Every year, The Economist, London, publishes the Big Mac Index, a light-hearted computation of how overvalued or not a currency is, based on the price of a McDonald’s hamburger. It’s another way of looking at the theory of purchasing-power parity (PPP), which says that exchange rates should equalise the price of a basket of goods in any two countries. In other words, in dollar terms,the price of a Big Mac should be the same everywhere.
But India doesn’t figure on the Big Mac Index although Pakistan and Sri Lanka do. Why?
# Because there aren’t too many McDonald’s outlets in India?
# Because McDonald’s isn’t doing too well in India despite its trade-marking the AlooTikki?
# Because our per capita consumption of Big Macs is too low to register on the Richter scale?
# Because not too many Indians know that a hamburger isn’t made of pork?
# Because The Economist doesn’t want to insult vegetarians in the world’s largest democracy?
# Because its correspondent is on leave?
uoıʇɹodɹoɔ s,plɐuopɔɯ ǝɥʇ ɟo ʞɹɐɯǝpɐɹʇ pǝɹǝʇsıƃǝɹ ɐ ʇǝʎ puɐ pooƃ ʎpoolq ʇnq ʎʇɹıp ‘ʎsɐǝɹƃ ‘uɐıpuı :ıʞʞıʇ oolɐ sı ıʞʞıʇ oolɐ ˙uıɐʇıɹq ǝpısʇno ǝɹoɯ sllǝs ʇɐɥʇ ɹǝdɐdsʍǝu ʎlʞǝǝʍ ɥsıʇıɹq ɐ sı ʇsıɯouoɔǝ ǝɥʇ ˙ʎɐʍ ʇɐɥʇ ʇı dǝǝʞ uɐɔ ʎǝɥʇ puɐ uoıʇɐɹodɹoɔ s,plɐuopɔɯ ǝɥʇ ɟo ʞɹɐɯǝpɐɹʇ pǝɹǝʇsıƃǝɹ ǝɥʇ sı s,plɐuopɔɯ
Cross-posted on Kosambari