Despite the US’s economic success, income inequality remains breathtaking. But this is no glitch – it’s the system
The Chinese did rather well in the age of globalization. In 1990, 943 million people there lived on less than $3 a day measured in 2021 dollars – 83% of the population, according to the World Bank. By 2019, the number was brought down to zero. Unfortunately, the United States was not as successful. More than 4 million Americans – 1.25% of the population – must make ends meet with less than $3 a day, more than three times as many as 35 years ago.
The data is not super consistent with the narrative of the US’s inexorable success. Sure, American productivity has zoomed ahead of that of its European peers. Only a handful of countries manage to produce more stuff per hour of work. And artificial intelligence now promises to put the United States that much further ahead.
This is not to congratulate China for its authoritarian government, for its repression of minorities or for the iron fist it deploys against any form of dissent. But it merits pondering how this undemocratic government could successfully slash its poverty rate when the richest and oldest democracy in the world wouldn’t.
when the richest and oldest democracy in the world wouldn’t.
I like that it uses “wouldn’t” rather than”couldn’t”. So relevant to today’s politics
Excuse me, have you heard of the K shaped economy? It’s the everyday hellscape we now live in, where the rich can’t buy enough, and the poor can’t buy anything. Plane ticket sales down, first & business class have no inventory. Less people than ever can afford a house, and mega mansion sales are booming. We can’t afford groceries, but 5* restaurants have no reservations.
At some point, this shit comes to ahead. My pessimism suggests the rich want to figure out AI / robot security, so they can stop relying on any people at all.
Oh yeah, add in some sycophantic computers telling everyone they are perfect and every solution we have is paradigm breaking or revolutionary. Nothing will go wrong at all.
My pessimism suggests the rich want to figure out AI / robot security, so they can stop relying on any people at all.
Look at the plans to tech-ify Gaza. This is exactly what is planned
I’m not a big Revelation person, but it does seem like we really like to fight over that area. A bunch of billionaires? In one place? Being secured by robots with guns? Nothing can go wrong there either.
Not surprised at all. American has done a fantastic job at propagandizing the populace against China.
Does China have major issues? Yes. Does China care more about its own sucess as a whole? Also yes. America invested in individuals, Chain invested in their people. This is the natural outcome.
But it merits pondering how this undemocratic government could successfully slash its poverty rate when the richest and oldest democracy in the world wouldn’t.
My favorite idea is that the Mainland regime – then under Deng – took their economic development ideas and business customs from Japan – including industrial espionage – and basically modified those for Chinese needs while addressing the problems which led to Japan’s later bubble burst by the late 80s. That local corporations were given first priority, with a lot of incentives, tax breaks, programs to increase productivity and cut away inhibitions, hire young people from the far provinces who are willing to work for less, anything to have the world buy cheap from China. So they treated business like warfare, as essential for national survival and prestige where by 2049 the world must look up to Mainland China, never to be humiliated again.
However, China in its current state has its younger generations in urban areas having to deal with overwork burnout (996工作制 or 996 working hour system for example) and so creating basically its own anti-work culture. That there are godawful displays of wealth by tuhao almost everyday, while most others complain how it’s so expensive to live in, say, Shanghai. I could try to go on, but I put it that it’s still not a happy place as long as there is class conflict.
Different starting points, it used to be 8/10 Chinese living in extreme poverty.
Yeah, that graph scale is absurd for comparison… I get it, they want to highlight the ‘trend’ but the scale of the US graph is nothing but a neglible slice of the boottom of the China graph, it’s just impossible to intelligently compare the ‘trends’ in that manner…
Also skeptical of a claim of 0.0% for anyone. It looks to me that, by the criteria of the graph, china has managed to effectively tie the US on this sort of metric, and the US has roughly held it flat for the last 30 years.
As others point out, this particular metric may not be a good one, and depending on how you slice the other metrics, either China or US technically comes out ahead, but broadly a more comparable standard of living.
China, in large part, raised people out of poverty at the expense of the so-called “west”…so it’s no mystery that the US was unable to do the same. The wests’ corporations needed cheap labour, and China was happy to accept the jobs. We all know this. Trump got elected because he was the first to overtly acknowledge that reality and propose a solution. Now, his “solution” will only exasperate the problem because he’s ultimately a corrupt fascist…but there’s a lesson there that hasn’t been learned yet.
his “solution” will only
exasperateexacerbate the problemMy eyes are so bad I can’t tell which way either of those words is spelled.
So did Taiwan, Eastern Europe and dozens of other countries without sacrificing human rights as much as China. So tired of “they’re evil but hey that’s the only way to not be poor!” bullshit that validates dictators.
Expected better from The Guardian than to use this bait to illustrate US’ shortcomings. The world does not revolve around US and to poke america you don’t need to validate dictators.
Where’s the .ml that usually signifies tankie propaganda?
Right… Those famous tankies, The Guardian.
China is just as inequal according to Gini index
Nope. China is doing better by more than 6 points. Hell, even Russia is doing better. Half of Africa is doing better. US is among the worst counties in the world.
https://worldpopulationreview.com/country-rankings/gini-coefficient-by-country
With the Slavic countries like Ukraine, Slovakia and Slovenia being some of the best.
Having been in Ukraine, Singapore, China and the US, by far the worst standard of living country is Ukraine and it’s not even close.
This data is for inequality of wealth, not living standards.
It takes income inequality into consideration. What’s the point of low inequality when it’s because everyone is poor?
I’ll take Republic of China over the People Republic of China anytime. Free West Taiwan, Tibet, Hong Kong SAR and Manchuria. None of them wanted the CCP and PLA rule.
That’s not true. I mean…I’m sure you’re being hyperbolic, and there’s certainly discontent in a 1 party system…but I have some exposure to ordinary Chinese people as well as regular people in Hong Kong and Taiwan, and the sentiment is mixed, at worse.
