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The Cost of Living in South Korea

Cost of Living in South KoreaSouth Korea is an East Asian nation often overshadowed by its politically aggressive neighbor, North Korea. However, South Korea deserves recognition itself for its green, hilly countryside, old Buddhist temples, coastal fishing villages and buzzing cities. With its capital, Seoul, the sixth most expensive city in the world, South Korea as a whole has a 5.77 percent higher cost of living than the United States (when rent is not included).

Important factors for estimating the cost of living include housing, gas prices, unemployment rate and the average cost of necessary items. Moon Jae-in won the early presidential election on May 9, 2017, so his administration may make changes that impact these factors.

Housing
Low housing prices and rent help bring down the average cost of living in South Korea, especially in major cities like Seoul. Currently, rent in South Korea is 40.27 percent lower than rent in the United States on average for all cities. For example, rent in San Francisco, the most expensive city in the United States, averages 239 percent more expensive than rent in Seoul, the most expensive city in South Korea.

Gas Prices
Higher gas prices raise the cost of living in South Korea. The average price of a liter of gas, which equates to about one-fourth of a gallon, is $1.28 in Seoul. The average price for a gallon of gas in South Korea at the time of this writing is $4.97, while it is only $2.31 in the United States. The expensive gas prices reflect the high tax on fuels that South Korea imposes.

Unemployment Rate
Another factor that impacts the cost of living in South Korea is the rate of unemployment. Low unemployment can actually increase the cost of living in a city or country. South Korea’s unemployment rate declined to 3.6 percent in July 2017. Moon Jae-in’s administration plans to focus on job creation.

Average Cost of Necessary Items
Finally, South Korea’s higher average cost of necessary items, such as groceries, increases the cost of living in South Korea. Grocery prices in South Korea are currently 24.66 percent higher than in the United States. For example, an average loaf of bread in Seoul costs $14.82.

This combination of factors makes the cost of living in South Korea moderate. While overall it is costlier than the United States, the two countries differ on certain aspects of measurement.

– Lauren Mcbride

Photo: Pixabay

The Cost of Living in Angola: Most Expensive Capital City

Cost of Living in AngolaAccording to Mercer’s Annual Cost of Living Index, Luanda, the capital of Angola, is the world’s most expensive city. Renting a two-bedroom apartment costs $6,800 a month on average.

Around half of Angolans live on less than $2 a day, which raises the question: how has the cost of living in Angola become so unreachable to most of the population?

Several factors have produced the current economic situation. The Angolan Civil War, which lasted from 1975 until 2002, destroyed the country’s infrastructure. As a result, importing and exporting is a laborious and expensive process. The country’s business elite, who largely control the import companies, have made little attempt to bring down costs from which they profit.

Angola’s large expat population helps explain why the country is able to sustain its status as more expensive than Singapore or Hong Kong, despite the bulk of the population living in extreme poverty. Angola has Africa’s second-largest oil reserves and as a result, a large expat population based in Luanda has high levels of expendable income.

Post-civil war, Angola’s GDP grew at an astronomical rate, reaching 23 percent growth in 2008, buoyed by a flood of foreign investment. Housing and infrastructure failed to keep up. This has left the cost of living in Angola at its current unattainable level, with only Luanda’s expat population able to afford it.

Extreme poverty has indeed declined by one-third since the civil war, but economic inequality has grown exponentially throughout Angola’s oil boom. For rural Angolans, the country’s economic windfall has done little, aside from making the capital city an inaccessible place of extreme expense. The rural poverty rate stands at 57 percent, compared to 19 percent among urban Angolans.

The government is looking for resolutions and bringing down prices on basic foods has been made a priority. If this is successful, Angola’s cost of living can become less of a burden on its largely poverty-stricken population, who are currently shut out of the new wealth the country is enjoying.

– Jonathan Riddick

Photo: Flickr

The High Cost of Living in Finland

Cost of Living in FinlandFinland is a Scandinavian country with a population of 5.5 million people. While known for its excellence in education and civil liberties, Finland also has a high cost of living. Near the end of the twentieth century, Finland was announced the world’s most expensive country. Fortunately, the situation has improved. Prices and the cost of living in Finland have decreased since the turn of the century.

According to calculations by the Global Property Guide, a bundle of goods and services costing one dollar in the U.S. would cost $1.03 in Finland. While this is lower than the U.K. and other Scandinavian countries, it is higher than most countries in the European continent.

