Hawaii
Cost of living

The cost of living in Hawaii, specifically Honolulu, is high compared to that of most major U.S. cities, although it is 6.7% lower than in New York City and 3.6% lower than in San Francisco. These numbers may not take into account some costs, such as increased travel costs for flights, additional shipping fees, and the loss of promotional participation opportunities for customers outside the contiguous U.S. While some online stores offer free shipping on orders to Hawaii, many merchants exclude Hawaii, Alaska, Puerto Rico and certain other U.S. territories.

Hawaiian Electric Industries, a privately owned company, provides 95% of the state's population with electricity, mostly from fossil-fuel power stations. Average electricity prices in October 2014 (36.41 cents per kilowatt-hour) were nearly three times the national average (12.58 cents per kilowatt-hour) and 80% higher than the second-highest state, Connecticut.

The median home value in Hawaii in the 2000 U.S. Census was US$272,700, while the national median home value was US$119,600. Hawaii home values were the highest of all states, including California with a median home value of US$211,500. Research from the National Association of Realtors places the 2010 median sale price of a single family home in Honolulu, Hawaii, at US$607,600 and the U.S. median sales price at US$173,200. The sale price of single family homes in Hawaii was the highest of any U.S. city in 2010, just above that of the Silicon Valley area of California (US$602,000).

Hawaii's very high cost of living is the result of several interwoven factors of the global economy in addition to domestic U.S. government trade policy. Like other regions with desirable weather year-round, such as California, Arizona and Florida, Hawaii's residents can be considered to be subject to a " sunshine tax ". This situation is further exacerbated by the natural factors of geography and world distribution that lead to higher prices for goods due to increased shipping costs, a problem which many island states and territories suffer from as well.

The higher costs to ship goods across an ocean may be further increased by the requirements of the Jones Act, which generally requires that goods be transported between places within the U.S., including between the mainland U.S. west coast and Hawaii, using only U.S.-owned, built, and crewed ships. Jones Act-compliant vessels are often more expensive to build and operate than foreign equivalents, which can drive up shipping costs. While the Jones Act does not affect transportation of goods to Hawaii directly from Asia, this type of trade is nonetheless not common; this is a result of other primarily economic reasons including additional costs associated with stopping over in Hawaii (e.g. pilot and port fees), the market size of Hawaii, and the economics of using ever-larger ships that cannot be handled in Hawaii for transoceanic voyages. Therefore, Hawaii relies on receiving most inbound goods on Jones Act-qualified vessels originating from the U.S. west coast, which may contribute to the increased cost of some consumer goods and therefore the overall cost of living. Critics of the Jones Act contend that Hawaii consumers ultimately bear the expense of transporting goods imposed by the Jones Act.
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