The list of countries by price level contains shows countries by their price level index. The data has been collected by the World Bank's International Comparison Program since the 1970s and has been available for almost all World Bank member states and some other territories since 1990. The Global price level, as reported by the World Bank, is a way to compare the cost of living between different countries. It's measured using Purchasing Power Parities (PPPs), which help us understand how much money is needed to buy the same things in different places. Price level indexes (PLIs), with the world average set at 100, are calculated by dividing the purchasing power parities (PPPs), where 1 PPP equals 1 US dollar in the US, by the market exchange rates, also equated to 1 US dollar. These ratios are then adjusted to align with the global average, which is standardized at 100. When the PLI exceeds 100, it signifies that the prices in that economy are above the global average. Conversely, a PLI below 100 suggests that the prices are below the world average. [1]
Rank | County/Territory | Global price level (% of world average) [2] | Year |
---|---|---|---|
1 | Bermuda | 193.5 | 2021 |
2 | Barbados | 188.9 | 2021 |
3 | Cayman Islands | 184.7 | 2021 |
4 | Switzerland | 181.4 | 2021 |
5 | Israel | 179.1 | 2021 |
6 | Iceland | 177.1 | 2021 |
7 | Turks and Caicos Islands | 172.8 | 2021 |
8 | Australia | 168.6 | 2021 |
9 | Norway | 165.3 | 2021 |
10 | New Zealand | 163.2 | 2021 |
11 | Faroe Islands | 160.7 | 2021 |
12 | United States | 158.5 | 2021 |
13 | Denmark | 157.0 | 2021 |
14 | Bahamas | 154.9 | 2021 |
15 | Luxembourg | 153.6 | 2021 |
16 | Sweden | 153.5 | 2021 |
17 | Canada | 149.1 | 2021 |
18 | Finland | 146.7 | 2021 |
19 | US Virgin Islands | 143.8 | 2021 |
20 | Japan | 142.5 | 2021 |
21 | Ireland | 141.6 | 2021 |
22 | United Kingdom | 140.5 | 2021 |
23 | Netherlands | 137.5 | 2021 |
24 | Austria | 133.7 | 2021 |
25 | Greenland | 132.9 | 2021 |
26 | San Marino | 132.6 | 2021 |
27 | Belgium | 132.3 | 2021 |
28 | Germany | 131.6 | 2021 |
29 | France | 128.5 | 2021 |
30 | Puerto Rico | 127.5 | 2021 |
31 | Anguilla | 123.0 | 2021 |
32 | Aruba | 120.6 | 2021 |
33 | Hong Kong | 119.7 | 2021 |
34 | Italy | 115.7 | 2021 |
35 | South Korea | 114.6 | 2021 |
36 | Curacao | 113.9 | 2021 |
37 | Andorra | 113.3 | 2021 |
38 | Spain | 110.7 | 2021 |
39 | Saint Kitts and Nevis | 108.2 | 2021 |
40 | Cyprus | 107.0 | 2021 |
41 | Kuwait | 106.3 | 2021 |
42 | Antigua and Barbuda | 106.1 | 2021 |
43 | Malta | 103.5 | 2021 |
44 | Palestine | 102.9 | 2021 |
45 | Uruguay | 102.3 | 2021 |
46 | United Arab Emirates | 101.9 | 2021 |
47 | Grenada | 100.8 | 2021 |
48 | Portugal | 100.8 | 2021 |
49 | Slovenia | 99.9 | 2021 |
50 | China | 97.9 | 2021 |
51 | Greece | 97.5 | 2021 |
52 | Qatar | 97.0 | 2021 |
