Wednesday , August 4 2021

# A comparison of the cost of fuel in Lebanon, the UK and the USA

DATA, the data for this survey is based entirely on the data obtained form the Internet web sites noted throughout:

LEBANON – (from “Invest in Lebanon”):

• 70% of the population generate an income of less that \$10,000 per year. (Data 2016).
• The average annual wage for those in gainful employment is \$25,000.
• Minimum wage in Lebanon is \$6,344 per annum.

UK – (from “Office of Statistics.”):

• The average annual wage is \$45,000
• Minimum annual wage is \$19,700 (based on 40 hours per week for 48 weeks)

USA – (Bureau of Labour Statistics)

• The average (median) annual wage is \$47,000
• Minimum annual wage (varying by State) from \$13290 to just above \$19,200 (based on 40 hours per week for 48 weeks)

Average Gasoline (petrol) prices (Global Petrol Prices (.com)):

• Lebanon – \$0.83 / litre
• UK – \$1.60 / litre
• USA – \$0.82 / litre

In about every country people complain about the price of petroleum gasoline (petrol, gas) but the prices vary considerably by country, so is it expensive? This study covers the price of petrol in three countries, Lebanon, UK and USA.

As this must be seen in perspective, this comparison takes into account only the average annual income. If the average cost of living in each country was also taken into account, noting the remaining cash after other living expenses having been extracted, the results would most likely be different. But for this simple comparison we will use only an average annual wage as an indicator of the “pain” of the cost of fuel.

So, let’s compare the annual wage and average petrol prices together. We will use 1 litre of fuel and assume a daily income (365 days per year) and deduce a % value.

Lebanon, bearing in mind that more than 70% of the population earn less than \$10,000 a year, taking the average daily wage as being \$68.50 and the price of 1 litre of petrol being \$0.83, therefore 1 litre of petrol is 0.12% of daily income. But, as 70% of the population earns less than \$27.40 per day, for them 1 litre of petrol is 0.3% of daily income.

In the UK the average annual wage is \$123.30 and the price of 1 litre of petrol is \$1.60, a therefore 1 litre of petrol is 0.13% of daily income.

In the USA the average wage is \$128.76 and the price of 1 litre of petrol is \$0.82, therefore 1 litre of petrol is 0.0063% of daily income

So, we can conclude that for the average:

• US citizen: fuel is 0.0063% of average daily income
• UK citizen: fuel is 0.13% of average daily income
• Lebanese citizen: fuel is 0.12% of average daily income for those in gainful employment, but for 70% of the Lebanese fuel is 0.3% of daily income

That is bad news for 70% of the Lebanese population who can complain the loudest, 30% can only complain as we in the UK do, but for the average US citizen, who probably complain the loudest, time to shut up and enjoy your cheap fuel.

Footnote: with the USA now outside of the Paris Agreement on global warming, and with their “give away” price of fuel, their already high contribution to the forthcoming environmental disaster will only add more “fuel to the fire” to this global catastrophe!