Cost of living is largely diversified in different cities. Food, utilities, rent, and transportation are expenses each individual need to pay every month. The cost of living in Honolulu is high. It is at 168 based on the international proportionate distribution of 100. The cost of living is 68% higher in the city compared to average cities in the US. Individual staggering distinctions are elucidated in basic food staples, like bread priced at $3.27, in comparison to $1.50 in Phoenix, and a general national price of $1.36. The cost of other basic commodities, such as potatoes, toilet paper and other items, are generally 30-100% higher compared to other cities across the US.
The proportional distribution of an individual’s income in the city is about $28,883 as conveyed by the United States Census Bureau. A comparison of income between Honolulu other cities, e.g. Austin at an income of $16,121 and Texas at an income equivalent to $28,883 were done. Simply put, that means that a person can take a 44 percent pay cut and can still hold on to the same lifestyle.
What makes these figures so exceedingly skewed is the price of entitled land which can be developed. In Hawaii, land values are usually up. According to a study on Honolulu events, the pricing of an average house in is almost thrice the price of an average house anywhere in the United States. Prices of homes in are over $700,000 and are contriving to develop quicker than wage increase. This will make it harder to retain the workforce. Majority of segments in commercial real estate business are short of supply with exemption of office buildings; thus increasing the rent and price. This will cause a further increase on cost of Honolulu living. This is the reason why many individuals can’t afford to live in city.
The study on Honolulu events also indicated that there are many resort business operators that currently provide homes for their staff. If homes are not provided, it will result to lack of workers to operate the business due to high cost of Honolulu living.