In North America there is no shortage of complaints about the cost to drive a car and gasoline prices. But relative to the rest of the world like England where they have loony petrol taxes, or most of Europe, our prices are quite affordable (゜∀゜) A recent Bloomberg article compares the relative cost of gasoline prices in 60 different countries from most expensive to least. The countries were ranked in 2 different ways.
The first way is purely based on cost, so how much in US dollars to buy one gallon of gas (or 3.78 liters for those of us outside of the States :D) By this measurement Turkey has the most expensive gas in the study at $9.89 per gallon. Norway is number 2 at $9.63, still very expensive. Near the bottom of the rankings we have Kuwait, Saudi Arabia, and in last place, the least expensive country, is Venezuela at just $0.06 haha :O)
The second way is based on affordability, so what portion of an average person’s daily income can pay for a gallon of unleaded gas, starting from most unaffordable. On top of the list is Pakistan where the average daily income is just $3.55. Since gas costs about $4 per gallon there, the average person would have to work more than a whole day to afford one gallon of gas! Affordability wise, that’s the equivalent of Canadians or Americans paying well over $100 per gallon at the pumps. Yeah.. no thank you t(°_°t) India which has a population of 1.24 billion came in close at number 2 on the list. Below I’ve just gone and grabbed the stats for 3 countries out of 60. The lower the ranking the more affordable gas is.
Price per gallon of gasoline: UK $8.06
Rank by most expensive: 13
Rank by affordability: 39
Price per gallon of gasoline: $4.76
Rank by most expensive: 44
Rank by affordability: 53
Price per gallon of gasoline: $3.29
Rank by most expensive: 51
Rank by affordability: 56
So when you think about it, we’re quite lucky in North America here. Canadians only spend 3.3% of what we earn in a day to buy a gallon of gas. Meanwhile you have countries like China, which requires 26%. Not to mention India and Pakistan, which is even worse at 110%. Next time I fill up my car I’m going to think wow so cheap! If you live in the US, even better for you 🙂
Top Canadian Finance Blogs
I’m really stoked that fellow blogger Jeremy over at ModestMoney.com has nominated my blog again in his poll for the best finance blog in Canada this year. If you have a spare minute please go and vote for your favorite personal finance blogs 😀