According to a report in the newspaper Ta Nea, the collapse of income in Greek households (which on average exceeds 30%), in combination with relatively high prices on basic goods, means that Greek family budgets are hit the hardest by the weekly trip to the supermarket, even in comparison with traditionally ‘expensive’ countries.

Portugal vs Holland

When the average prices of 20 basic goods on supermarket shelves (eg rice, bread, milk, eggs, olive oil etc) in Greece Portugal, Holland and Luxembourg are compared (using data from the European Commission’s Detailed Average Price Report, November 2013) Greeks face the highest prices when theses are expressed as a proportion of their incomes.

Specifically a shopping basket with the 20 basic good in Greece costs 63.4 euros, while minimum wage in the country comes to 586 euros a month. As such to purchase the goods a Greek on minimum wage needs to spend 10.81% of his/her monthly income.

In Holland by comparison the the minimum monthly wage is 1,478 euros
while the same 20 goods cost 50.3 euros, or 3.4% of minimum monthly income. In other words Greeks making minimum wage spend roughly 3 times the proportion of their income than the Dutch on basic goods.

In Luxembourg the basic goods are more expensive coming to 70.53 euros. However minimum wage is also higher in the country at 1,874 euros per month. As such the cost of  20 basic goods is only 3.7% of minimummonhtly income.

Perhaps a more comparable situation is the case of Portugal – another memorandum country in which austerity measures have been imposed. Yet even here where minimum wage is lower than in Greece coming to 485 euros, the basket of goods is also cheaper coming to 46,48 euros, or 9.58% of the minimum monthly wage.