Motorcycle Global pricing.

[MJH]

I live in Cleveland Ohio and can purchase 29% more in good and services then a person in NYC.
Then compared to Guangzhou my purchasing power is 96% better. Based on a 36K median annual net income, which by the way is not difficult to attain as for most in my circle earn much more then that.


Things are not always as they seem.

[MJH]

Prices change wages change by location, the parity is based on what you can actually buy in a set of goods, each good has its own metrics as for economic factors, that affect its pricing within its sector in its region of the world and related also in that which region it come out of. The sum of all could be seen as infinite, but each certainly has definable limits as in the finite criteria that sets the final prices.


Purchasing behavior is the same as not willing to spend and also part not able to spend.
False prices or inflated retail prices can be very inflationary, people in Brazil are dealing with that today.

[MJH]

Notice the last on the list, its Venezuela, try to find prices on a motorbike there.


Here you have a nation led by man that claimed he would bust the imperialist in the mouth, look close it seems he only managed to fuck up the purchasing power for his nation citizens. .

[Lao Jia Hou]

You are bringing up some good points about relative wealth, but you have to be very careful about using statistics. Many websites provide questionable data, at best.

In terms of city comparisons, expats tend to reference the Mercer Consulting studies, but these are also quite misleading. They are based on living an expat-bubble lifestyle in foreign cities (e.g., Tide liquid detergent is $35 in Beijing versus $7 in Los Angeles ... but locally branded, reputable, liquid detergent is $6 in Beijing).

In terms of real estate prices (purchase / rent), the website you referenced is simply incorrect. A complicated issue, but the key to understanding how "expensive" a city is, is to look at the average incomes in that city. If the city is full of gajillionaires (e.g., Hong Kong), what we mere mortals consider as high prices are nothing more than pocket change to a large number of these super-wealthy people.

Unfortunately, the overwhelming majority of Beijing residents are not super-wealthy. The average Beijing resident has no hope (none, zero, zilch) of being able to buy a home in the city. It is simply impossible because there is a HUGE gap between salaries and house prices. To the average worker in Beijing, it doesn't matter if a house is 10K rmb/sqm or 100K rmb/sqm or a million rmb/sqm ... owning a home is nothing more than a cruel dream (actually, a nightmare). Most agree that this situation has very, very serious social implications (e.g., no home = no wife). It is also why Beijing is often cited as having the most expensive real estate in the world, when taken as a measurement that is relative to an average people's income. (Linkie) The following IMF graph is, I would argue, quite conservative. I think the situation is even worse.



In Beijing's motorcycle market, where the typical buyer will be young, and seeking functional transportation (e.g., a scooter), the typical buyer likely has a monthly income around the average of about 2,800 rmb. A 10,000 rmb Suzuki scooter is a full four months of net pay. Want a Jing A plate on that scooter? Add another 40,000 rmb. This scooter will obviously be a HUGE spending decision.

Above these "typical" motorcycle buyers are the "middle income earners" who will not want a motorcycle, but rather a car. That is an entirely different story. Then, above the car buyers are those for whom spending a few hundred thousand rmb on a motorcycle-toy (e.g., a Harley) is, once again, simply pocket change. The HD is just another status accoutrement (e.g., like a Rolex watch).

China's uneven development has resulted in several market distortions, most notably in real estate, but also in many other areas. My usual eat-out lunch costs me 4.5 rmb (which has recently increased from 4 rmb - a >10% increase) for a large, and tasty, donair-style chicken sandwich, and 1 rmb for a bottle of water. If I earned 2,500 rmb/month, my lunch expenditures would be felt by me (assuming 20 working days, that is 5.5*20=110rmb/month). If I earned an expat salary, say $10,000 (US)/month, the <$20/month for lunch is completely meaningless. In the words of Bill Gates ... a Big Mac still tastes the same.

[bikerdoc]

[MJH]

That is what the IMF report states, 30K RMB sq meter , that equates to $4,901 per sq m
China Property Prices
(Thousand RMB/Sq. m., sa,3mma)
http://www.imf.org/external/pubs/ft/...11/cr11192.pdf


This MSN article has it at $400.00 per sq ft. multiply that by 10.76 to convert to sq m and you have $4,304.00 per sq meter.
http://realestate.msn.com/article.as...entid=23375372


Numbeo is not conservative it has the prices at 48K sq m. $7,843.00 per sq meter.
http://www.numbeo.com/cost-of-living...a&city=Beijing




The prices of real-estate in NYC per sq are reportedly as much as two to three times that of Beijing?
All things in parity then the big difference is the ratio, earning much less obviously and paying a much higher percentage of net income per unit of housing


Thanks for pointing that out LJH, however BJ is an outlier, the findings actually do not fly in the face of anything on Numbeo, actually in degrees confirm its numbers. China is paying less not more for consumer goods because if paying 22% of your net income for housing then you are paying less for all others or you would become fiscally insolvent.


As for motorcycle specifically they fall under the need for transportation, they compete with public transit and automobiles. They are not the mode of choice in any nation, but can often be the only option for some, hence the regulations. Your correct not everyone is equal and more then less should stay off two wheels. Feeling compelled to ride and competent are often in common, the desire to ride is a requisite. The need to get someplace is not…with that as the only reason to get on and ride the results can be deadly.


I get bored of people not appreciating the USA and the true quality of life here. Looking at all cost of living as a percentage of income across all levels, hands down this is better then most if not all other nations.


I like equilibriums, balancing points, benchmarks and comparative metrics, I learn from studding them.
It is painful at times, I refer to that the feeling of ignorance leaving, it puts up a fight.


The whole point of any analysis of parity or in parity is ratio based.