American Dollars to Euro/Pounds?

[Fearless Leader]

I've been looking at cars and read some international reviews. Currency conversions and other economies never really came up as a big factor in my mind untill now with the larger numbers.

the same 22000$ (American) car costs 20000 UK pounds, or 40000$ (american). .

am i missing something? does the american dollar suck that badly or do other countries just make more than hear? or do we just buy cars at a steal.

 

[wonga1127]

When the dollar is low its cheaper to buy things domestically. Its made here with labor and parts paid for with the dollar, so it all evens out, no matter how crappy the dollar is.

 

[pseudobrit]

does the american dollar suck that badly

Yes.

 

[Fearless Leader]

Yes.

ohh thats disgusting. I just looked it up. 1.4264 dollars to a euro. I may be able to buy a loaf of bread when I move to Germany with my life savings.

 

[CybrMike]

So buy stock in businesses that make money in euros.

 

[Abstract]

Its made here with labor and parts paid for with the dollar, so it all evens out, no matter how crappy the dollar is.

Really? What percentage of the things you buy are made in America? I'm guessing it's a low figure, but you tell me.

 

[adk]

So buy stock in businesses that make money in euros.

Doesn't quite work that way. No matter what currency a company uses, they still have to turn a profit to make money for their stockholders.

 

[mfacey]

Its not only exchange rates that are causing the ridiculously high prices in Europe. I know for a fact that over half of the price of a new car in the Netherlands is tax. The $20000 car in the US shouldn't cost more than that in Europe, except that the price gets doubled by the government
The situation is pretty much the same in all western European countries.

 

[edesignuk]

ohh thats disgusting. I just looked it up. 1.4264 dollars to a euro. I may be able to buy a loaf of bread when I move to Germany with my life savings.

The $ is at record lows against the €, and it's only getting worse. Just as well you're not moving to the UK where not only is everything expensive anyway, but the exchange rate means that $1 gets you ~£0.49

 

[scotthayes]

The $ is at record lows against the €, and it's only getting worse. Just as well you're not moving to the UK where not only is everything expensive anyway, but the exchange rate means that $1 gets you ~£0.49

Friends of mine from Rhode Island were over in the summer and the $-£ killed them, the shock of spending nearly $120 to fill a car with petrol was real kicker for them.

But on the plus side, America only seems to pay around 5-8% sales tax where we get hit with 17.5% VAT on purchases, and that includes food if you eat it at the place you bought it...

When we buy a car over here, 17.5% of the cost is VAT. plus there is normally around another £500 for the licence plate, road tax and delivery.

Talking of road tax, I have to pay over £200 a year just to drive my car on the road, plus around 65% of the cost of the fuel goes to the government.

 

[OllyW]

Friends of mine from Rhode Island were over in the summer and the $-£ killed them, the shock of spending nearly $120 to fill a car with petrol was real kicker for them.

But on the plus side, America only seems to pay around 5-8% sales tax where we get hit with 17.5% VAT on purchases, and that includes food if you eat it at the place you bought it...

When we buy a car over here, 17.5% of the cost is VAT. plus there is normally around another £500 for the licence plate, road tax and delivery.

Talking of road tax, I have to pay over £200 a year just to drive my car on the road, plus around 65% of the cost of the fuel goes to the government.

And if all that isn't bad enough, you live in Birmingham

 

[Nermal]

and that includes food if you eat it at the place you bought it...

Can you go into a little more detail here? Do you mean to say that there's no tax if you take the food away? What about a supermarket?

 

[scotthayes]

Can you go into a little more detail here? Do you mean to say that there's no tax if you take the food away? What about a supermarket?

Supermarkets do add VAT, although most basic foods are exempt.

But the real kicker, you go to Starbucks and buy a sandwich. If you eat it at Starbucks you have to pay VAT, if you don't then the tax is taken off the price.

As with anything to do with the tax man nothing is simple.

Food intended to be hot is normally taxable, unless you provide no way of heating the food. But if for example you put a microwave oven in a store for customers to heat the food the purchase then it is taxable.


Have fun reading this.

http://customs.hmrc.gov.uk/channels...HMCE_CL_000160&propertyType=document#P24_1042

 

[Abstract]

Really? I just thought that take-away was cheaper because you weren't sitting in their establishment. If you sit in one of their seats for 30 minutes, reading your novel, you're going to pay an extra 30 p for that coffee.

 

[scotthayes]

Really? I just thought that take-away was cheaper because you weren't sitting in their establishment. If you sit in one of their seats for 30 minutes, reading your novel, you're going to pay an extra 30 p for that coffee.

They don't charge it for sitting in their seats.

http://customs.hmrc.gov.uk/channels...MCE_CL_000160&propertyType=document#P103_9299

 

[Abstract]

Didn't check the link. I believed you, but I meant to say I just learnt something new.

 

[scotthayes]

Didn't check the link. I believed you, but I meant to say I just learnt something new.

I typed my reply while talking to my students about DNS... Didn't mean to imply you were distrusting me