While housing is usually reasonably priced, certain items drive up the cost of living in Finland. The country has a state-run monopoly on alcoholic beverages, which helps keep prices at 172 percent of the European average. Other items are similarly pricey. Food tends to cost 120 percent of the European average, which is due in part to a significant value-added tax. The average cost of a Coke or Pepsi is $2.44, while the average McDonald’s combo meal is $8.18. A gallon of milk costs about $4.10.

Finns bring home slightly more money in their paychecks than workers in the U.S. The average monthly salary in Finland is about $3,854, while the average monthly salary in the United States is $3,769.

As in most countries, the cost of living varies depending on where you live. The cost of living in the capital of Finland, Helsinki, is significantly more expensive than living in the rural areas. Housing prices in Helsinki are double the prices in the rest of Finland.

While Finns benefit from higher wages and quality education, the cost of living remains higher than in the U.S. or most European countries. Finns don’t seem to mind, though, seeing as Finland was recently ranked the fifth happiest country in the world.

– Brock Hall

Low and Stable, the Cost of Living in Botswana

Cost of Living in Botswana
Botswana is a landlocked nation located in southern Africa, surrounded by South Africa, Namibia and Zimbabwe. Whilst having a small population of around 2.25 million it should not be underestimated as, according to the World Bank, “a development success story.”

Since its gaining of independence in 1966, Botswana has managed to have over four decades of uninterrupted civilian leadership, with progressive social policy and one of the fastest-growing economies in Africa. With all this and more, it is no wonder the Central Intelligence Agency (CIA) has called Botswana “the most stable economy in Africa.”

Now with Botswana gaining a middle-income status, one may wonder what is the cost of living in Botswana. According to the Mercer’s 2015 Cost of Living report, Botswana was ranked at 189 out of 207 countries. As a whole, Botswana is ranked on the lower end of one of the most expensive places to live in the world. The average price for a one-bedroom apartment in the city center costs around 3,000 Pula ($295) as opposed to living outside of the city center where rent would be 2,175 Pula ($214).

Naturally, the cost of living in Botswana changes depending on where a person is living, for example, according to ExpatsArrival, “For expats who choose to settle in Gaborone (the capital city), close proximity to local transport and schools pushes up the price of housing.”

However, we must also understand that while the cost of living may be comparatively small to other nations, the standard of living between the rich and poorer is visibly different. Botswana has a poverty rate of 19%, with the majority of poorer areas located in more rural areas. In addition, the unemployment rate in Botswana is 17.8%. As a consequence, the World Bank claims that Botswana’s income inequality “is among one of the highest in the world.”

The low cost of living in Botswana is just one of its several attractions. It has a great progressive political system, which has made leaps and bounds on its education system, educating more women and thereby decreasing the fertility rate in Botswana. It has a growing and stable economy much of which is attributed to its export of luxury goods in the form of diamonds. It’s no wonder InterNations claim that “Botswana holds plenty of opportunities for expatriates hoping to start a new life in Botswana.”

– Obinna Iwuji

Photo: Flickr

Incomes Affect Cost of Living in Jordan

Cost of Living in Jordan
It may not come as a surprise to many expats in the city to know that the cost of living in Jordan ranked globally in the top 50. Prices are abnormally high for imported products, particularly for alcohol and other foreign-made groceries.

According to the 2016 Mercer Cost of Living Survey, the cost of living in Jordan ranks right up with major European countries; it is number 50 out of 209 countries surveyed in total. In another report by The Economist Intelligence Unit, the cost of living in Amman ranked number one out of the Arab nations. For what is considered to be a developing country, these numbers may come as a surprise to the average American. However, these numbers are largely due to the gap in the average salary versus the average cost of products.

Compared to the staggering cost of living ranking, Jordan ranks number 65 in the world when it comes to the average monthly salary, according to an article in The Jordan Times. The average monthly salary is around $637. This is problematic for many considering that the average cost of rent is above $500, and utilities for two people averages $129.

For tourists visiting the country, it is important to note that although some products may look as though they are the same price, there is the currency exchange to take into account. In fact, the dinar is currently equivalent to $1.41. This means a meal that is 10 Jordanian dinars will really cost around $14.

However, there are ways to keep costs down, as noted in a site for expats. Outside of rent, it is usually cheaper to buy local products. When buying fresh fruit and vegetables, it is advised to buy products that are in season. This way, the products will not be imported and therefore more expensive.

As of 2017, the unemployment rate in Jordan has climbed to just under 20%. This means that even more people are without the means to meet the high cost of living in Jordan. It will be interesting to monitor Jordan in the years to come to see how citizens and government respond to this gap in salary, employment and cost of living.