53 | Macao | 96.9 | 2021 |
54 | Singapore | 95.6 | 2021 |
55 | Trinidad and Tobago | 92.1 | 2021 |
56 | Slovakia | 91.3 | 2021 |
57 | Latvia | 90.2 | 2021 |
58 | Chile | 88.3 | 2021 |
59 | Czech Republic | 87.8 | 2021 |
60 | Saint Lucia | 86.8 | 2021 |
61 | Zimbabwe | 85.8 | 2021 |
62 | Maldives | 84.6 | 2021 |
63 | Saint Vincent and the Grenadines | 84.5 | 2021 |
64 | Haiti | 84.4 | 2021 |
65 | Costa Rica | 84.3 | 2021 |
66 | Dominica | 84.0 | 2021 |
67 | Jamaica | 83.9 | 2021 |
68 | Belize | 83.9 | 2021 |
69 | Albania | 82.1 | 2021 |
70 | Cape Verde | 81.9 | 2021 |
71 | Lithuania | 81.4 | 2021 |
Taiwan | 81.4 | 2021 | |
73 | Saudi Arabia | 80.7 | 2021 |
74 | Djibouti | 80.4 | 2021 |
75 | Panama | 79.4 | 2021 |
76 | Oman | 79.3 | 2021 |
77 | Seychelles | 79.2 | 2021 |
78 | South Africa | 79.1 | 2021 |
79 | Bahrain | 78.3 | 2021 |
80 | Mexico | 77.7 | 2021 |
81 | Hungary | 76.9 | 2021 |
82 | Croatia | 76.4 | 2021 |
83 | Comoros | 72.9 | 2021 |
84 | Jordan | 72.4 | 2021 |
85 | Namibia | 72.0 | 2021 |
86 | Ecuador | 71.1 | 2021 |
87 | Peru | 70.8 | 2021 |
88 | Poland | 70.7 | 2021 |
89 | Gabon | 70.0 | 2021 |
90 | Brazil | 69.8 | 2021 |
91 | Fiji | 69.6 | 2021 |
Honduras | 69.6 | 2021 | |
Morocco | 69.6 | 2021 | |
94 | Central African Republic | 69.1 | 2021 |
Liberia | 69.1 | 2021 | |
96 | Botswana | 68.9 | 2021 |
97 | Guyana | 68.3 | 2021 |
98 | El Salvador | 68.1 | 2021 |
99 | Turkmenistan | 68.0 | 2021 |
100 | Democratic Republic of the Congo | 67.3 | 2021 |
101 | Lesotho | 66.4 | 2021 |
102 | Bulgaria | 65.8 | 2021 |
São Tomé and Príncipe | 65.8 | 2021 | |
104 | Guatemala | 65.7 | 2021 |
105 | South Sudan | 65.6 | 2021 |
106 | Equatorial Guinea | 65.4 | 2021 |
107 | Serbia | 64.8 | 2021 |
108 | Ivory Coast | 64.4 | 2021 |
109 | Republic of the Congo | 63.7 | 2021 |
110 | Argentina | 63.2 | 2021 |
111 | Eswatini | 63.2 | 2021 |
Mauritius | 63.2 | 2021 | |
113 | Brunei | 62.8 | 2021 |
114 | Somalia | 62.5 | 2021 |
115 | Romania | 62.4 | 2021 |
116 | Bosnia and Herzegovina | 62.3 | 2021 |
Philippines | 62.3 | 2021 | |
Timor-Leste | 62.3 | 2021 | |
119 | Paraguay | 62.2 | 2021 |
120 | Libya | 61.9 | 2021 |
121 | Chad | 61.6 | 2021 |
122 | Dominican Republic | 61.3 | 2021 |
123 | Kenya | 61.2 | 2021 |
Montenegro | 61.2 | 2021 | |
125 | Niger | 60.8 | 2021 |
126 | Senegal | 60.7 | 2021 |
127 | Benin | 60.3 | 2021 |
128 | Iraq | 59.7 | 2021 |
129 | Ghana | 58.6 | 2021 |
130 | Malawi | 58.4 | 2021 |
131 | Guinea-Bissau | 58.2 | 2021 |
Mali | 58.2 | 2021 | |
133 | Lebanon | 58.0 | 2021 |
Nigeria | 58.0 | 2021 | |
135 | Malaysia | 57.9 | 2021 |
136 | Togo | 57.8 | 2021 |
137 | Burkina Faso | 57.1 | 2021 |
138 | Bolivia | 56.4 | 2021 |
139 | Colombia | 55.7 | 2021 |
140 | Mozambique | 55.4 | 2021 |
141 | Cameroon | 55.3 | 2021 |
142 | Cambodia | 55.2 | 2021 |
