Tag Archives: Big Mac index Switzerland

The Economist has just published its January 2018 Big Mac index, a light-hearted measure of whether currencies are under or overvalued. The underlying assumption is that a Big Mac is the same whether bought in Kiev or Chur, so any price difference must be due to the exchange rate. © Sergiomonti _ Dreamstime.com - Click to enlarge In January 2018, Swiss Big Macs were still the world’s most expensive, making the Swiss...

The Economist has just published its January 2018 Big Mac index, a light-hearted measure of whether currencies are under or overvalued. The underlying assumption is that a Big Mac is the same whether bought in Kiev or Chur, so any price difference must be due to the exchange rate. © Sergiomonti _ Dreamstime.com In January 2018, Swiss Big Macs were still the world’s most expensive, making the Swiss franc the most overvalued currency, 28.1% higher than it should be. The implied exchange rate is...

The Economist magazine’s 6-monthly Big Mac index shows the Swiss franc to be even more overvalued than it was in January 2017. © Pamela Mcadams The index, which compares the US$ price of a Big Mac around the world places Switzerland at the top with a price of US$ 6.74. This is 27.2% more expensive than the United States where the same burger costs US$ 5.30. In January 2017, the same burger in Switzerland cost US$ 6.35 and US$ 5.06 in the US making the Swiss one 25.5% more pricey. The cheapest...

The Economist magazine’s 6-monthly Big Mac index shows the Swiss franc to be even more overvalued than it was in January 2017. © Pamela Mcadams The index, which compares the US$ price of a Big Mac around the world places Switzerland at the top with a price of US$ 6.74. This is 27.2% more expensive than the United States where the same burger costs US$ 5.30. In January 2017, the same burger in Switzerland cost US$ 6.35 and US$ 5.06 in the US making the Swiss one 25.5% more pricey. The cheapest...

On 12 January 2017, the Economist came out with its latest Big Mac index. Also known as the burger benchmark, the index compares the price of a Big Mac around the world. This catchy, if highly incomplete means of comparing the relative purchasing power of different currencies, uses the United States and the US$ as its base. Countries where Big Macs cost less than in the United States (in US$ terms) have weak currencies, and those where they are more expensive have overvalued currencies. ©...

The Economist invented the Big Mac index in 1986 as a tongue-in-cheek guide to currency valuations. Because the well-known burger is the same throughout much of the world, the magazine thought it could be used as a measure of how over or undervalued a currency was. An overpriced burger suggests an overvalued currency and a cheap one an undervalued currency. As it did last year, Switzerland topped the chart this year...

The Economist invented the Big Mac index in 1986 as a tongue-in-cheek guide to currency valuations. Because the well-known burger is the same throughout much of the world, the magazine thought it could be used as a measure of how over or undervalued a currency was. An overpriced burger suggests an overvalued currency and a cheap one an undervalued currency. © Mirko Vitali | Dreamstime.com As it did last year, Switzerland topped the chart this year with the world’s most expensive Big Macs. At...