According to a new study, US households have been able to rebuild their wealth that was claimed by the recession in the world’s largest economy.

The new analysis from the Federal Reserve said that the households in the country have a long way to go before they rebuild their wealth to the pre-crisis level. Estimates shows the households saw their wealth worth a total of $16 trillion disappear due to falling stock markets and bust in the real estate market.

The new study by the Federal Reserve Bank of St. Louis concludes showed that the American households have been able to rebuild 45 per cent of that amount on average after adjusting for inflation and population growth in the country. The report said that most of the improvements were mainly due to the gains in the stock markets but pointed out that that mostly benefits wealthy.

The research will increase understanding on the impact of household wealth on the prospects of recovery in the American economy.

The report also found that most fragile households in the crisis were those with led educated, relatively young or black or Hispanic, or some combination of those characteristics.