New World Bank country classifications by income level: 2020-2021 (2023)

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New World Bank country classifications by income level: 2020-2021? ›

The World Bank Group assigns the world's economies[1] to four income groups – low, lower-middle, upper-middle, and high. The classifications are updated each year on July 1, based on the GNI per capita of the previous calendar year.

The World Bank Group assigns the world's economies[1] to four income groups – low, lower-middle, upper-middle, and high. The classifications are updated each year on July 1, based on the GNI per capita of the previous calendar year.

Economies are currently divided into four income groupings: low, lower-middle, upper-middle, and high. Income is measured using gross national income (GNI) per capita, in U.S. dollars, converted from local currency using the World Bank Atlas method.

The World Bank classifies economies for analytical purposes into four income groups: low, lower-middle, upper-middle, and high income.

“Middle-income countries face a set of global challenges that require joint action” 11 May 2023 - Around the world, 107 nations rank as middle-income countries. They generate a per capita income from about $1,000 to more than $12,000 per year and together, they are home to three quarters of the world population.

Country classifications

For analytical purposes, the WESP classifies all countries of the world into one of three broad categories: developed economies, economies in transition and developing economies.

The measurement of income distribution is calculated by dividing the 'Gross Domestic Product (GDP)' by the nation's population, with the GDP being a measure of the market value for all goods and services produced. This measure is commonly used to get an estimate of the economic performance of the nation as a whole.

Is USA a high income country? ›

For example, the United States has a GNI per capita of over $70,000, while the GNI per capita in some low income countries is less than $1,000. High income countries also tend to have much higher levels of human development than other countries.

Many have graduate degrees with educational attainment serving as the main distinguishing feature of this class. Household incomes commonly exceed $100,000, with some smaller one-income earners household having incomes in the high 5-figure range.

The world's Middle Income Countries (MICs) are a diverse group by size, population, and income level. They are defined as lower middle-income economies - those with a GNI per capita between $1,036 and $4,045; and upper middle-income economies - those with a GNI per capita between $4,046 and $12,535 (2021).

For the current 2024 fiscal year, low-income economies are defined as those with a GNI per capita, calculated using the World Bank Atlas method, of $1,135 or less in 2022; lower middle-income economies are those with a GNI per capita between $1,136 and $4,465; upper middle-income economies are those with a GNI per ...

United States of America. The United States of America is a notable case of a high-income country that has life expectancy lower than would be expected given its high gross domestic product (− 2.87 years).

Based on that figure, an annual income of $500,000 or more would make you rich. The Economic Policy Institute uses a different baseline to determine who constitutes the top 1% and the top 5%. For 2021, you're in the top 1% if you earn $819,324 or more each year. The top 5% of income earners make $335,891 per year.

The Pew Research Center defines the middle class as households that earn between two-thirds and double the median U.S. household income, which was $65,000 in 2021, according to the U.S. Census Bureau.21 Using Pew's yardstick, middle income is made up of people who make between $43,350 and $130,000.7 This is a ...

The term upper class is a socioeconomic term used to describe those who reside on the highest levels of the social ladder above the middle and working or lower classes. They generally have the highest status in society and hold a great deal of wealth.

What is lower upper class? ›

This class divides into two groups: lower‐upper and upper‐upper. The lower‐upper class includes those with “new money,” or money made from investments, business ventures, and so forth. The upper‐upper class includes those aristocratic and “high‐society” families with “old money” who have been rich for generations.

A high-income economy is defined by the World Bank as a country with a gross national income per capita of US$13,845 or more in 2022, calculated using the Atlas method. While the term "high-income" is often used interchangeably with "First World" and "developed country," the technical definitions of these terms differ.

The main criterion used by the World Bank in Classifying Different Countries is based on their per capita income. Per capita income refers to the average income of the country.

Examples of first world countries include the United States, Canada, Australia, New Zealand, and Japan. Several Western European nations qualify as well, especially Great Britain, France, Germany, Switzerland, and the Scandinavian countries. The ways that first world countries are defined can vary.

It's called GDP, or 'gross domestic product' - the total value of everything a country produces and sells.

According to McKinsey & Co, the top richest countries in the world are—China, the United States, Germany, France, the United Kingdom, Canada, Australia, Japan, Mexico, and Sweden.

United States (Ranked 19th) :: Legatum Prosperity Index 2023.

Is America richer than Europe? ›

By almost any economic statistic we can find, Americans tend to enjoy higher material standards of living than their European counterparts. But when it comes to quality-of-life measures that aren't included in GDP, Europe tends to come out ahead.

