The market is rapidly pulling the low income nations up and by 2035 the low income nation category will be all but empty. This is simply an extension of the rapid progress we have been making already. Sixty percent of the world's population lived in low income nations in 1998 and in 2016 it was between eight and nine percent. Outside of Sub-Saharan Africa only a little more than one and a half percent of the population lives in low income countries.
But if the high income nations were willing to give about half of one percent of their income to the poor in foreign aid we could raise the low income countries to middle income now.
Therefore, there was a shortfall of 391 dollars per capita between the threshold and the mean average gross income per capita. As there were 659 million people in the low income nations the total sum that must be covered by aid was 258 billion.
The combined gross national income of the high income countries was about 49 trillion dollars. Half of one percent of that is 249 billion, almost enough to make the difference between the gross income per capita of the low income nations and threshold beteen low and middle income countries.
The major reason that the high income countries could theoretically pull the low income countries into the middle income category with such a small portion of their income is that they are much richer per person. The average, mean, income of the high income countries was 41,150 dollars in 2016, compared with 614 dollars for the low income countries. Therefore, the per person income of the high income countries was 67 times higher.
Another major reason is that there are many more people in the high income countries, 1,190 million versus 659 million in the low income countries. So the combined population of the high income countries outnumbers the low income countries combined population by more than 80%. This number will rapidly incerease as more countries move from low income to lower middle income thus reducing the population of the low income countries and from upper middle income to high income thus increasing the population of the high income countries.
The people of high income countries both through voting, political participation, and the foreign aid of their governments, and through private charitalble giving can make a difference in the low income countries.
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Last updated before July 1, 2018
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