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This is cool. I think it would be helpful if the input was in terms of units of currency, rather than Big Macs. Like: I want to charge €10 a month for my produ

by vosper 6y ago

This is cool. I think it would be helpful if the input was in terms of units of currency, rather than Big Macs. Like: I want to charge €10 a month for my product in the EU. Use the Big Mac pricing model to tell me what that is in Brazil. According to your site, a Big Mac in the EU is €4.21 (is it really the same across all EU countries?) which means €1 buys you 0.237 burgers. €10 is therefore 2.37 burgers. At the current Brazilian price of 20.9 BRL per burger, you should charge 2.37 * 20.9 = 49.53 BRL (at the time of writing Google says €10 is worth 62 BRL)

sudhirj 6y ago
Yup, I need that too. Will add it in. The Euro zone is reported as a single economic zone in the index (it's published by the Economist). I'm not sure if the prices are actually exactly the same, but from an economic reference point of view, they ought to be. I'm sure there are differences in the prices within each city that McD operates in as well... the currency prices are probably an average.
- dsomers 6y ago
  I assure you, a Big Mac in the Netherlands will cost more than a Big Mac in Latvia.
Semaphor 6y ago
> According to your site, a Big Mac in the EU is €4.21 (is it really the same across all EU countries?) Just googled prices for Germany: Apparently it’s €5.29 here.
ivanhoe 6y ago
> is it really the same across all EU countries? Nope, not at all. Even prices within the country are not the same, e.g. in Croatia the price on the seaside is a bit higher than the prices in Zagreb (the capitol). For comparison, in Zagreb BigMac is under 3 euros, while in say Barcelona it's around 4e. In Denmark it's close to 5, if I remember correctly. It's following fairly closely the local salaries and taxes.
PaulDavisThe1st 6y ago
The statistic you're looking for is called "purchasing power parity" or PPP.
- vosper 6y ago
  Thanks, I've long since forgotten most of my Econ courses from uni :)

by vosper 6y ago

sudhirj 6y ago

Yup, I need that too. Will add it in. The Euro zone is reported as a single economic zone in the index (it's published by the Economist). I'm not sure if the prices are actually exactly the same, but from an economic reference point of view, they ought to be. I'm sure there are differences in the prices within each city that McD operates in as well... the currency prices are probably an average.

dsomers 6y ago
I assure you, a Big Mac in the Netherlands will cost more than a Big Mac in Latvia.

Semaphor 6y ago

> According to your site, a Big Mac in the EU is €4.21 (is it really the same across all EU countries?) Just googled prices for Germany: Apparently it’s €5.29 here.

ivanhoe 6y ago

> is it really the same across all EU countries? Nope, not at all. Even prices within the country are not the same, e.g. in Croatia the price on the seaside is a bit higher than the prices in Zagreb (the capitol). For comparison, in Zagreb BigMac is under 3 euros, while in say Barcelona it's around 4e. In Denmark it's close to 5, if I remember correctly. It's following fairly closely the local salaries and taxes.

PaulDavisThe1st 6y ago

The statistic you're looking for is called "purchasing power parity" or PPP.

vosper 6y ago
Thanks, I've long since forgotten most of my Econ courses from uni :)