The Big Mac Index

 

This Big Mac Index is a rough estimate of the purchasing powers of various currencies comparing to US dollars. The data are collected and published by the Economist magazine and can be found at www.economist.com.

The table below is the latest Big Mac Index published in July 5th, 2007. Compared to actual exchange rate, Chinese Yuan is the most undervalued. However, this does not mean China government should raise its currency’s exchange rate to US dollar. There are so many things to consider, and this index is, at the best, a rough estimate.

Economist article about the Big Mac Index

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