The COVID-19 pandemic has affected billions of people around the world, from the obvious health impact of the virus, to the flow-on effects on countless businesses and industries. Now, eighteen months in, we want to know if there is a difference in household net worth between 2019 and 2020.
Firstly, we need to understand what net wealth (or net worth) is. According to the Organisation for Economic Co-operation and Development (OECD), a household’s financial net worth consists of their total financial assets minus their financial liabilities. Financial assets include the things that a household owns, like equity and investment shares, while liabilities are those things they owe (e.g. loans).
Using the Household net worth statistics indicator on the OECD Data website, we took a deeper look into how the net worth of households in 20 countries has changed over the last five years, particularly between 2019 and 2020. Here’s what we found.