7 Countries With Worse Income Inequality Than the United States | Business Markets and Stocks News

Image source: Getty Images.

Since the Great Recession, the lopsided distribution of wealth in the United States has been a major concern for everyday Americans, whose wages are stagnating as the rich claim an ever-larger piece of the pie. In fact, the richest of the rich — the so-called “one-percenters” who gained such notoriety during the “Occupy Wall Street” protests — now receive about 20% of all pre-tax income in the U.S. There’s a common narrative that Donald Trump won the presidential election largely because he promised to level the playing field for the working class.

A reader of today’s headlines could be forgiven for thinking that America has the worst income inequality in the world. But the reality is far different.

According to the CIA’s World Factbook, the United States comes in 43rd place as measured by something called the Gini coefficient. Fellow Fool Anna Wroblewska wrote a great piece on the metric back in 2014. Here’s a key takeaway:

It measures the distribution of income in a population on a scale of 0 to [100] — 0 being perfectly equal distribution and [100] being perfectly unequal distribution.

For example, if you had a population of 10 people and each person got $5 in income, your Gini coefficient would be 0. On the other hand, if you had a population of 10 people and one person got $50, the Gini coefficient would be 1.

Officially, the Gini coefficient of the United States is 45.0. To give you a better understanding of how so many countries could have worse inequality than the United States — and what it means for us — check out the seven exemplars below.

1. Saudi Arabia — Gini of 45.9

Kingdom Tower in Riyadh. Image source: Getty Images.

This Middle Eastern kingdom is home to some of the largest oil reserves in the world. That supply of black…

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