The (relative) Wealth of Nations

February 20, 2018

Annual Adjusted Wages for Cost of Living

The U.S. is much wealthier than the rest of the world when adjusted for the cost of living in each country.  It is very expensive to live in other developed nations relative to the U.S. and the wages do not offset the higher costs.  Less developed economies, such as Mexico, have a relatively low cost of living but the wages are too low to provide a high standard of living.

Ranking by Adjusted Wages

  1. Luxembourg
  2. US
  3. Switzerland
  4. Iceland
  5. Norway
  6. Netherland
  7. Denmark
  8. Australia
  9. Ireland
  10. Belgium

Source: OECD


Adjusted & Nominal as % of US Annual Wages
Country Nominal Adjusted
US 100% 100%
Australia 98.97% 86.55%
Canada 80.94% 80.47%
Germany 70.43% 77.12%
Japan 64.98% 65.02%
Mexico 16.31% 32.10%

Source: OECD



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