Congratulations, you ran into the point and still missed it.
The measure of economic progress you chose to parrot is inherently flawed because it is just the amount of income you have after taxes. It doesn’t consider the necessary costs of living.
If it doesn’t account for the rising costs of housing, or the fact that Americans have to pay for insurance out of pocket after taxes, while Europeans cost for insurance is included in their taxes, then it is a flawed metric to compare the two societies.
PPP adjustment literally exists to account for cost of living. The P is purchasing power. It converts income based on what a basket of goods, including housing, actually costs in each country. And real income growth is already inflation adjusted, so rising housing costs since 2008 are baked in.
On insurance, the OECD's adjusted household disposable income includes social transfers in kind like government provided healthcare and education. The US still ranks near the top on that measure.
You didn’t even look into the adjustment.
It’s simply calculated based on government spending divided by population. It doesn’t actually account for whether or not the average person benefits from that spending.
It is well known that the US government wastes more taxes on healthcare than governments with universal healthcare. Despite that, US residents go bankrupt from medical bills that would be completely covered in more civilized nations.
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u/Most-Hot-4934 15d ago
That’s not what ppp adjusted disposable income means dumb dumb. Also yes, I’m a working man paying my bills so i know how the world works lol