https://www.visualcapitalist.com/the-worlds-largest-economies-in-2026-nominal-vs-ppp/
China has the largest economy based on purchasing power parity. Of course, China’s population is roughly 4.1 to 1 compared to the United States. China’s GDP per capita in PPP is about 1/3 of the U.S.
One thing that jumps out is the low cost of living in some countries that brings up their PPP GDP. China’s GDP more than doubles when adjusted for PPP.
Wendy
Those numbers jibe with my calculations. About 30% of the average US family’s monthly budget is lost to “skim, scam and fraud” that doesn’t provide any tangible benefit to them. We’d be a lot wealthier, if we could cut that to China’s level of corruption.
The numbers for Turkey also match my experience. When I did a cruise to Istanbul, Izmir and Marmaris about a decade ago, it seemed like they had a close to US living standard for about 1/3 of US cost.
intercst
This assumes local rents and food costs. This does not assume vacation traveling costs outside of China. This does not assume buying Western or Japanese goods. This does not assume medical costs or retirement costs. This does not assume educational costs.
PPP should ideally be what is left over after a complete life picture is paid for in full. This should be an in excess of having needs met. Excess money to spend. In that China is very poor. The US is poorer than the EU generally.
Economics can do much more than giving the rich a tax break. Or corrupting the system.
The EU and China are making a break for supply side economics. Our only way up in the US is demand side economics. We are wasting time.
All our lives were told demand side economics was a plague. You could not find a bigger lie. Time to get off that train.