– Sydney Roeder

Photo: Flickr

Cost of Living in Thailand

Cost of Living in ThailandThailand is one of the most popular countries in the world for expatriates. While the beauty of the natural environment is crucial, another important reason is the relatively inexpensive cost of living. In 2015, the International Living Magazine rated Thailand as the 10th best country in which to retire. While Thailand has experienced remarkable economic growth over the past few decades, the cost of living in Thailand still remains relatively low. According to Numbeo, an international price comparison website, the cost of living in Thailand is 36.73 percent lower than in the United States, and rent in Thailand is 58.53 percent lower than in the United States.

Public transportation

A bus fee ranges from approximately THB 8 to 30, depending on the type of the bus. Since one Thai Baht is worth about $0.03, public transportation can cost less than a dollar. Tuk-tuks, the three-wheeled taxis that are common in the country, normally cost THB 40 to 100 for a short ten-minute ride, which is also highly affordable. The base fare for metered taxis is THB 35.

Housing

Cheap rental and housing prices also contribute to the low cost of living in Thailand. Numbeo states that an expensive one-bedroom apartment inside the City Center in Bangkok costs around THB 14,317 (equivalent to approximately $430), which is much cheaper than the rent in major U.S. cities.

Food prices

The food prices in Thailand are also much less expensive than those in most developed countries. For example, the prices of most popular grocery items are as follows: a loaf of bread costs $1.12, which is only half of its average price in the United States, Additionally, a dozen eggs costs $1.65, compared to the average price of $2.23 in the United States.

The street foods are also known for their affordability. A simple meal consisting of rice, vegetables and meat on a single plate ranges from approximately THB 30 to 50, which equals to just more than one dollar. A fancier meal with a selection of dishes that may often include an entire fish would cost from THB 60 to 200 ($2 to $6).

The aforementioned factors are main contributors to the low cost of living in Thailand. However, the high possibility of continued economic growth would gradually increase the cost of living in Thailand.

– Minh Joo Yi

Photo: Flickr

Cost of Living in the United Arab Emirates

Cost of Living in the United Arab Emirates
While people often banter about giving up their old lives and moving to a new, more exciting country, it’s important to explore the cost of living change that comes with it. It turns out that the cost of living in the United Arab Emirates, and Dubai especially, is higher than one might expect.

Business Insider ranks the United Arab Emirates as 10 points higher on the cost of living expense scale than the United States. Its closest neighbors in relation to the cost of living are countries such as the Bahamas and Norway.

This high cost of living is evident in everyday prices. For example, the average monthly rent for a 900-square-foot apartment is more than $2,654. An average lunch is $15 and a pair of jeans runs to around $82.

In comparison to the United States, even these daily expenses appear slightly steep. Going for lunch rings in around $14 and the same size apartment is estimated to be $2085. Jeans, by the same standards, cost $47.

Many people move to the United Arab Emirates for jobs in the oil industry and the country is known for its lack of income tax. Over the last 50 years, the nation has moved from being ranked 182 in the world for population size to 93. It continues to climb the ranks each year.

Surveys estimate that half of the expatriates, citizens of other countries living in the United Arab Emirates, consider moving elsewhere because of the high cost of living. They argue that their wages are remaining stagnant while the cost of living continues to rise.

Although the increased cost of living in the United Arab Emirates is a side effect of being one of the wealthiest nations in the world, the country remains a huge contributor to international foreign aid.

Since its establishment, the total international aid provided by the United Arab Emirates’ government and non-government organizations is estimated to total $47.4 billion. This includes a recently strong focus on finding cleaner and more sustainable energy sources, with particular regards to solar power.

As the country continues to flourish, the cost of living in the United Arab Emirates is expected to increase, but private sector companies pay close attention and work to keep wages high enough to counteract inflation.

– Emily Trosclair

Photo: Flickr

The Cost of Living in Ireland: Northern vs. The Republic


Ireland is an island that is split into two sections: Northern Ireland and the Republic of Ireland. Dublin is the capital of the Republic of Ireland, while Belfast is the capital of Northern Ireland, which is a part of the United Kingdom. These two sections have differences in not only currency (the pound in Northern Ireland, the euro in The Republic of Ireland), but in the cost of living in Ireland as well.

As of July 2017, the difference in currency comes out to 1.14 euros for every one British pound, which is considered a small difference. There are quite a few differences in the cost of buying everyday items in each part of the country as well. The cost of grocery items in Dublin is higher than in Belfast. The cost of alcohol, which includes wine and domestic and imported beer, is on average 42% higher in Dublin.

Although these two cities are about two hours apart, the Republic of Ireland is considered a more expensive city to live in.

