A story in Saturday’s Financial Review ($) was relevant to my interests in more ways than one. The story included this quote from Professor Mark Wooden:
Melbourne Institute professorial research fellow Mark Wooden said mandatory penalty rates inhibited employment by artificially keeping costs high. “I just came back from Europe and you don’t think of Europe as being a cheap place for eating out but it is cheaper than Australia,” he said.
I decided to try and figure out if he was right: are European restaurants cheaper than Australia? If so, do they just seem cheap because of our elevated exchange rate?