Lance
New member
Inflation in dollars: noodles, sodas and cans in Buenos Aires as in supermarkets in Miami or London - Vive La Plata News
Source:
vivelaplata.com.ar
December 31, 2023
According to a survey carried out by Clarín between supermarkets in the United States, England and Mexico.inflation in dollars to those in many places abroad and compared to ago A few weeks ago. In some cases they even pay more in Argentina. The inflationary acceleration of recent weeks, as a result of the devaluation 20 days ago, unleashed a spiral that caused foods such as oil to increase by more than 100%, producing a phenomenon of gondolas in Buenos Aires already register similar prices , the products sold in Clarín took a sample of seven products. A liter of milk, a 500 gram package of long noodles, one of long grain rice, a dozen eggs, a can of tomatoes, a liter and a half bottle of Coca Cola and a tall size latte from Starbucks. In the case of the Coca Cola bottle and Starbucks coffee, they are identical products in Buenos Aires, Miami, London or DF (commodities) and the comparison 'stands alone'. Something similar to what the English magazine The Economist does with the Big Mac - it compares the price of the McDonald's hamburger worldwide.
For the rest of the goods, the exercise was governed by the 'lowest price' criterion offered by supermarkets on their pages at the time of comparison (last Friday). Walmart in the United States and Mexico, Waitrose in England and Carrefour Argentina.
Some data emerge from the analysis that reveal the deteriorated competitiveness for food in Argentina. The cheapest package of long spaghettis today at Carrefour (Terrabusi 500 grams) is more expensive than at Waitrose (Waitrose brand) and just 12% cheaper than in the United States.
Something similar happens with a can of tomato, a bottle of Coca Cola or a dozen eggs. Only milk or coffee from international chains, to cite the examples, show that there are still goods in Argentina that are sold cheaper. For now.
The comparison serves to appreciate a phenomenon unleashed and in a very short time: the sudden increase in dollar prices of a set of goods. a>
As a contrast, it must be noted to understand the phenomenon, salaries did not increase in the same proportion in said period. In other words, they fell in dollars during the last weeks.
Thus, a package of noodles is practically the same price in Argentina as in other parts of the world, but the unsuspecting reader should know that here the minimum wage is US$190. In Great Britain, noodles are paid 40% less than in Argentina. and the minimum wage is twelve times higher (US$ 2,283). In the United States, noodles are more expensive than in Argentina (12%) but its economy pays a minimum wage much higher than that of Argentina (US$ 1,218).
The economist Fernando Marull estimated that taking into account an average salary of $532,000 in December, with the November and December increases of 10% and 15% respectively (the minimum is $156,000), gives a “there are three comparisons, food, services and durable goods.”. In any case, the economist clarifies: “We have low salaries in dollars, there is no discussion”. salary in dollars of US$ 591
While goods in Argentina are expensive, services cost less than in those other countries. The latter is what economists call 'relative prices', an expression to refer to the phenomenon that one set of costs is different from another. In the case of Argentina, basically with a mix of cheap services and expensive products, a strong boost to demand was generated in all these years to the detriment of supply and production. Seeing a Starbucks coffee in Buenos Aires costs half as much as in London, New York or Mexico, you could understand why there are lines in the coffee shops in Palermo but the supermarket shelves are empty or the industry is falling.
Also the fee to join a club or practice sports in Argentina is cheaper than in any of those other countries. And despite the strong increase in the last month, a work by Ieral and the Sociedad Rural del Noreste Santiagueño surveying prices in these weeks, found that beef in Argentina is still cheaper than in Uruguay and Chile (although more expensive than in Brazil and Uruguay).
Is the price of the dollar in Argentina behind?
It is risky to say yes yet. But if to December's inflation - it is estimated at 30% - we add the increase in prices that there will be on subways, buses, trains, tolls and parking lots that were late, for many it is difficult to think that the adjustment of the rate of change remains at 2% monthly beyond January and even more so that “salaries do not begin to move with some monthly adjustment formula that follows past inflation,” says economist Martín Rapetti. “The gap will begin to widen during the first quarter, fueling the inflationary process,” he predicts. Economists close to the Government think the same as Rapetti although they do not dare to say it publicly. For now, only the gondolas speak. And if prices continue like this, perhaps the maxim that Carlos Melconian said during the campaign to criticize the idea of dollarization will be fulfilled: “there are no noodles or tuco.” The noodles already come out like in Miami or London.
