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How long before the US produces its first trillionaire?

How long before the US produces its first trillionaire?

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Not too long.

Ultimately, the answer as to when America will witness its first trillionaire appear is dependent on variables such as inflation, tax rates and overall economic growth. These are ingredients that are conducive to wealth retention and creation.

Therefore, if the United States averages 3 percent annual inflation, and the richest American’s fortunes keep up with Bill Gates’, whose estimated net worth is currently $56 billion, America would have a trillionaire in 98 years.

But assuming the richest American’s fortune not only matches the rate of inflation, but outpaces it by an additional 3 percent a year, America can produce a trillionaire in 50 years’ time.

That might seem like a long time, and it probably is because this estimate is too conservative considering how fast the super-rich have been getting super-richer.

Gauging how quickly the richest American’s net worth is increasing is a tricky exercise as it has mostly meant tracking the worth of just one individual – Bill Gates – the past 15 years.

His worth has sunk and risen along with the price of Microsoft’s stock, but at an average pace of growth, between 4 and 9 percent per year, the richest American could possess a trillion sometime between 2050 and 2085, presuming no major changes to the tax code and a healthy economy.

It seems far more likely that the first person to make the 13-digit dollar mark will come from a country more conducive to wealth concentration.

This would be a country with higher growth rates, rapidly expanding industries, fewer business regulations, and lower taxes.

So guess who?

For the past two years, Mexican business magnate Carlos Slim Helu has beaten Gates and Warren Buffett for the title of world’s richest man.

This article is a 60-second reduction of the original found here.