Thailand | 55.2 | 2021 | |
144 | North Macedonia | 54.0 | 2021 |
145 | Moldova | 53.3 | 2021 |
Indonesia | 53.3 | 2021 | |
147 | Uganda | 53.1 | 2021 |
148 | Mauritania | 52.9 | 2021 |
149 | Bangladesh | 52.7 | 2021 |
150 | Tanzania | 52.6 | 2021 |
151 | Sierra Leone | 52.3 | 2021 |
152 | Eritrea | 51.9 | 2021 |
153 | Russia | 51.0 | 2021 |
Zambia | 51.0 | 2021 | |
155 | Guinea | 50.6 | 2021 |
156 | Tunisia | 49.7 | 2021 |
157 | Laos | 49.5 | 2021 |
158 | Burundi | 48.9 | 2021 |
159 | Vietnam | 48.7 | 2021 |
160 | Madagascar | 48.6 | 2021 |
Turkey | 48.6 | 2021 | |
162 | Mongolia | 48.4 | 2021 |
163 | Rwanda | 48.1 | 2021 |
164 | Kazakhstan | 48.0 | 2021 |
165 | Nicaragua | 47.5 | 2021 |
166 | Armenia | 46.6 | 2021 |
167 | Algeria | 45.5 | 2021 |
168 | Gambia | 45.4 | 2021 |
169 | Ethiopia | 44.8 | 2021 |
170 | India | 44.4 | 2021 |
171 | Sri Lanka | 44.2 | 2021 |
172 | Angola | 43.7 | 2021 |
173 | Nepal | 43.6 | 2021 |
174 | Belarus | 43.0 | 2021 |
175 | Iran | 43.0 | 2021 |
176 | Azerbaijan | 42.6 | 2021 |
177 | Georgia | 42.5 | 2021 |
178 | Ukraine | 42.4 | 2021 |
179 | Pakistan | 42.3 | 2021 |
180 | Bhutan | 42.0 | 2021 |
181 | Suriname | 41.5 | 2021 |
182 | Egypt | 39.0 | 2021 |
183 | Uzbekistan | 38.7 | 2021 |
184 | Myanmar | 38.0 | 2021 |
185 | Kyrgyzstan | 37.3 | 2021 |
186 | Sudan | 36.6 | 2021 |
187 | Tajikistan | 35.6 | 2021 |
188 | Syria | 30.7 | 2021 |
189 | Afghanistan | 26.4 | 2021 |
Per capita income (PCI) or average income measures the average income earned per person in a given area in a specified year.
The gross world product (GWP), also known as gross world income (GWI), is the combined gross national income of all the countries in the world. Because imports and exports balance exactly when considering the whole world, this also equals the total global gross domestic product (GDP). According to the World Bank, the 2013 nominal GWP was approximately 75.59 trillion United States dollars. In 2017, according to the CIA's World Factbook, the GWP was around $80.27 trillion in nominal terms and totaled approximately 127.8 trillion international dollars in terms of purchasing power parity (PPP). The per capita PPP GWP in 2017 was approximately 17,500 international dollars according to the World Factbook. According to the World Bank, the 2020 GWP in current dollars was approximately $84.705 trillion.
Purchasing power parity (PPP) is a measure of the price of specific goods in different countries and is used to compare the absolute purchasing power of the countries' currencies. PPP is effectively the ratio of the price of a market basket at one location divided by the price of the basket of goods at a different location. The PPP inflation and exchange rate may differ from the market exchange rate because of tariffs, and other transaction costs.
