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I thought hard work paid off? This shows you that a free market alone doesn't create buying power.
Do you mean the average African has to work that much to buy half a liter of beer sold locally, or do you mean that the average African has to work that much to buy beer in the Western world at the exchange rate?
Purchasing power parity can be very different from exchange rates, so this distinction is not merely trivial or academic but is necessary to discuss the issue.
its all about education not race, average african american is a high school drop out working a dead end job, stop and buys a tall boy malt liquid on his way home
average white boy is a high school graduate wit maybe a year or two college making maybe 8 dollars more a hour. stops at store get a cold coke and heads home to family instead of staying out all night
its not race , its education and work ethics, they could be purple people
I thought hard work paid off? This shows you that a free market alone doesn't create buying power.
You cannot pick one product and make broad generalizations about it.
I live in Colorado. The price of fresh, not previously frozen, sea food is much higher here than it is in Seattle.
This is a classic example of supply and demand creating higher prices in one area.
The total beer output (supply) of the entire continent of Africa was 113 million barrels (132.5 hL) of beer,
To calculate a rough number of possible beer drinkers in Africa, you have to take:
- the total population: 1,100,000,000
- subtract children 15 and under (45% of the population): 500,000,000
- subtract the adult Muslim population (45% of the adult population): 270,000,000
to get 328 million possible beer drinkers.
Per capita, that leaves 0.34 barrels of beer per possible beer drinker.
The output (supply) of the U.S. was 196 million barrels (230 hL).
To calculate a rough number of possible beer drinkers in the US, you have to take:
- the total population: 314,000,000
- subtract children 15 and under (20% of the population): 63,000,000
- subtract the adult Muslim population (2% of the adult population): 6,000,000
to get 245 million possible beer drinkers.
Per capita, that leaves 0.8 barrels per possible beer drinker.
In other words the US has over 2x the amount of beer available per possible beer drinker.
Economy of scale. And basic supply problems. Barley doesn't readily grow in Africa. And while they use as much sorghum as they can, they still need barley for the enzymatic starch breakdown. Hops grow in temperate climates. It's harder to keep beer at the target fermentation and lagering temperatures in a hot environment.
Beer costs less in America because we produce all the raw materials -- from the grain to the can/bottle/keg -- right here.
Because the work of the average American generates more value than the work of the average African.
One of the reasons the American's work is more valuable is because his productivity is amplified by the installed capacity of the pre-existing infrastructure. All of that machinery, electrical grid capacity, dockyards, road networks, distribution systems, computing capacity, robotics, public sanitation, adds value to the work he produces. As does the law enforcement, both Criminal and Contract.
Yup.
Look at how something basic like farming is done in America. Heavily mechanized, not a lot of man hours, sophisticated irrigation systems, fertilizers, pesticides, etc, etc. In Africa, depending on the part, it's more subsistence farming often in very poor conditions.
Digging a big hole with an earth mover is pretty quick. You'd have to work a lot harder and longer to do the same job with hand shovels.
I thought hard work paid off? This shows you that a free market alone doesn't create buying power.
What does the ability to buy beer have to do with hard work ?? Firstly, beer is probably extremely expensive in Africa and is probably a luxury item. Next, the cost of living in most of Africa is extremely low compared to most of the US, hence the lower wages compared to the US.
A question on how long it takes for an African vs an American to pay off their homes would probably give you more reliable data, especially because most Americans keep their mortgages around for most of their lives, and if I were a "betting woman" (which I'm not!) I'd be willing to bet that most Africans paid off their homes much, much sooner than we do here in the US. But does that mean that it's unfair ? Of course not! THAT shows hard work, diligence and the belief that owing people money is a bad thing, vs how it is here in the US where many people are up to their eyeballs in credit card debt!
I thought hard work paid off? This shows you that a free market alone doesn't create buying power.
so why doesn't the average African make beer himself/herself?
as you can see many already said they do.
all it is after all is fermented food.
if they have some knowledge and skill then it should be easy for them.
they wouldn't even need to buy them.
they can at least farm correct?
if they cannot who's fault is that?
competition drives prices lower after all.
if they DO NOT WANT TO COMPETE THAT IS the reason why prices are high.
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