How many hours of work does it take to buy a burger, soda and beer in Argentina

How many hours do you need to work in Argentina to buy a coffee, a hamburger, a soda or a beer. And how many are released in the rest of Latin America. The conclusion has been the same for years and is getting worse: Argentina is cheap for the rest of the world and expensive for those who live in the country.

A study by Focus Market analyzes the working hours required to acquire certain products, taking into account the income of a living and mobile minimum wage – measured in dollars – in Argentina and other Latin American countries.

For example, for buying a hamburger in Venezuela takes 960 hours of work, measured according to their living and mobile minimum wage, and in Argentina, instead, only 4 hours and 36 minutes.

But this comparison, which a priori leaves the country well, is diluted if we take into account the fact that in Uruguay it suffices to invest 2 hours and 43 minutes, and in Chile 2 hours and 13 minutes of work to acquire the same. product.

“In our country, it takes on average more hours than in the rest of the cases to buy many products marketed in Argentina., despite the recent adjustment of the living and mobile minimum wage in pesos, due to the devaluation of the local currency against the North American currency, and in relation to the purchasing power of wages, ”explained Damián Di Pace , director of the consulting firm.

To buy a soda, for example, in Venezuela, a person has to work 549 hours and 36 minutes; in Argentina 1 hour and 29 minutes; but in Peru only 37 minutes and in Ecuador 29 minutes.

During the first four months of the year, inflation reaches 17.6%, according to the National Institute of Statistics and Censuses (Indec). In April, the data surprised again with an increase of 4.1%). This record leads to Consumer Price Index (CPI) at a change of 46.3% compared to April of last year. This is the highest record for this time of year since 2002 according to LCG estimates (statistics were dropped between 2007 and early 2016).

The data reinforces the premise that the country it is cheap for foreigners and expensive for its residents. “Argentina today has the second lowest living and mobile minimum wage in Latin American dollars. The other aspect of this situation is that, compared to the higher wages in other Latin American countries, goods and services sold in Argentina measured in dollars are very cheap for foreigners. This opens an opportunity for the arrival of tourists with high consumption in the Argentinian market.. However, it will be necessary to assess whether the delay in trading results in a dilution of this advantage over time, ”said Di Pace.

Buying a beer in Venezuela takes 602 hours and 24 minutes, in Chile 2 hours and 16 minutes, and in Argentina 1 hour and 53 minutes. While in Ecuador and Colombia it takes a little over an hour at each location.

To have a coffee, a Venezuelan must invest around 516 hours of work; a Mexican only 2 hours and 25 minutes and in Peru 2 hours and 4 minutes. In Argentina, almost 2 hours. In Brazil, on the other hand, you will have to work 1 hour and 19 minutes, and in Colombia 1 hour and 3 minutes. Both countries have local coffee production.

“If we take into account purchasing power parity, the number of hours needed to buy the same goods they can be increased if there is a widening of exchange rate spreads throughout the year and a devaluation of the peso against the dollar in the parallel market compared to the official market, since Argentina they would see their minimum wage deteriorate to acquire these same products in other Latin American countries, ”explained Di Pace.

Inflation chapter

In the first four months, retail prices climbed 17.6%. In this way, This inflation is exceeded internationally only by Venezuela, which has 127.8%. While Lebanon, with 16.5%; Angola, with 16.1% and Tunisia, with 7%, round out the top five places, according to a report by the Institute for Mass Consumption Studies (INDECOM).

Argentina is also second in taking the YTD of South American countries, still behind Venezuela, but well above the following countries: Brazil and Uruguay, both at 4.5%. Then there are Colombia (2.7%), Chile (1.7%), Peru (1.2%), Ecuador (0.7%) and Bolivia (0.5%) .

Regarding the inter-annual ranking, if the period between April 2020 and April 2021, according to the study Argentina is in third place, with 46.3%. In this case, Venezuela follows first with 3,012.2% and Lebanon second, with 157.9%. The top five are completed by Turkey with 17.1% and Egypt with 10.3%.

As for the projection, According to the report, 2021 will end with inflation of around 60%, well above 29% estimated by the Ministry of the Economy of the Nation.

SN