From the study carried out for 42 countries of the world, It was concluded that in Argentina the relative price of clothing and footwear (price of clothing and footwear divided by the general price level) grew by 7.8% between September 2017 and September 2021, and registered the largest increase in the sample.
Of the 42 countries analyzed, only Argentina and Japan show a rise in the relative price of Clothing and footwear. In the remaining 40 countries, these goods became cheaper compared to the general price level. “There is a clear downward trend (the simple average of the relative prices of the entire sample falls 2.25% per year on average in the four years analyzed),” the report said.
To complete the batch of countries with the highest growth, we only have to add Japan, where it grew by 0.7%. Among the countries with the lowest relative price drop are Switzerland (-0.8%), India (-0.9%) and Spain (-1.8%). At the other extreme, Turkey recorded a 24% drop in the relative price of Clothing and Footwear. The batch of the 5 countries with the greatest price drop is completed with Chile (-18.2%), Poland (-17.5%), Norway (-16.1%) and Israel (-15.6%).
“Taking into account that in Argentina the wage had a nominal evolution lower than the general price level, it can be affirmed that it lost even more purchasing power in terms of clothing and footwear. That is, there was an impoverishment of those who had a Income evolution below the general level of prices, in terms of clothing and footwear, “closed the analysts.