Heating fuels are a large part of it but only the preverbial tip of the iceburg. Look at Iceland for example, they have lots of geo-thermal heat but things are still expensive there.
Population density is smaller making economy of scale less effective in many many areas. Goods have to be shipped in from further away and travel in arctic zones is difficult and unpredictable.
Building on permafrost is especially challenging so ALL buildings are going to be more expensive (and no basements).
These are some of the major concerns but there are more.
2007-06-28 06:22:55
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answer #1
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answered by megalomaniac 7
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You have to import a lot of your goods from far away - not much of a growing season, so food is expensive, not much manufacturing, so other stuff is expensive. The economy is also a lot more limited in scale (less people), so you get less competition. Less competition = hire prices. Its the same reason island economies are expensive.
2007-06-28 06:20:06
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answer #2
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answered by skibum76 2
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You have to import many normal staple items, since they can't be produced locally.
Also, the cold weather is hard on stuff, so there is a higher general maintenance cost. Fuel has to be formulated to perform under severe conditions.
2007-06-28 06:19:24
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answer #3
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answered by Anonymous
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because its very expensive to transport all the human needs.
gas prices have been going up as you know, and so, when they ship stuff over to those counrties, states whatever, then of course the cost increases. u dont see many cows, sheeps, etc there do you? so therefore, in order for the people to eat meat they have to import it.
2007-06-28 12:01:44
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answer #4
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answered by Anonymous
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The costs of maintaining warmth are pretty high. Also, government services tend to be more costly in these regions because of the climate. You simply do not have to plow snow in Florida for example.
2007-06-28 06:14:14
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answer #5
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answered by The Stylish One 7
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The price of oil always goes up!
2007-06-28 06:13:53
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answer #6
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answered by Lilaki 5
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It costs more to heat your house, it costs more to buy heavy clothes, etc.
2007-06-28 06:26:06
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answer #7
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answered by Anonymous
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