Why is fast food so cheap in the USA?

Have you heard of the Big Mac Index? Basically, it's a comparison of how much a Big Mac sandwich costs around the world. There's a lot of variation. Big Mac Index - Prices Around The World. According to that (clearly curated), the US actually has the 5th most expensive Big Mac on that list. read more

As Bryan Walsh explains in this excellent TIME article, it starts with corn. American corn production has tripled in the past 40 years, from 4 billion bu. in 1970 to 12 billion. read more

So, fast food usually has cheap accommodations and they are actually designed to make people want to eat and leave, where nicer places are designed to get people to stick around for awhile. That table turnover is important for restaurants and fast food has high turnover. read more