SYFX

Ronald McDonald says GBP is 22% undervalued against the US dollar (Big Mac index)

Summary

By sueyangfx.com January 19, 2021 at 03:02AM The Economist’s ‘Big Mac’ index is based on the theory of purchasing-power parity (PPP), which says that in the long run exchange rates should move towards the rate that would equalise the prices […]

January 19, 2021 at 03:02AM

The Economist’s ‘Big Mac’ index is based on the theory of purchasing-power parity (PPP), which says that in the long run exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services (in this case, a burger) in any two countries.

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