Residents of Tokyo have the highest purchasing power in the world, edging out people in Los Angeles, Sydney, London and Toronto, according to a new survey by the Swiss banking giant UBS that uses the “Big Mac” as its benchmark.
“Wages only become meaningful in relation to prices — that is, what can be bought with the money earned,” it said.
The bank calculated the “weighted net hourly wage in 14 professions” and divided it into the local price of “a globally available product,” for which it chose McDonald’s flagship hamburger.
“On a global average, 35 minutes of work buys a Big Mac,” it said. “But the disparities are huge: in Nairobi, 1 1/2 hours’ work is needed to buy the burger with the net hourly wage there. In the U.S. cities of Los Angeles, New York, Chicago and Miami, a maximum of 13 minutes’ labor is needed.”
In Tokyo, it takes a mere 10 minutes. Bogota, Colombia, came in last among the 70 cities surveyed at 97 minutes.
Of course, you should add the cost of having your arteries defatted every 20 years or so.
For the actual media release and reports, go here:
http://tinyurl.com/rf694
I’ve never been to Tokyo, but I get the impression that it is a super-sized (pardon the pun) version of New York. Is this correct?
And if so, why shouldn’t they have more buying power? There has to be some benefit to living and working in such an environment.
James, its bigger than new york.. There is no down town, its simply massive. The big bennifits is that its easy to get around town. Remember its Japan not USA so its safe & clean. Zoom about with google maps, and you can get some feel for the place.
( http://maps.google.com/maps?f=q&hl=en&q=tokyo+japan&ie=UTF8&ll=35.637488,139.739571&spn=0.182482,0.43396&t=k&om=1 )
Oh and the train system there is awesome, its clean, on time & fast!
There is a real tragedy buried in this story… That is, that it takes 35 minutes of work to buy a Big Mac.
The prices in this country are Sooo. Inflated its STUPID.
The gas companies are charging International prices, and we pay them.
If we REALLY want those prices, LETS put them on ALL goods.
I would LOVe to pay, Japan, Taiwans, and indonesia prices for GOODs…
I would LOVE to make a computer(top end) in the $200-300 price range.
ECA you don’t want to pay the morbidly high rent price in Taiwan, Hong Kong or Tokyo.
The same bank just did it’s cost of living in cities world wide as well. London is now the most expensive place in the world, beating out New York and Tokyo. Why?….because of rents and housing costs. London now costs more than New York for hotels, food and transportation(second rate at that)
I’ve always wanted to go to Tokyo and hope to make it next year.
6, but I would LOVe canada’s…
And WHO said I would LIVE in town…
Even SF, isnt that big, REALLy compared to the metro AREA…which is CHEAPER.
#4 There is a real tragedy buried in this story… That is, that it takes 35 minutes of work to buy a Big Mac.
Yes. I know. I am now responding to myself… But I just realized that I was insane.
I am not rich. In fact, I think I’m poor, even though a real poor person would not agree. But I can buy maybe about 5 Big Macs in 35 minutes (assuming I actually am guessing right about the price of a Big Mac – My doctor finally scared the shit out of me about McD’s so I really am not sure)
So if you are paid two Big Macs an hour – how the hell do you pay your bills? The spending power of our income is what is tragic.