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Day: July 26, 2024

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ABCs of Personal Finance

Big Mac as an ‘inflation’ measurement. Cheapest and most expensive countries are…?

The Big Mac PPP is an informal measure of exchange rate valuation created by the Economist in 1986. It uses the price of a McDonald’s Big Mac as a benchmark to compare the purchasing power between different currencies. Source: investopedia.com

There are limitations to using this as a benchmark but since then, this has been widely regarded as another popular measurement to determine the strength of the currency. So, let’s look at the latest measurement today and see what is the price of Big Macs all around the world and also where is Malaysia?

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