Source:
Inflación en dólares: fideos, gaseosas y latas en Buenos Aires como en los súper de Miami o Londres – VIVE La Plata
Según un relevamiento que hizo Clarín entre supermercados de Estados Unidos, Inglaterra y México, los productos que se venden en góndolas en Buenos Aires ya registran precios similares a los de muchos lugares del extranjero y respecto a hace unas semanas atrás. En algunos casos incluso se pagan...
vivelaplata.com.ar
December 31, 2023
According to a survey carried out by Clarín between supermarkets in the United States, England and Mexico.inflation in dollars to those in many places abroad and compared to ago A few weeks ago. In some cases they even pay more in Argentina. The inflationary acceleration of recent weeks, as a result of the devaluation 20 days ago, unleashed a spiral that caused foods such as oil to increase by more than 100%, producing a phenomenon of gondolas in Buenos Aires already register similar prices , the products sold in Clarín took a sample of seven products. A liter of milk, a 500 gram package of long noodles, one of long grain rice, a dozen eggs, a can of tomatoes, a liter and a half bottle of Coca Cola and a tall size latte from Starbucks. In the case of the Coca Cola bottle and Starbucks coffee, they are identical products in Buenos Aires, Miami, London or DF (commodities) and the comparison 'stands alone'. Something similar to what the English magazine The Economist does with the Big Mac - it compares the price of the McDonald's hamburger worldwide.
For the rest of the goods, the exercise was governed by the 'lowest price' criterion offered by supermarkets on their pages at the time of comparison (last Friday). Walmart in the United States and Mexico, Waitrose in England and Carrefour Argentina.
Some data emerge from the analysis that reveal the deteriorated competitiveness for food in Argentina. The cheapest package of long spaghettis today at Carrefour (Terrabusi 500 grams) is more expensive than at Waitrose (Waitrose brand) and just 12% cheaper than in the United States.
Something similar happens with a can of tomato, a bottle of Coca Cola or a dozen eggs. Only milk or coffee from international chains, to cite the examples, show that there are still goods in Argentina that are sold cheaper. For now.
The comparison serves to appreciate a phenomenon unleashed and in a very short time: the sudden increase in dollar prices of a set of goods. a>
As a contrast, it must be noted to understand the phenomenon, salaries did not increase in the same proportion in said period. In other words, they fell in dollars during the last weeks.
Thus, a package of noodles is practically the same price in Argentina as in other parts of the world, but the unsuspecting reader should know that here the minimum wage is US$190. In Great Britain, noodles are paid 40% less than in Argentina. and the minimum wage is twelve times higher (US$ 2,283). In the United States, noodles are more expensive than in Argentina (12%) but its economy pays a minimum wage much higher than that of Argentina (US$ 1,218).
The economist Fernando Marull estimated that taking into account an average salary of $532,000 in December, with the November and December increases of 10% and 15% respectively (the minimum is $156,000), gives a “there are three comparisons, food, services and durable goods.”. In any case, the economist clarifies: “We have low salaries in dollars, there is no discussion”. salary in dollars of US$ 591
While goods in Argentina are expensive, services cost less than in those other countries. The latter is what economists call 'relative prices', an expression to refer to the phenomenon that one set of costs is different from another. In the case of Argentina, basically with a mix of cheap services and expensive products, a strong boost to demand was generated in all these years to the detriment of supply and production. Seeing a Starbucks coffee in Buenos Aires costs half as much as in London, New York or Mexico, you could understand why there are lines in the coffee shops in Palermo but the supermarket shelves are empty or the industry is falling.
Also the fee to join a club or practice sports in Argentina is cheaper than in any of those other countries. And despite the strong increase in the last month, a work by Ieral and the Sociedad Rural del Noreste Santiagueño surveying prices in these weeks, found that beef in Argentina is still cheaper than in Uruguay and Chile (although more expensive than in Brazil and Uruguay).
Is the price of the dollar in Argentina behind?
It is risky to say yes yet. But if to December's inflation - it is estimated at 30% - we add the increase in prices that there will be on subways, buses, trains, tolls and parking lots that were late, for many it is difficult to think that the adjustment of the rate of change remains at 2% monthly beyond January and even more so that “salaries do not begin to move with some monthly adjustment formula that follows past inflation,” says economist Martín Rapetti. “The gap will begin to widen during the first quarter, fueling the inflationary process,” he predicts. Economists close to the Government think the same as Rapetti although they do not dare to say it publicly. For now, only the gondolas speak. And if prices continue like this, perhaps the maxim that Carlos Melconian said during the campaign to criticize the idea of dollarization will be fulfilled: “there are no noodles or tuco.” The noodles already come out like in Miami or London.
