Calling all [[Michigan (Ross)]] 2008 applicants...

On the other hand, current average salary in Russia in only $6.7K per year ($11.3K in Moscow city), however recent MBA's from top b-schools working in Russia have no problems repaying their loans. That's because there's a huge salary differentiation.

On the other hand, current average salary in Russia in only $6.7K per year ($11.3K in Moscow city), however recent MBA's from top b-schools working in Russia have no problems repaying their loans. That's because there's a huge salary differentiation.[/quote]
I think that Czech Republic has less wage differentiation than Russia does. Czech Republic doesn't have any oil, gas, large enterprises except Skoda (Volkswagen) and even the latter stays in a competitive low-margin market that doesn't opt for a high salary inside this country.

WOW the avg. salary in Moscow is USD 11.3 K ?!?!?!?! Isn't Moscow one of the most expensive cities in the world? How do people survive there with such high expenses and such low salaries?

Some people from my company go to Moscow for one-month exchanges and they get allowances of 100 EUR per day plus they have accomodation paid for and they still complain that they can hardly make ends meet. So how do normal people survive financialy in Moscow

The same thing happens in Brazil, although the average salary is even below that of Russia, Consultants, I-Bankers and Management positions pays almost the same as in US, and with a lower cost of living one has a financial condition even better than one would in US (just financially speaking, and right after the MBA).

We shouldn't look at country average salary without the standard deviation , and in those countries the STDEVs are very big...

I think that Czech Republic has less wage differentiation than Russia does. Czech Republic doesn't have any oil, gas, large enterprises except Skoda (Volkswagen) and even the latter stays in a competitive low-margin market that doesn't opt for a high salary inside this country.[/quote]
This is called Gini coefficient - the closer it is to 100, the less equally income is distributed in a country. For Czech Republic this coefficient equals 27.3, that is the bottom part of the list, for Russia - 40 (CIA World Factbook, 2003).

THE most expensive However, the way they calculate it is funny. Basically, they see, how much does it cost for an expat in Moscow to continue the same living style as in his/her home country. Naturally, locals always opt for less expensive housing, food, entertainment, etc., then expats, who have most of the expences compensated by a company anyways. Even in my company, apartments rented for my foreign colleagues are 5-10 times more expensive, than apartments owned or rented by my Russian colleagues. Same goes for food for example - foreigners will buy it in the high-end supermarkets in the downtown, while Russians would go for cheaper cash'n'carries, etc.

This is called Gini coefficient - the closer it is to 100, the less equally income is distributed in a country. For Czech Republic this coefficient equals 27.3, that is the bottom part of the list, for Russia - 40 (CIA World Factbook, 2003).[/quote]

That's true. However, I do not think that salary in the Prague McKinsey office is much different from salary in the Moscow office.

I would say that comparing to other cities in Russia food (when you go to Auchan/Ramstor), clothes, electronic, home appliances are cheaper and all the services (rent, restaurants, concerts, transport, fitness) are quite expensive. And certainly, as helg noted, it depends on the life-style and ability to find a better deal, knowing why something is cheaper at some place.

Interesting map! Kudos to you!
Interesting - both Australia and Afghanistan are green, but for the different reason's of course. And GREENland is oh-so-green!

Never heard about that, I know that Lisbon has another one, not sure about the direction. Will research this night...

Kudos for the map

Interesting... so Canada is as bad as Russia in terms of income inequality

I wouldn't say that something is bad due to some reason There are pros and cons in every situation. If there is a huge inequality you should think about living in a good block, where you and your children will feel secure, if you satisfy certain requirements, you can get a decent job. Otherwise you live in poverty and don't know what to do. In countries with more equal incomes you do not feel great difference passing one block after another, you feel safer everywhere, but also you can hardly get a chance of increasing your income in short time.

Or... Russia is as good as Canada in terms of income equality!

But only if you take into consideration income equality... There are other interesting items to think about: Russia has been developing rather fast since 1998, oil price is very high and it pulls up industries connected with oil production and consumer market. Consumer market pulls in some industries for having local production - such as automotive, for example. Canada, and you can correct me, as I do not have pretty close relationships with anyone living there, has been stagnating in terms of economy and doesn't show any boom in any case. Income inequality could be caused mostly by the historical factors and previous growth.
At the same time, Russia tends to have more authoritarian political system with significant influence of certain economic groups who are now trying to re-distribute profitable and strategically interesting companies into their favour. Canada has more democratic system and this causes greater stability of incomes

RED, I don't think Canada's economy is stagnating. It is not experiencing a boom as in the case of India or China, but the economy has been growing steadily. The outlook for 2008 is that domestic spending will be robust with growth estimated to be 3.4%. The growth will also be spurred by expensive oil (Canada has one of the largest reserves, albiet difficult to extract), the strong Canadian dollar, and sales tax cuts that were introduced this year. These factors should make for a strong domestic economy. Exports to the US however will be hit due to the high Canadian dollar. All in all the outlook for 2008 is optimistic.

It's better to say - doesn't experience significant growth. That is comparing to SW Asia, Russia, some Latin American countries looks like a bit boring... BTW, what are the main industries (domestic production, export) in Canada and in which industries concentrates the main economic life? From this side of the globe Canada, UK, Australia, New Zealand seem to be safe places to take rest after challenges in India, Brazil, China, Russia, Singapore, Malaysia. Just want to learn more from people who are inside or have strong understanding of what's happening in these countries.

RED, the main industry is services accounting for about 33% of the economy. Canada's exports are mainly in the following industries: Machinery and equipment, automotive products, metals and plastics, forestry products, agricultural and fishing products, energy products. The last one, has seen significant growth on account of the rising price of oil. Canada is also traditionally very focused on nuclear power and has been taking initiatives for the generation of clean power.
Canada is also an awesome country to live, work, and retire. I moved here from India when I was 19 and have absolutely no regrets. I was welcomed and given every opportunity to settle in and then contribute. I can honestly say that I am proud to be Canadian!