Since 1995, a group of researchers at the World Bank has periodically published reports under the title "The Wealth of Nations". These reports analyze the size, composition, and significance of national wealth. Their findings emphasize the importance of wealth measurement as a complementary indicator to GDP when assessing a country’s economic strength and stability.
National wealth is evaluated through three main components: physical capital, natural resources, and intangible assets, primarily human capital. According to the World Bank, a country's economic development is closely correlated with its accumulated wealth. However, there is a stark inequality in human capital between rich and poor countries—nearly a 100-fold gap per capita. While wealth has increased globally, wealth per capita has not grown significantly in poorer countries.
While the World Bank’s analyses are mainly comparative—focusing on developed versus developing countries and examining wealth distribution broadly—this chapter focuses specifically on Israel. It provides an in-depth analysis of how wealth is distributed within Israel across various components and demographic groups.