The Big Mac Index is a price index published since 1986 by The Economist as an informal way of measuring the purchasing power parity (PPP) between two currencies and providing a test of the extent to which market exchange rates result in goods costing the same in different countries. It "seeks to make exchange-rate theory a bit more digestible." The index compares the relative price worldwide to purchase the Big Mac, a hamburger sold at McDonald's restaurants.
The world economy or global economy is the economy of all humans in the world, referring to the global economic system, which includes all economic activities conducted both within and between nations, including production, consumption, economic management, work in general, financial transactions and trade of goods and services. In some contexts, the two terms are distinct: the "international" or "global economy" is measured separately and distinguished from national economies, while the "world economy" is simply an aggregate of the separate countries' measurements. Beyond the minimum standard concerning value in production, use and exchange, the definitions, representations, models and valuations of the world economy vary widely. It is inseparable from the geography and ecology of planet Earth.
The Penn effect is the economic finding that commodity prices are higher in countries with higher income.
Poverty in India remains a major challenge despite overall reductions in the last several decades as its economy grows. According to an International Monetary Fund paper, extreme poverty, defined by the World Bank as living on US$1.9 or less in purchasing power parity (PPP) terms, in India was as low as 0.8% in 2019, and the country managed to keep it at that level in 2020 despite the unprecedented COVID-19 outbreak. According to the World Bank, India experienced a significant decline in the prevalence of extreme poverty from 22.5% in 2011 to 10.2% in 2019. A working paper of the bank said rural poverty declined from 26.3% in 2011 to 11.6% in 2019. The decline in urban areas was from 14.2% to 6.3% in the same period. The poverty level in rural and urban areas went down by 14.7 and 7.9 percentage points, respectively. According to United Nations Development Programme administrator Achim Steiner, India lifted 271 million people out of extreme poverty in a 10-year time period from 2005–2006 to 2015–2016. A 2020 study from the World Economic Forum found "Some 220 million Indians sustained on an expenditure level of less than Rs 32 / day—the poverty line for rural India—by the last headcount of the poor in India in 2013."
The international dollar, also known as Geary–Khamis dollar, is a hypothetical unit of currency that has the same purchasing power parity that the U.S. dollar had in the United States at a given point in time. It is mainly used in economics and financial statistics for various purposes, most notably to determine and compare the purchasing power parity and gross domestic product of various countries and markets. The year 1990 or 2000 is often used as a benchmark year for comparisons that run through time. The unit is often abbreviated, e.g. 2000 US dollars or 2000 International$.
This article includes several ranked indicators for Chile's regions.
The Penn World Table (PWT) is a set of national-accounts data developed and maintained by scholars at the University of California, Davis and the Groningen Growth Development Centre of the University of Groningen to measure real GDP across countries and over time. Successive updates have added countries, years (1950-2019), and data on capital, productivity, employment and population. The current version of the database, version 10, thus allows for comparisons of relative GDP per capita, as a measure of standard of living, the productive capacity of economies and their productivity level. Compared to other databases, such as the World Bank's World Development Indicators, the time period covered is larger and there is more data that is useful for comparing productivity across countries and over time.
The International Comparison Program is a partnership of various statistical administrations of up to 199 countries guided by the World Bank. The main partners of this program are the World Bank, IMF, UN, ADB, OECD, CISSTAT, Eurostat, AfDB ESCWA, ECLAC, DFID, ABS, IDB, NMoFA who are also all part of the executive board.
Milton Gilbert was an economist and finance expert who worked at the United States Department of Commerce, Organisation for European Economic Cooperation (OEEC) and Bank for International Settlements.
Irving B. Kravis was an American economist, best known for his work on international price comparisons, leading to the first version of the Penn World Table.
The GauEKS (Gini-Éltető-Köves-Szulc) method is an approach for comparing prices across countries. It is used by the International Comparison Program (ICP) at the World Bank for calculating global relative prices, or purchasing power parities. The method's name comes from the surname initials of four contributors: Corrado Gini (1930), Eltetö Ödön, Pál Köves (1964), and Bohdan Szulc (1964).