Editing Distribution of wealth (section)

==Definition of wealth==
{{Main|Wealth}}
Wealth of an individual is defined as net worth, expressed as: [[wealth]] = [[asset]]s − [[liability (financial accounting)|liabilities]]

A broader definition of wealth, which is rarely used in the measurement of [[wealth inequality]], also includes [[human capital]]. For example, the [[United Nations]] definition of ''[[inclusive wealth]]'' is a monetary measure which includes the sum of natural, human and physical assets.<ref name="wealth">{{cite news|url=http://www.economist.com/node/21557732 |title=Free exchange: The real wealth of nations |magazine=The Economist |date=June 30, 2012 |access-date=July 14, 2012}}</ref><ref name="IHDP">{{cite web |url=http://www.ihdp.unu.edu/article/iwr |title=Inclusive Wealth Report – IHDP |publisher=Ihdp.unu.edu |date=July 9, 2012 |access-date=July 14, 2012 |archive-url=https://web.archive.org/web/20120630055324/http://www.ihdp.unu.edu/article/iwr/ |archive-date=June 30, 2012 |url-status=dead }}</ref>

The relation between wealth, income, and expenses is: change of wealth = saving = income − consumption (expenses). If an individual has a large income but also large expenses, the net effect of that income on her or his wealth could be small or even negative.