The cost of living in Ireland is highly affected by tourism, commerce and currency exchange between the euro and the British pound. Since Northern Ireland is part of the United Kingdom, those countries also affect it as well, whereas the Republic of Ireland is independent.

Belfast’s economy was originally built on commerce, with Belfast Harbor flourishing by furthering trade in 1845. By the time the Titanic was built in 1912, it had become the largest shipyard in the world. Tourism also shapes Belfast’s economy; it is the second-most-visited city on the island.

Dublin thrives just as well as Belfast, if not more so, in tourism. In 2013, Dublin attracted 3.9 million overseas visitors, which generated 1.4 billion euros for the industry. Over 57% of the total number of international students studying in the country are located in Dublin, which also helps the economy.

According to Expatistan, as of July 2017, the cost of living in Belfast in 23 percent cheaper than Dublin. Consumer prices are listed at 29.65% higher in Dublin, with rent prices 151.10% higher in the city as well.

The cost of living in Ireland is even higher than the United States in consumer products, rent and restaurant prices, except groceries, which are 12.05% lower in the U.S. The U.S. does not have to import many grocery items, while Ireland does so quite often. Beer imports have also been greater in the United States, while Dublin is home to the Guinness Storehouse, and by beer production and tourism alone is there is a greater influx of money compared to breweries in the U.S.

Many factors influence these two capitals cities on the island of Ireland, such as commerce and tourism, and, for Belfast, the economy of the U.K.

– Stefanie Podosek

Photo: Flickr

The High Cost of Living in Hong Kong

Cost of Living in Hong Kong
Just like its skyscrapers, the cost of living in Hong Kong is among the highest anywhere in the world. In a Mercer survey published in June 2017, Hong Kong was named the second most expensive city globally for expatriates to live and first among developed nations.

Hong Kong is a destination city for businesses and professionals alike, boasting over 4,000 individuals worth over $30 million each. Many businesses have found Hong Kong to be one of the most agreeable cities to reside in due to the low 16.5% corporate tax rate.

For the less fortunate, however, the cost of living in Hong Kong is confining– literally.

With a monthly wage of $2,652, the average Hong Kong citizen spends most of their earnings on rent alone. The smallest apartments in Hong Kong cost around $1,000 per month, with more spacious units ranging from $2,000-2,500 before utilities. Many Hong Kong residents work longer hours and split small flats into sleeping cubicles in order to save on rent.

With so much disposable income being eaten up by housing costs, many residents face the very real problem of food insecurity. Going out to restaurants has become a luxury, as many people must now rely on charitable donations and government assistance to eat.

For Hong Kong’s poorest, those living on less than $328 a month, the cost of rent in Hong Kong makes living in the city unsustainable. Over 30% of the city’s elderly population lives in poverty, while the wealthiest families make over 44 times what the average citizen makes.

Economists have urged the government of Hong Kong to institute universal incomes and pensions to prevent the wealth gap from widening. Efforts to address the growing wealth inequality in the country must be made with urgency for the sake of Hong Kong’s struggling citizens.

– Thomas James Anania

Photo: Pixabay

The Cost of Living in Peru Versus the United States


In the United States, the first image of Peru that might come to mind is Machu Picchu or an equally stunning mountainous view. Stereotypes aside, those sorts of natural monuments mask the growing economy and standard of living in Peru.

Peru was listed as the 20th most free economy in the world as of 2015, progressing slightly slower than Chile, its southern neighbor. This is due to the decreasing value of copper, gold, silver and other major exports in Peru.

One characteristic of economic growth in poorer countries is that eventually places of historical and cultural values will begin to be preserved even at the expense of population growth or economic growth. For example, a new highway project in Lima was altered in order to prevent the destruction of a historical site.

Due to this growth, Peru is now in a sweet spot where the standard of living is decently high and the cost of living is low. Outside of Lima, $2,000 per month would cover one’s basic expenses. While living in Peru, international supermarkets cost more than grocery shopping at a local market. Interestingly enough, going out to eat at local restaurants often costs even less than shopping and cooking for oneself. You can get a three-course meal for three dollars at a local Picanteria.

One source puts costs of Peru and the United States against each other, and overall, consumer prices in Peru are 45.61% lower than in the United States. Paying rent is 60.37% lower than in the U.S. and paying for groceries is 50.71% lower than in the U.S. Living in Peru makes it easy to stick to a budget.

For anyone looking to retire in Peru, it’s possible to do so at $500 per month, though this makes extremely frugal living necessary. However, Peru is still one of the least expensive places to live in South America and one of the nicest.

– Ellen Ray

Photo: Flickr