Theory of [Beer] Relativity

Einstein's Theory of Relativity was something that boggled the minds of scientists for decades, therefore, I am not going to attempt to discuss it here. Instead, I am going to address a traveler's concept of relativity as it relates to price differences in countries. And the easiest benchmark in this case is Beer - common currency in [almost] every country!

The most I have paid for a beer is in Norway - $12, and the cheapest was in Czech Republic - about $1.30. For my examples, I use .5L (half a liter is a little more than one pint, or 16.9 ounces), of draft beer, seved in a decent bar, not purchased at a store. As you compare to prices in the US, then you think the $12 beer is REALLY expensive, and the $1.3 beer is REALLY cheap!  (This obviously depends on where you are - a $12 beer in a Las Vegas nightclub is about normal) However, if I sold you a beer in Czech Republic for $1.50 it would be an "expensive beer". If I sold you a beer for $10 in Norway it would be a "cheap beer". Thus we get into the relativity of it all.



A few weeks ago I overheard an Australian girl saying something about a big breakfast for "just 6 Euro" which she thought was a good price. She said that back home it would be about that. I thought, "yes, but you are not back home, you are in a small town in the south of Czech Republic - an  inexpensive country where you can get breakfast for 2 Euro!", but alas, I didn't have the heart to break her the news; she just seemed so happy with what she had paid. (To add a little vinegar to it, the hostel cost less than 15 Euro, so she paid over a third of that for breakfast alone!)

Most travelers, like I, are aware of the exchange rates of their home currency to the currency of the country they are visiting. This becomes a more painful reality when you go to places that have stronger currencies than that of your home country. (Like the Euro vs. Dollar and how the Dollar has been plummeting since I started my travels).  In actuality, knowing the exchange rate to your home currency is really only necessary when you actually exchange money or decide to make a big purchase. Since the rates fluctuate from day to day (and throughout the day) I will often watch the exchange and decide if I will pay with card, or cash, or if it is a good day, pull out more cash.

If you focus too much on comparing the costs to what you would pay back home, then you run the risk of not enjoying yourself enough because you are worrying about money rather than the experience. Not to say that you can't budget, just set that up beforehand and periodically "check-in" to see how you are doing. Don't drive yourself crazy doing the conversion with every purchase. I have realized that my costs overall will average out between "expensive" countries/locales and "inexpensive" countries/locales and that I can stick to my budget without thinking about how much I am spending all the time!

My recommendation to all, is to benchmark prices in the location you are in. Generally, touristy (center of town) places will be more expensive so just ask a local what is a reasonable cost. For me, the easiest benchmark is beer. You can quickly glance at a menu and usually judge the "pricy-ness" of an establishment based on how much they charge for a beer. So I always ask the locals, "what should a beer cost?" That way I know, if they charge 33CKN (about $1.85) for a beer in Czech Republic then I am paying more than I should!