In the United States, what percentage of total wealth is owned by the top 10% of families (those with more than \$1.22 million in net worth)?

• A. About 40%
• B. About 70%
• C. About 90%
• D. About 25%

Answer: (B)

Verified step by step guidance

1. Understand that the problem is asking about the distribution of wealth in the United States, specifically the share owned by the top 10% of families based on net worth.
2. Recall that wealth distribution is often highly unequal, with a small percentage of the population owning a large portion of total wealth.
3. Recognize that the top 10% of families are defined here as those with net worth greater than \$1.22 million, which places them in a high wealth bracket.
4. Use data from reliable economic studies or reports (such as those from the Federal Reserve or wealth inequality research) that show the concentration of wealth among the top 10%. These sources typically indicate that the top 10% own a significant majority of total wealth.
5. Conclude that the correct estimate for the percentage of total wealth owned by the top 10% of families is about 70%, reflecting the high concentration of wealth in this group.