Thanks for the Correction
Quote:
Originally Posted by Donkey
I'm sorry, but that's not correct..
Local purchasing power, means ; Local Purchasing Power shows relative purchasing power in buying goods and services in a given city for the average wage in that city. If domestic purchasing power is 40, this means that the inhabitants of that city with the average salary can afford to buy 60% less typical goods and services than New York City residents with an average salary.
So.. in fact people in Spain can buy relatively 5% more stuff than people in New York..
Which btw, is a ridiculous comparison, since living costs in NYC are skyhigh..
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Thanks Donkey, you were right in correcting me... the chart should be interpreted as an average wage earner in Spain can afford to purchase 5%+ more goods and services than an average wage earner in New York city.
That is exactly my point to Tim. Living costs relative to the average wage earner in New York are "sky high" this means living cost for the average wage earner in Spain are very close to sky high.
Thus, while the cost of living in Spain for expats - like Tim and myself, seems inexpensive it is almost sky high for the average Spanish wage earner.
Thanks for the correction.
Tim, I did not consider Spain's "massive black economy of 25% GDP," but assuming the other countries also have massive black economies, the comparison should hold. I know little about the illegal drug economies
of the U S and the UK (for example) except that both are massive.
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