Canadian consumers pay more despite dollar parity

(Canadian consumers pay more despite dollar parity
Updated Wed. Jun. 11 2008 6:41 PM ET

CTV.ca News Staff

The loonie may be bouncing around parity with the U.S. greenback, but a new study has found that Canadians are still paying significantly higher prices than Americans for exactly the same consumer goods.

According to the findings of a BMO Nesbitt Burns study by Deputy Chief Economist Douglas Porter, Canadians are paying an average of about 18 per cent more on everyday items like books, coffee, CDs and diapers.

For example, the study found:

A Coldplay CD that costs $12.99 in Canada, sold for $9.99 in the U.S., a difference of 30 per cent
Huggies pull-ups cost $18.97 in Canada, a full $4 more than at American stores
A Maytag washer and dryer costs about $350 more at a Canadian retailer than the same set sold at a U.S. store)
http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20080611/bmo_consumers_080611/20080611?hub=TopStories

isn't their minimum wage lower? doesn't that have something to do with it? (ie. cost of living) I don't know? it's not my "department".. lol.. just taking a guess..

Nothing like a weekend shopping spree to the states, also you can buy online and have it shipped to your door for US prices

A stove can be made in Canada and sold for $400 in the US and $600 here we are getting a bad deal

An easy comparison is a bigmac meal at mcdonalds.....which costs $4 for a meal there...and $6 here.....bs!

Their minimum wage is lower...but that shouldn't matter...our dollar is more, OUR's, not theirs, we should reap the benefits but America controls the world so we don't...

rye wrote:

but America controls the world

I think that will soon end but then what? We will be ruled by China instead

We are looking at a small freezer-I checked both sides of the border . For the same GE part number $279.00 here, $179.00 in Buffalo. How can you have a $100 spread on an inexpensive item like this ? Other brands even less less money. I am in Buffalo on business frequently so it's a no brainer.

Justice wrote:

isn't their minimum wage lower? doesn't that have something to do with it? (ie. cost of living) I don't know? it's not my "department".. lol.. just taking a guess..

That has to be part of it. Our minimum wage is what, close to $8. In the US it is under $4?

Spidubic wrote:

Justice wrote:

isn't their minimum wage lower? doesn't that have something to do with it? (ie. cost of living) I don't know? it's not my "department".. lol.. just taking a guess..

That has to be part of it. Our minimum wage is what, close to $8. In the US it is under $4?

there is no federal minimum wage in canada. it varies provincially. the US has a federal minimum wage ($5.85/hr i think) but not many states abide by it. they set their own which, in most cases, exceeds the federal rate.