The Republic of Singapore is a city and a state. It is one of the most prosperous nations in the world, with a purchasing power parity adjusted GDP of $701 billion and a per capita income of $131,580.

The graph above is an economic history of the world, after 1 AD, from a research letter written by Michael Cembalest, chairman of market and investment strategy at JP Morgan.

Adjusting for PPP allows us to make a more accurate “apples to apples” comparison of GDP per capita among countries around the world by adjusting for the differences in prices in each country.