Big Mac Index 2011
Big Mac Index 2011
The Big Mac Index 2011 is a simple economic measure used to provide a view into the extent by which currencies are under or overvalued. The Big Mac Index 2011 provided on this page was calculated for the year 2011.
How the Big Mac Index 2011 works
The Big Mac index 2011 shows how much currencies have deviated in 2011 from their true values. The Big Mac Index 2011 is based on the principle of the Law of One Price and relates to the theory of the Purchasing Power Parity. Based on the Law of One Price, identical goods sold in two markets should sell for the same price. That being said, the "goods sold" in the case of the Big Mac Index 2011 is a single product, the Mc Donald's Big Mac hamburger.
The Purchasing Power Parity (= the exchange rate that equates the price of a Big Mac in two countries) is calculated by comparing the price of a Big Mac sold in the foreign country and expressed in local currency to the price of a Big Mac in US dollars sold in the USA.
The base point of the 2011 Big Mac Index model is the US dollar. After converting the price of a Big Mac sold in the foreign country to the USA dollar (using the actual USA dollar exchange rate), we can determine the extent to which the USA dollar is undervalued or overvalued.
More information about how the Big Mac index is calculated (including the formula that you can use to calculate the values) can be found here: Big Mac Index.
The Big Mac Index 2011 XLSThe Big Mac Index 2011 estimate is available in two formats. You can find the Big Mac Index 2011 table below, or as a courtesy to our visitors, Maxi-Pedia also provides an estimate of the 2011 Big Mac Index in Excel (XLS) format. Big Mac Index 2011 values in XLS Excel spreadsheet can be downloaded here: Big Mac Index 2011 XLS. (Right click - Save Target As - save the XML file - open the XML file in Excel)
The Big Mac Index 2011
The following table provides the Big Mac Index values for the year 2011.
The base point for the calculations is the US dollar.
With the introduction of the McWrap product into the Mc Donalds portfolio, the McWrap being the more luxurious product, hopefuly we also might be able to calculate the Lorenz Curve, the Gini Coefficient, and the Robin Hood Index next year (measures of relative inequality).
Older Big Mac Index values
Older values and more details can be found here: Big Mac Index