New Zealanders rank the economy among the strongest in the world
New Zealanders are among the most confident in their economy in the world, according to a new study from the Pew Research Center.
The think tank asked people in countries around the world in May about their perceptions of their economy and the next generation’s financial future.
He found that 73 percent of New Zealanders said the local economic situation was good, behind only Sweden at 86 percent, and Australia at 74 percent.
The world median was 47%, believing the situation to be good. In New Zealand, only 4 percent said the economy was very bad, compared to 48 percent in Spain. Eighty percent or more of Spain, Italy and Japan say the economic situation is bad in their country, as do 70 percent or more of Greeks, French, South Koreans and Americans.
* Covid-19: The “new normal” of the tourism industry is still in three to five years, but operators are not ready to “turn around” and leave
* Tax on all housing needed to correct the “distortion of the social fabric”
* Will the economic recovery survive the end of emergency stimulus measures?
New Zealand recorded quarterly gross domestic product (GDP) growth of 1.6% in March, compared to 1.8% in Australia and a decline of 1.5% in Britain. Japan and Germany also saw GDP declines in the quarter.
This is the first year that New Zealand has been included in the study, but it showed Australians feeling much more positive than a year ago, when only 36% rated their economy as good.
Report author and research associate Shannon Schumacher said people who thought their country had handled Covid well were more likely to say their economy was good.
But she said there was a gender disparity in New Zealand that was not seen in other countries.
Women were more likely to say the economy was bad than men – 78 percent of men said it was good compared to 70 percent of women.
Men were also more likely to say they thought children would be better off financially, which Schumacher said was not the case everywhere.
People were also asked if they thought that when today’s children grow up their financial situation will be better or worse than that of their parents. Globally, 64 percent said children would be worse off. In New Zealand, 64 percent said children would be worse off. The most pessimistic were in Japan and France, where 77% expected children to be worse off.
Schumacher said New Zealand’s response was in line with the global median – and responses to that question had historically been pessimistic.
Pew researchers also updated their work on global incomes and found that the “middle class” includes 54 million fewer people than expected before the pandemic.
The number of poor has been estimated at 131 million more due to the economic slowdown of the pandemic. In percentage terms, 17 percent of the world’s population would be considered middle income in 2020, 51 percent would be low income, and 10 percent poor. Only 7 percent were classified as high income.
The researchers’ calculator showed that a New Zealand household with two adults earning $ 60,000 a year and two children would belong to the upper middle income group in the world, with 47.9% of people in advanced economies.
The calculator uses purchasing power parity dollars, exchange rates adjusted to account for differences in the price of goods and services between countries.