A map released by the nonprofit Tax Foundation shows the value of goods worth $100 in every state in the US. Mississippi records highest value for the $100 bill and almost has $30 difference when compared to the nation’s capital Washington D.C.
On the basis of the data collected by the Bureau of Economic Analysis, Tax Foundation’s research has started measuring the phenomenon two years back in 2013. As a result, it published its data for the variance of price in various region of the nation.
Click to view the larger image:
The Tax Foundation found that the prices for goods and services are very cheaper in the states such as Kansas than in New York. For instance, Ohio is one of the low-price state, where you can buy $111.61 stuffs for $100. This suggests that Ohioans are eleven percent richer than the person who lives near the national capital.
The states such as “Mississippi ($115.21), Arkansas ($114.29), South Dakota ($114.16), Alabama ($114.03) and West Virginia ($113.12)” has more currency value than that of states such as “Columbia ($84.96), Hawaii ($86.06), New York ($86.73), New Jersey ($87.34) and California ($89.05.)”.
The real purchasing power in Mississippi is 36 percentages greater than that of the District of Columbia. On the other hand, if you have $50,000 as your income after tax in the state of Mississippi, you have to earn $68,000 in the District of Columbia to afford the same standard of living.
This is mainly due to the relationship between the two places with higher incomes, and also prices of resources such as lands. The people who stay with high costs of living pay higher salaries for the jobs, and higher pay is offered in order to make them adapt to the low purchasing power. Understanding the relationship is very important and it is not purely depends upon the above two matters. Some places such as North Dakota have high incomes even without high prices.[ Source ]