Are you under the impression that people in the US don't have purchasing power?
Also, Europe is a power house right now, but won't be a generation from now if trends continue. All forms of power are built on economic power or are a means to get economic power.
As an European, I heard that 60% of Americans live paycheck to paycheck. I don't think our laws should focus on tech companies' freedom since it doesn't seem to improve the people's lives.
Americans have the highest level of disposable income in the world, and it's not even close. Even Europe's mega-rich tax havens like Luxembourg have a lower disposable income than Americans.
Yea I know the rebuttal--"but I also heard they all have $100,000 hospital bills every year!!" The disposable per capita income numbers already account for healthcare expenditures.
You used the term "highest level of disposable income in the world".
Sorry to be so blunt, but it's not helpful if you look only at the average.
A better metric would be the median because it is well known that the super rich distort the disposable income in some countries (the US, but also some European countries).
I see in plutocraticish environments the rich and powerful sometimes very deftfully prevent measures inconvenient for Corporate but useful for the weaker part of the population.
I admit this also happens in Europe. But somehow it is just easier to live as a poorish person in many European countries.
Not sure if you checked the link, Wikipedia has both Mean equivalised and Median equivalised charts.
Americans rank #1 on both mean and median. So the point about the super rich distorting the mean is irrelevant.
> But somehow it is just easier to live as a poorish person in many European countries.
Perception and narratives are not reality. In fact, typically in economic matters it takes almost a decade for the public narrative to shift to match the reality of the numbers. Even if reality is right there in the data.
This is why bubbles usually go on for much longer than the "smart" people think they will. Look at any of Fama-French research; momentum is the strongest inefficiency in virtually all markets.
The other thing is - though US median performance is high and average performance is much higher - it's not just a couple of billionaires pulling up that average.
It's millionaires - tens of millions of them.
There's something special about a system that can create so many extremely successful people.
It does so by creating equally as many incredibly miserable people. Homelessness is rampant on the US and the average American is one health emergency away from poverty. That's also the same country well known for saddling college students with life-crippling debts.
Not sure where that stat comes from - median wealth in the USA compares extremely favourably with the rest of the world, while the average blows everyone except Switzerland out of the water.
Also, living paycheck to paycheck != being poor. There are many people with high incomes but poor budgeting who live paycheck to paycheck, but will realistically be just fine if they have to tighten their braces.
> As an European, I heard that 60% of Americans live paycheck to paycheck
Yes, and we all declare bankruptcy every month, and charge $10,000 to our credit card to be allowed into the doctor's waiting room, where we announce our arrival by firing a gun in the air.
The numbers are debatable as usual but they're not taken from thin air
> A 2023 survey conducted by Payroll.org highlighted that 78% of Americans live paycheck to paycheck, a 6% increase from the previous year. In other words, more than three-quarters of Americans struggle to save or invest after paying for their monthly expenses.
> Similarly, a 2023 Forbes Advisor survey revealed that nearly 70% of respondents either identified as living paycheck to paycheck (40%) or—even more concerning—reported that their income doesn’t even cover their standard expenses (29%).
The numbers are debatable as usual but they're not taken from thin air
> A 2023 survey conducted by Payroll.org highlighted that 78% of Americans live paycheck to paycheck, a 6% increase from the previous year. In other words, more than three-quarters of Americans struggle to save or invest after paying for their monthly expenses.
> Similarly, a 2023 Forbes Advisor survey revealed that nearly 70% of respondents either identified as living paycheck to paycheck (40%) or—even more concerning—reported that their income doesn’t even cover their standard expenses (29%).
Also, Europe is a power house right now, but won't be a generation from now if trends continue. All forms of power are built on economic power or are a means to get economic power.