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PYROMANCYAPPRECIATOR t1_jalo2oo wrote

You should post this in r/Australia, a lot of people would have a mental breakdown over this data.

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finndego t1_jai1r7g wrote

The current minimum wage in New Zealand is $NZD22.70. That converts to $USD14.18 at the current exchange rate.

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AverageAustralian111 t1_jai6qur wrote

This graph is adjusted for purchasing power parity.

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stratodrew t1_jai9kzm wrote

I've not heard of this before, please would you mind explaining? Thanks

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AverageAustralian111 t1_jaif2lc wrote

Sure,

In some countries, prices are higher than in others. For example, a loaf of bread in Australia might cost around $3, but in China, around 2 Yuan (which exchanges to about 50c. So (measuring it only by bread prices) $1 in China is worth 6 times as much as $1 in Australia.

If you do this for all products and weight it by the amount of each product that normal people buy, you can find the cost of living in a country. Real wages are wages/cost of living

So in the example above, NZ has a minimum wage of $US14.18, but because things are slightly more expensive in NZ than in the US, that amount of money can buy the same amount of stuff in NZ that $US11.90 could buy in the US.

When you adjust for PPP, you take this into account. If you ever see "real" vs "nominal" figures, real means adjusted for PPP, and nominal means not adjusted

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capybarawelding t1_japzgy0 wrote

Another question: was a set uniform basket of goods selected, or was a combination and a quantity of goods somehow chosen by reporting bodies?

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AverageAustralian111 t1_jaquft7 wrote

Different countries tend to use different baskets of goods to reflect their own consumption patterns. The OECD probably pulls their data from state statistics agencies (although it is possible they conducted their own survey)

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Neowynd101262 t1_jajqulb wrote

I make 4x federal minimum and still make less than the city's average.

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broken_sword001 t1_jajviet wrote

You can't hire anyone to do anything is the USA for less than $15/hr. The minimum wage here must be the government law which the free market has doubled already.

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ars13690 t1_jaltp0i wrote

While i get what you're getting at that is not true everywhere in America, in Nevada for example security jobs commonly pay 12-13 dollars an hour, is this higher than the state minimum wage of 10.50 and considered very low, yes, however there are still plenty of people working for those wages trying to support families.

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capybarawelding t1_japxgzw wrote

There're plenty of people in unskilled jobs who work for less than that in Idaho. Shop welders in Indiana report making $12 for okay-looking (but not complicated) work.

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[deleted] t1_jaiscxg wrote

States and Cities have their own minimum wage laws in the US. The federal government has in effect left it up to local governments to decide what the appropriate policy is. For example in Illinois minimum wage is $13 and will be $15 by 2025. In Chicago it’s $15.40

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eddiepaperhands t1_jajile8 wrote

I can’t find Finland or Sweden

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CC-5576-03 t1_jajjvao wrote

We don't have a national minimum wage. There are different minimum wages for each industry/sector that's determined by collective bargaining and enforced by the unions.

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CamperStacker t1_janqwc9 wrote

In australia the minimum wage is a anchor point with wages set to an offset from it, meaning that the minimum for most jobs is way higher than that. Almost all jobs have a legal minimum “award” rate which is a set offset above minimum wage.

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Kawawete t1_jajlyh0 wrote

Damn I thought it was a tech benchmark result sheet without looking at the title

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menotokay t1_jalraje wrote

Im not sure if i understand it correctly, but minimum wage in lithuania is around 5,2 eur/h before taxes and 3,9 eur/h after taxes

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insufferablyaverage t1_jao6uj8 wrote

Now do minimim wage relative to median wage plz

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sKY--alex t1_jaofgk4 wrote

If youre mininum wage is shit its no flex to have a bigger gap between to the median wage

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snash222 t1_jaim4nx wrote

It would be interesting to see this adjusted for the tax rate (VAT, Sales Tax, Income Tax) for those on minimum wage.

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MealMorsels t1_jajaqb7 wrote

VAT and sales tax are already included, since it's adjusted by purchasing power

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Former_Star1081 t1_jahzbf9 wrote

Switzerland has about 22$/h minimum wage. Which sadly is missing because it would show a big gap between 1st and 2nd.

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JackdiQuadri97 t1_jai3m6x wrote

Switzerland has no minimum wage, the one you are talking about is the minimum wage of one of the richest cantons.

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aspects1 t1_jaj0nfl wrote

its adjusted for cost of living, so 22 in Switzerland would be much lower than 22 on the graph even if it was on there because cost of living is much higher

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goodluckonyourexams t1_jajpxav wrote

cost of living and ppp are not the same

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Maguncia t1_jalakft wrote

PPP is a measure of cost of living.

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goodluckonyourexams t1_jamtnil wrote

it really isn't

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Maguncia t1_jamv1kb wrote

Not sure what you are getting at. Please elaborate.

