid-2011 to mid-2012, says the report.

    Total wealth
    India: $3.2 trillion
    Brazil: $3.3 trillion
    US: $62 trillion
    China: $20.2 trillion
    UK: $12 trillion
    Japan: $28 trillion
  3. nimo_cn

    nimo_cn Senior Member Senior Member

    Aug 18, 2009
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    How to define a middle class in China?

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  4. Known_Unknown

    Known_Unknown Devil's Advocate Stars and Ambassadors

    Apr 21, 2009
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    I don't know where they got their data from, but this sentence tells me that they don't know what they are talking about. $100,000 translates into Rs. 50 lakh, and that's hardly a large sum of money. A new, 2 bedroom apartment in a good part of Mumbai costs at least double that. Even 1 bedroom apartments around 550 Sq. ft in 2nd tier cities like Pune cost upwards of Rs. 32 lakh. And that's on the outskirts of the city.

    Just Mumbai has a population of over 16 million people, plus add the other major cities and the figures quoted don't make any sense. The number of people should not be 2.3 million, but more like at least 100 million or so.
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  5. SajeevJino

    SajeevJino Long walk Elite Member

    Feb 21, 2012
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    Inside a Cage
    got a software piracy
  6. Ray

    Ray The Chairman Defence Professionals Moderator

    Apr 17, 2009
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    Actually, that is the interesting part of the whole issue.

    Even in India, 'middle class' is classified to suit one's own point of view or what agenda one wishes to pursue.

    Then the statistics can always be worked around it.

    I feel that statistics models do not have non variable parameters. Nor does it cater for abstract issues since no mathematical model can be made for one's 'feelings'.

    But they help to get a general idea.

    Most Indians are not rich in the way 'rich' signifies. They can about life as best they can and most are not terribly unhappy at their state, even though they always strive to better themselves in creature comforts.

    But then, that is life!

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