I wonder why America cant compete when it comes to wages? Im sure it has nothing to do with an inflated standard of living. Probably someone elses fault rather than our own im sure.
It has to do with major expenses.
Housing costs are astronomical in major cities, were most people live, and even in medium cities.
Healthcare costs are also astronomical, as are education costs.
When I was in grade school, there was the lesson about how people in “poor” countries had to live on $1 a day.
The teacher then had students try to eat for a couple days for just $1 each day.
Nice lesson, but the lesson ignored the difference in food costs between poor countries and rich countries.
During the past several years, there has been an issue in Egypt over the rising cost of “bread”, which is the staple food product for a large number of Egyptians.
The Egyptian bread seems to basically be a whole wheat pita type bread.
Each loaf seems to be a bit larger than what is usually sold as pita bread in the USA.
When I finally found a price, the unsubsidized Egyptian bread was around a tenth of what similar bread would cost in the USA, or even your average kaiser or hoagie roll, which has around the same number of calories.
The subsidized bread was even cheaper.
Certain foods like beef or other meats might be cheaper in the US.
Basically though, you can blame “lavish” lifestyles, but there are cost differences.
Other cost differences are government mandated.
You can technically live in a shack without running water or electricity, and some Americans do, but in most areas of the country, it’s probably illegal to reside that way for any longer length of time, and the government might come in and seize you property, or condemn it, especially if local politics wants to raise the value of surrounding properties.