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goodluckonyourexams t1_jamxugh wrote

https://www.worlddata.info/cost-of-living.php

look at Barbados and Norway

Cost of living is the same, ppp isn't

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Maguncia t1_jan32ge wrote

That's purchasing power, not PPP ("purchasing power parity") i.e. the cost of living adjustment used to convert income into purchasing power. Regardless, the initial statement is true - the reason that Switzerland's minimum wage would theoretically be lower is that it has a high cost of living, and thus its purchasing power is lower than its income.

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AftyOfTheUK t1_jajaoov wrote

The minimum wage in California - in the US - is $15.50 per hour.

This puts it at the top of this chart. Using the US as a single, averaged value hides a huge amount of information and context.

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VeryWiseOldMan t1_jajm6cl wrote

Hi, things in california are very expensive compared to the US average. Goodbye

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AftyOfTheUK t1_jal1u8g wrote

>Hi, things in california are very expensive compared to the US average. Goodbye

Yes, I live in California.

That doesn't take anything away from the fact that representing the US as one data point, while splitting out the European Union into many is somewhat disingenuous.

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sKY--alex t1_jaoe06w wrote

The EU isn’t a country.

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AftyOfTheUK t1_jaosw75 wrote

>The EU isn’t a country.

Having lived in the EU and the US, they are more alike than you might think.

Comparing the US as a whole to individual EU states is a joke. Comparing EU states to US states makes far more sense when you consider demographics.

It does, though, make it much harder to use statistics to mislead people, which is why people like to compare the way they do.

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sKY--alex t1_jaoxf0m wrote

But the EU obviously isn’t nearly as intertwined as the US, and even if it would form a country tomorrow it would take decades or maybe even centuries to close the big cap between the rich and poor countries. The idea of one big european country is so young, that it simply doesn’t make sense to group the countries all together into one stat and say “thats how it is over there“, when the stat is far from reality on both ends of the spectrum. But the US has been a country for centuries, the regional differences aren’t as big and in the end does have a federal minimum wage, which is what this is about. But I do know what you mean, and I think a further unified europe is probably the only way to stay relevant in the future.

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AftyOfTheUK t1_jap8mrg wrote

>But the EU obviously isn’t nearly as intertwined as the US

It is nearly as intertwined as the US and, since the addition of more recent states, has a similar level of income inequality across constituent states.

The US is FAR more like the US than it is unlike it.

>it would take decades or maybe even centuries to close the big cap between the rich and poor countries.

... a lot like the gaps between US states, today?

>The idea of one big european country is so young, that it simply doesn’t make sense to group the countries all together into one stat

Just like it doesn't make sense to group the US states together into one stat. The differences are of similar magnitudes.

In fact, the US states rights means that there are generally far MORE differences between US states than there are between EU countries. Take abortion as one example. There are many more.

>But the US has been a country for centuries, the regional differences aren’t as big

Disagree, the regional differences are VERY similar since the introduction of Eastern European states.

Before that, the US was actually MORE disparate and had more differences than Europe!

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sKY--alex t1_japgfds wrote

You can’t be serious, that you think that the US has more differences than a whole continent made out of twice as many people living in 50 countries all with their own cultures and traditions. I don’t even know why all people from the US really want to believe that their state is sooo different from the others, I visited and lived in many different places in the US, and it’s all more or less the same, the difference are minimal against differences between whole countries.

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AftyOfTheUK t1_jaq6e7g wrote

>You can’t be serious, that you think that the US has more differences than a whole continent made out of twice as many people living in 50 countries

You keep saying "countries" like it matters, like it's different to a "state" in any way other than legal. In the US states have their own laws, and are part of the federal US which has overbearing laws. In the EU, countries have their own laws and are part of the federal EU, which has overbearing laws.

Take this as an example - the Scandinavian countries are Denmark, Finland and Sweden. The West Coast states are California, Seattle and Oregon.

I'll tell you now that there is MASSIVELY more cultural diversity in those three US states than there is in the Scandinavian countries.

The differences between California and Mississipi, for example, are very large, just like the differences between France and Bulgaria.

You seem to be assuming that Europe has far more differences than the US, but you don't seem to state why. They all (well, most) have different languages, sure - but CULTURALLY they are very close together. And from a legal point of view and from a tax point of view, there is a LOT of congruence in Europe that does not exist in the US.

>I don’t even know why all people from the US really want to believe that their state is sooo different from the others

California -> Mississipi is truly, unbelievable different. California is about as good as it gets in the modern world, Mississipi is pretty much third world.

>the US, and it’s all more or less the same, the difference are minimal against differences between whole countries.

I'm sorry, I just can't agree with this. I've lived in the UK, the US, France and spent time working in Eastern Europe. Financially, culturally, legally there is a lot of uniformity across the EU.

I wouldn't want to say which (EU or US) has more disparity - but once you ignore language, those differences are very comparable.

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CC-5576-03 t1_jajk5co wrote

It probably wouldn't top the chart when adjusting for ppp

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TheMelv t1_jajhsuf wrote

I don't think it's even an average, just the raw federal minimum wage which is 7 and change. I can't think of anywhere that this is a practical minimum wage though.

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