We also present the inter-country accounting model using PPP
estimates in order to allow us to see the picture for almost the entire
world countries instead of a smaller set of co untries (Figure 6 and
Table 7). As in the PPP-adjusted global accounting model,
inequality marginally improves under this method, but world
income disparities are still severe. Whereas the top 20% of the
global population controlled about 64% of total income as of 2007,
the bottom 20% had just over three percent. Similarly, in terms of
change, the poorest 40% of the global population increased its
share of total income by only three percentage points over nearly
two decades. Table 8 lists the ten highest and lowest income
quintiles for the world in 2007 under PPP exchange rates.
Figure 6. Global Income Distribution by Countries, 1990- 2007(or latest available) in PPP constant 2005 international dollars
Source: Authors’ calculations using World Bank (2011)
Table 7. Summary Results of Global Income Distribution by Countries,1990 -2007 (or latest available) in PPP constant 2005 international $
Inter-country Distribution (%)^
1990 2000 2007
Q5 69.7 69.0 63.6
Q4 19.7 16.1 17.2
Q3 4.6 6.7 10.2
Q2 3.4 5.1 5.8
Q1 2.7 3.1 3.2
# of observations 168 174 174
% of global
population96.9 97.4 97.4
% of global GDP 98.2 98.3 98.2
Source: Authors’ calculations using World Bank (2011)