An error occured. Details Hide
You have unsaved pages. Restore Cancel

The Economist has recently updated its famous “Big Mac Index” based on McDonald’s Big Mac prices, collected throughout the world. Now the cheapest burgers in US Dollar terms can be bought in Ukraine: for $1.2 only. The most expensive ones are being sold in Switzerland, where you should pay $7.54 for one burger.

Big Mac Index shows, how much the national currency is “undervalued” or “overvalued” in relation to “fair” Big Mac price. In respond to the criticism that you would expect average burger prices to be cheaper in poor countries than in rich ones, it was adjusted for differences in countries' GDP per capita. E. g., in case of Russia, US$ Index of -57.75 means that current Russian Ruble/US$ market exchange rate is 57.75% lower than its Big Mac purchasing power parity level.

Explore the new Knoema’s interactive abilities to parameterize visual gadgets by two or more variables by selecting the country on the map and the type of Big Mac Index in the table below

Note: Big Mac index has never been intended as a precise gauge of currency misalignment, merely a tool to make exchange-rate theory more digestible. As the empirical data shows, Big Mac Index tells nothing about possible real world currency moves neither in short-term, nor in the long-term. In the long run exchange rates do not move towards the rate that would equalise the prices of a burger in any two countries. The data presented is not intended to use in any investment or trading decisions on FX or other markets.

Last updated: 

Are you sure you want to delete this page?

Are you sure you want to delete this document?

Unable to delete the page because it has shortcuts referencing it at the following locations:

    Please delete these shortcuts first, then delete page itself.

    Our Privacy Statement & Cookie Policy

    Our website uses cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your personal cookie settings through your internet browser settings.

    Privacy Policy