Seems super flawed to me to assume that Big Macs must be the same price everywhere and if they aren’t then the national currency must be under/overvalued.
Russia’s economy seems very under valued. There was some famous economist assigned to Russia during the darkest IMF days who commented that by western measurements it shouldn’t be able to do all that it does.
when there is that much red, the currencies listed are not undervalued, the $US is simply overvalued – since that’s the baseline
The fact that a big mac is more expensive in the likes of Moldova, Vietnam and the Philippines than in Hong Kong and Taiwan makes me giggle. I mean, ouch.
Not important info
Remind me my Erasmus semester in Sweden. I couldn’t afford junk food like macdonald or burger king. I had to go to the Japanese to eat fresh and tasty fish cause it was cheaper. Student misery….
9 comments
we need the source of the picture
Source: https://fxssi.com/big-mac-index
8.56 for Turkey?
Seems super flawed to me to assume that Big Macs must be the same price everywhere and if they aren’t then the national currency must be under/overvalued.
Russia’s economy seems very under valued. There was some famous economist assigned to Russia during the darkest IMF days who commented that by western measurements it shouldn’t be able to do all that it does.
when there is that much red, the currencies listed are not undervalued, the $US is simply overvalued – since that’s the baseline
The fact that a big mac is more expensive in the likes of Moldova, Vietnam and the Philippines than in Hong Kong and Taiwan makes me giggle. I mean, ouch.
Not important info
Remind me my Erasmus semester in Sweden. I couldn’t afford junk food like macdonald or burger king. I had to go to the Japanese to eat fresh and tasty fish cause it was cheaper. Student misery….