Wealth

AAA

DEFINITION of 'Wealth'

A measure of the value of all of the assets of worth owned by a person, community, company or country. Wealth is the found by taking the total market value of all the physical and intangible assets of the entity and then subtracting all debts.

INVESTOPEDIA EXPLAINS 'Wealth'

Essentially, wealth is the accumulation of resources. People are said to be wealthy when they are able to accumulate many valuable resources or goods. Wealth is expressed in a variety of ways. For individuals, net worth is the most common expression of wealth, while countries measure by gross domestic product (GDP) or GDP per capita.

RELATED TERMS
  1. Net Worth

    The amount by which assets exceed liabilities. Net worth is a ...
  2. High Net Worth Individual - HNWI

    A classification used by the financial services industry to denote ...
  3. Wealth Management

    A professional service which is the combination of financial/investment ...
  4. The Wealth Effect

    The premise that when the value of stock portfolios rises due ...
  5. Gross Domestic Product - GDP

    The monetary value of all the finished goods and services produced ...
  6. Hedonic Treadmill

    The tendency of a person to remain at a relatively stable level ...
RELATED FAQS
  1. Which professional athletes are on pace to join Michael Jordan as billionaires?

    Michael Jordan is perhaps one of the most well-known and richest athletes in the world. However, two notable athletic giants ... Read Full Answer >>
  2. What key U.S. economic indicators do economists track to determine if the conditions ...

    To determine if conditions for stagflation are present in the U.S. economy, analysts primarily consider the following indicators: ... Read Full Answer >>
  3. What are the main factors that drive share prices in the automotive sector?

    The main factor that drives share prices in the automotive sector is the expected future cash flows of the companies that ... Read Full Answer >>
  4. What are the primary factors that led to the difficult period of stagflation during ...

    Stagflation is a type of economic malaise in which a stagnant economy coincides with high inflation for a period of time. ... Read Full Answer >>
  5. What are the key metrics used to measure the business cycle?

    Gross domestic product (GDP), investments, consumer spending, unemployment and inflation are the key metrics used to measure ... Read Full Answer >>
  6. What are some of the arguments for and against a Value Added Tax (VAT)?

    A value-added tax (VAT) is a type of consumption tax placed on a product whenever value is added at a stage of production ... Read Full Answer >>
Related Articles
  1. Budgeting

    Evaluating Your Personal Financial Statement

    Determine your net worth by making your own cash flow statement and balance sheet.
  2. Options & Futures

    How Much To Save To Become A Millionaire

    With a little discipline and the help of some powerful savings vehicles, anyone can hit this mark.
  3. Options & Futures

    3 Simple Steps To Building Wealth

    Getting richer is easier if you take it one step at a time.
  4. Investing

    The Labor Market Recovery’s Missing Ingredient

    Job creation is running at the fastest pace since the 90s, and there is some evidence that wage growth is finally starting to accelerate, albeit modestly.
  5. Forex Education

    North Korean Vs. South Korean Economies

    North Korea's economy is defined by its military ambitions and the humanitarian aid it receives, while South Korea is a world economic powerhouse.
  6. Economics

    What's Aggregate Demand?

    Aggregate demand is a macroeconomic term describing the total demand in an economy for all goods and services at any given price level in a given time period.
  7. Economics

    The World's Top 10 Economies

    A look at the top ten economies in the world.
  8. Personal Finance

    The Canadian Economy, At A Glance

    The 12 economic indicators described here together provide a comprehensive picture of the state of the Canadian economy.
  9. Economics

    What does Current Account mean?

    The current account reflects the difference between a country’s savings and investments.
  10. Economics

    The Constant Crisis Of The North Korea Economy

    A peek into the secretive and totalitarian economy of North Korea

You May Also Like

Hot Definitions
  1. Fixed-Income Arbitrage

    An investment strategy that attempts to profit from arbitrage opportunities in interest rate securities. When using a fixed-income ...
  2. Venture-Capital-Backed IPO

    The selling to the public of shares in a company that has previously been funded primarily by private investors. The alternative ...
  3. Merger Arbitrage

    A hedge fund strategy in which the stocks of two merging companies are simultaneously bought and sold to create a riskless ...
  4. Market Failure

    An economic term that encompasses a situation where, in any given market, the quantity of a product demanded by consumers ...
  5. Unsystematic Risk

    Company or industry specific risk that is inherent in each investment. The amount of unsystematic risk can be reduced through ...
  6. Security Market Line - SML

    A line that graphs the systematic, or market, risk versus return of the whole market at a certain time and shows all risky ...
Trading Center