If you had an income of $200,000, that would put you in the top 10% of household incomes or the top 5% of individual incomes in 2021. Though I prefer household income over individual income, no matter how you cut it, $200k a year puts you on the higher end of the income spectrum.

Across the entire country, that range is between $47,189 and $141,568, based on Census Bureau income data. But $150,000 is still a middle-class income by Pew's definition in nearly half of the country's 50 most-populated metropolitan areas, where incomes tend to be high.

To feel wealthy, Americans say you need a net worth of at least $2.2 million on average, according to financial services company Charles Schwab's annual Modern Wealth Survey.

However, the median (also called "typical") income is $40,000, which is fairly accurate for everyone but Jordan. World Bank tracks a number of income- and poverty-related metrics, including GDP per capita, GNI per capita, GINI coefficient per country, and median income.

Mexico is an upper middle income country focused on manufacturing goods and free trade agreements with around 40-50 countries. It has 2.458 trillion dollars in GDP (purchasing power parity) making it the 15th largest economy in the world. It is a member of the OECD, NAFTA, APEC, WTO, and the G20.

China is now an upper-middle-income country. Although China has eradicated extreme poverty, a significant number of people remain vulnerable, with incomes below a threshold more typically used to define poverty in upper-middle income countries.

Lower-middle-income countries are those with GNI per capita between $1,085 and $4,255, representing a diverse set with wide variation in size, population, GDP, sociopolitical landscape, and health needs.

GDP per capita also allows us to rank countries into high-, middle-, or low-income groups. Low-income countries are those with $1,025 per capita GDP per year; middle-income countries have a per capita GDP between $1,025 and $12,475; while high-income countries have over $12,475 per year per capita income.

In 2023, the federal poverty level definition of low income for a single-person household is $14,580 annually. Each additional person in the household adds $5,140 to the total. For example, the poverty guideline is $30,000 per year for a family of four.

What income level is considered poor in America? ›

Mississippi tops the list as the poorest state in the US, with an alarming poverty rate of 18.70%. Despite its rich history and cultural heritage, the state faces numerous economic challenges, including limited job opportunities, low wages, and a high percentage of residents living below the poverty line.

Country classifications

For analytical purposes, the WESP classifies all countries of the world into one of three broad categories: developed economies, economies in transition and developing economies.

The World Bank is like a cooperative, made up of 189 member countries. These member countries, or shareholders, are represented by a Board of Governors, who are the ultimate policymakers at the World Bank. Generally, the governors are member countries' ministers of finance or ministers of development.

The term "World Bank" generally refers to just the IBRD and IDA, whereas the term "World Bank Group" or "WBG" is used to refer to all five institutions collectively.

The most common ethnicity at World Bank is White (42%). 18% of World Bank employees are Asian. 17% of World Bank employees are Black or African American.

The five United Nations member states that are not members of the World Bank are Andorra, Cuba, Liechtenstein, Monaco, and North Korea.

The World Bank assigns the world's economies to four income groups—low, lower-middle, upper-middle, and high income.

What is World Bank Class 10? ›

The World Bank is an international financial institution that was established in 1944 at the Bretton Woods Conference. The following are some of the main objectives behind the setting up of the World Bank: (a) To facilitate the task of reconstruction of the war-affected European countries.

With $5.5 trillion in assets, Industrial and Commercial Bank of China Limited is the largest bank in the world, as measured by total assets.

The World Bank classifies economies of countries as low income, middle income (subdivided into lower, middle, and upper middle), or high income. The main criterion for classifying economies is the gross national income (GNI) per capita.

Countries have been organized by region, income level, and Human Development Index ranking. Regions: Geographic classification includes eight main regions: Africa, East Asia and Pacific, Europe, Central Asia, Latin America and Caribbean, Middle East and North Africa, Northern America and South Asia.

First world nations are those described as highly-developed industrialized, technologically-advanced, educated, and wealthy. In contrast to developing (second world) and less-developed (third world) countries, the first world is seen to enjoy many benefits such as a relatively high quality of life and prosperity.

The organizations that make up the World Bank Group are owned by the governments of member nations, which have the ultimate decision-making power within the organizations on all matters, including policy, financial or membership issues.

The World Bank Group works with developing countries to reduce poverty and increase shared prosperity, while the International Monetary Fund serves to stabilize the international monetary system and acts as a monitor of the world's currencies.

World Bank assistance is generally long-term and is funded by member country contributions and by issuing bonds.