Here is
precisely how things differ in my country. I live in Romania, in a small town.
The minimum wage in Romania is 407,45 Euros a month,
before taxes. Taxes are 35 percent of that amount. The net income for a minimum wage is 264 Euros a month. I make a little more than that, I have 289 Euros a month net income. But now comes the most interesting part:
About
46% of the employees in Romania are paid the minimum wage. Added link for reference.
Almost half of employees in Romania earn the minimum wage | Romania Insider
But wait, it gets worse. That 46 percent is the national average. In small cities, the minimum wage jobs represent a much higher percentage than that, because the distribution from the big cities influences the average. In towns the size of my town, it is more like 70%. Seven people in ten make minimum wage.
Do you know what is the highest percentage of people earning minimum wage by state in USA ?
Kentucky, with
four point four percent.
Now, the prices of the bare minimum for survival are calibrated by the market for this minimum wage, sometimes in strange ways. For example, Internet and cable subscription costs 3 euros a month. In total, not each. Food, utilities, etc, they all fit in 289 Euros a month, but only if I am extremely careful and ration everything. And at the end of the month, zero cents in the bank account.
But there are some classes of products and services i just cannot afford, because the prices are calibrated for Western Europe and USA incomes. And 46 % of the people in my country cannot afford them. Let me just name a few:
A 1000 Euros computer ? Never. I saved one year for a second hand 5 year old partial upgrade. My monitor is 9 years old. My TV is 11 years old. Bought second hand of course.
A 2000 euros vacation in a foreign country ? Never in the lifetime of 46 percent of Romanians.
Last time I went to the cinema was like 4 years ago, and a movie ticket is just 2 euros.
I don't want to sound like I am whining, I am just presenting the reality of poverty. Our poor people are in a worse state of poverty than the USA poor people. A poor person in the USA makes what ? 7 USD per HOUR minimum wage ? And our poor people are 46 percent of the population.
It is true, I have the misfortune to be closer to that 46 percent of the population than to the 16 percent of Romanians that earn monthly the amazing net sum of 455 Euros per month. I am entirely to blame for that, made the wrong choices, etc... But when in USA the chances that you will end up on minimum wage are 4 percent and in Romania are 46 percent, I would say the odds were stacked against me.
Thank you for reading.