The dollar’s purchasing power in California is 84 cents based on the regional cost of items such as housing, groceries and services in 2019, according to a new analysis from the website 24/7 Wall St. California is tied with New York and New Jersey for the worst value in the U.S.
Goods and services in states where household incomes are below the U.S. average tend to be less expensive than in states with household incomes above the national median of $59,729, the study concludes.
Each state’s dollar value was estimated by dividing 100 (the dollar’s base value) by estimates for regional price parity, based on the Bureau of Economic Analysis’ 2019 data, the most recent numbers available.
California has a 2020 personal income per capita of $71,480. That figure was compared to the state’s dollar value and price parity number to calculate the effective personal income of residents on average – $59,757.
The median home value in the state, $568,500, reflects the 2019 U.S. Census Bureau’s American Consumer Survey.
This article was originally posted on Dollar value in California amounts to 84 cents based on cost of living