WillTravel

Kate Simon's 1972 book about Rome mentions that you could stay at a pensione in Trastevere, and have all your meals, for $4/day. On the other hand, the top hotels in Rome (I think the Hassler was mentioned, among others) cost about $25/day. This was in US dollars.

Today, if you really try, you could find a convent in Trastevere which would be able to give you a room and three meals for about 80 Euros per day. I doubt you could find a pensione for that price. On the other hand, the very top tier of hotels easily reach or exceed the 450-500 Euro mark for a standard room. I chose random dates for the Hassler and came up with 440 Euros for a single and 520 for a double.

At any rate, the approximately six-fold ratio between the humble and the exalted that Kate Simon describes is more or less accurate today.

But looking at the bottom figure, comparing $4USD in 1972 to 80 Euros today, that is about a 25-fold increase in USD. Needless to say, the minimum wage has not increased by 25-fold since 1972.

On the other hand, as frequently discussed here, plane fares, even with today's fuel prices, are still a relative bargain compared to the equivalent 1970s prices.

What are your calculations on this issue? Any personal experiences?

walkinaround

i don't have any interest in doing calculations on this question, however, more people are travelling now than ever before. there is much more competition from both travel providers and destinations (e.g. opening up of eastern europe to mass travel, china, etc, etc). the internet makes it very easy to compare prices and get the best deal-the consumer is much more informed. travel rating sites and places like fodors help to ensure quality for money. discount airline are everywhere and margins are slim. access to travel packages and flights is no longer locked up in the old style travel agent cartel.

you quote "rack rates" but few pay these rates. for example, from here in UK, you can travel to places in spain for ridiculously low rates for all inclusive holidays (ok, these holidays are not for everyone but still...). even the underclasses commonly holiday in spain, portugal or greece. this was not so 25 years ago.

also, there is much more economic prosperity in most places as compared to the 1970's.

in summary, i believe that travel is far cheaper for people today as compared to 25 years ago.

also, you have to be careful using US dollar as a benchmark. much of the expense of travel is determined by exchange rates. by your scale, travel would suddenly become "cheaper" if USD suddenly strengthened. exchange rates can distort real price comparasins.

Intrepid1

IMO, plane fares weren't a "bargain" back in 1970 when I first went to Europe and I'm not convinced they are a "bargain" now. But perhaps I am unrealistic.

Back then the "Europe on $5 A Day" was a reality but $5.00 was a lot more than it is now.

I'm sure there are folks out there who would ask, &quot;Why <b> should I have to find a convent</b> to spend only 80 E?&quot; anyway? But prices rise as do salaries.

mamaj

In the late 1980's I was a poor college student who paid $750 for round-trip ticket from Chicago to Rome. That was a student fare.
Today we leave for London and we landed a $400 ticket from JFK to London. That's crazy!
I think as the world becomes smaller via the internet and cellphones, people become more savvy and realize what the market will bear- supply and demand have a lot to do with what hotels and restaurants can charge for services and what people can afford to pay.
I wish the dollar was stronger so I could travel more!

ira

Hi will,

Before deregulation, airlines competed on service, and only a few could afford to fly overseas.

Today, airlines compete on price. A far greater fraction of the populace can afford to fly overseas, and there is no service.

david_west

So many things have changed that it’s almost impossible to believe the difference. For example when I was a boy (early 70s) most British people took their summer holiday in Britain – usually at a seaside resort. Most of us couldn’t afford to do otherwise as air travel was insanely expensive.

Then in the early 70s the package holiday took off, including a charter flight and hotel – suddenly everyone (and I mean EVERYONE) was off to sunny Spain – specifically the Costa Blanca and Bravo.

However that was most Brits experience of abroad – basically the same holiday but in a different country. The usual price of these was about two week’s wages – they are cheaper than that now (based on average salaries).

Now we think nothing of flying to Europe, Eastern Europe even the Caribbean for a mini break. This is all thanks to the freeing up of the skies from the flag carriers. The internet adds price transparency, and we’re all a lot more savvy about what we’re paying for.

Our young people are all over the globe, smoking dope getting henna tattoos and trying to persuade themselves that they will never become lawyers, accountants or civil servants (I speak from experience here!). They do this on microscopic budgets, but they must surely be the best travelled generation since the British Imperial Army.

Having said all that I still maintain that Americans pay far more than we do for their holidays – maybe there isn’t the competition? In every British high street there will be half a dozen mass market travel agencies, all of whom can offer unbelievably cheap holidays – ie a week in Spain for &pound;150 including flight (that will be a late booking price).

As is remarked above, even our underclass (we call them chavs, you’d probably call them trailer trash) consider foreign holidays a fundamental right.

Ironically now that flitting of abroad is within the reach of the proles, rich people have started holidaying in Britain gain in Places like Southwold etc.

What has changed is that there really aren’t any places in Europe now that are dirt poor (well not in the EU anyway) so the Greece for &pound;5 a day era is long gone (you could just about do Romania on a tenner a day).

BTilke

I don't do these comparisons either, but I have do have a few old Paris guidebooks (I really like the old Life Magazine guide to Paris). What's most amazing to me is that there was a time when a 5 minute phone call from Paris to the U.S. cost as much as spending the night at the Paris Ritz!