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US and more socialist EU countries may have similar CPIs, but when we get to talking about education, rent, healthcare, transportation, etc the differences can

US and more socialist EU countries may have similar CPIs, but when we get to talking about education, rent, healthcare, transportation, etc the differences can be stark. Yes, people in US earn more and get taxed less. But they also spend a lot, lot more on necessities via shadowy cost structures like student loans and insurance and >$1,000 ambulance rides.

mrjangles 5y ago
This is often measured by researchers. It is called a "cost of living" calculation, and every one of these that I have seen indicates that this isn't the case.
- femiagbabiaka 5y ago
  Do you mind sharing a link to some data that you feel illustrates this? Pretty interesting.
- jltsiren 5y ago
  For anyone who has lived in several countries, it should be obvious that direct cost-of-living comparisons rarely make sense. The actual costs depend so much on your income level and life situation that no single number can accurately reflect them. Let's take Finland, the UK, and the US as examples, as they are the countries I'm most familiar with. At $30k/year (individual income), the US is much more expensive than the other two, mostly due to things like healthcare, childcare, education, unemployment, sick/parental leaves, and pensions. The UK might be a bit more expensive than Finland. At $100k/year, the cost of living is more or less similar in all three countries. The weight of benefits and subsidized services is lower, because they take a smaller fraction of your income. The US may still be more expensive if you have kids, but it can also be cheaper if you don't have them and are never going to get then. The UK may also be a bit cheaper than Finland due to lower taxes. At $200k/year, the US is the cheapest country and Finland is the most expensive one, primarily due to taxes.
kopkreotrke4 5y ago
The 42k AUD a year is equivalent to many professional jobs in the EU
dumpsterlid 5y ago
Not to mention people in the US often are just more likely to straight up die from things that should be totally preventable in such a wealthy country, the abnormally high infant and maternal mortality rate in the US being just one example.

mrjangles 5y ago

This is often measured by researchers. It is called a "cost of living" calculation, and every one of these that I have seen indicates that this isn't the case.

femiagbabiaka 5y ago
Do you mind sharing a link to some data that you feel illustrates this? Pretty interesting.
jltsiren 5y ago
For anyone who has lived in several countries, it should be obvious that direct cost-of-living comparisons rarely make sense. The actual costs depend so much on your income level and life situation that no single number can accurately reflect them. Let's take Finland, the UK, and the US as examples, as they are the countries I'm most familiar with. At $30k/year (individual income), the US is much more expensive than the other two, mostly due to things like healthcare, childcare, education, unemployment, sick/parental leaves, and pensions. The UK might be a bit more expensive than Finland. At $100k/year, the cost of living is more or less similar in all three countries. The weight of benefits and subsidized services is lower, because they take a smaller fraction of your income. The US may still be more expensive if you have kids, but it can also be cheaper if you don't have them and are never going to get then. The UK may also be a bit cheaper than Finland due to lower taxes. At $200k/year, the US is the cheapest country and Finland is the most expensive one, primarily due to taxes.

kopkreotrke4 5y ago

The 42k AUD a year is equivalent to many professional jobs in the EU

dumpsterlid 5y ago

Not to mention people in the US often are just more likely to straight up die from things that should be totally preventable in such a wealthy country, the abnormally high infant and maternal mortality rate in the US being just one example.