In Argentina you need 50 salaries to buy an average car

Argentina and Uruguay top the list of Latin American countries where it is necessary to work more months to access a medium-sized car, such as the VW Golf.

Sa Uruguay needs 57.3 salaries, while Argentina needs 50.6. In contrast, Brazil is the country in the region where the minimum wage is required: only 11.1. Among those with moderate accessibility are Chile (27.2), Mexico (34.4), and Peru (42.6).

The data corresponds to a report produced by UADE. In high -income countries, the number of months of work required is lower: in the United States 5.14 salary is requiredin Germany, 6.43, and in Japan, 8.91 to buy a medium-sized car.

Purchasing power of wages measured by vehicles dropped by 15.4% in 2021. The accumulated loss since January 2017 is 48%.

This is happening because of Argentina, car prices have risen more than wages, more in inflation, and more in the official dollar, but less than the MEP dollar, which trades on the Buenos Aires stock market. This resulted in double the amount of required salary in three years, since then in 2019, 26.5 salaries are needed.

The rise in car prices in real terms is related to patenting, which has been falling since 2018. “In 2021, 5% less were patented than in 2020, representing only 43% of those registered in 2017”report details.

Since January 2017, car prices have risen 56.6%per year in Argentina, while wages have risen 37.1%, the price index (IPC) has grown 42.1%, the official dollar has climbed 44.7 % and the MEP dollar, 65.8%. noticeable.

In May 2019, 26.5 salaries were needed to buy a VW Golf, while in April 2021, 46.6 were needed, and in December 2020, 27.7 were needed.

AQ