USD vs DOP?

[bob saunders]

$0.99 cent big mac

I just took this off the Economist web site. In my recent travels to the US I haven't seen a 99 cent big mac.

http://www.oanda.com/products/bigmac/bigmac.shtml

The Hamburger Standard (based on Jan 15, 2003 data)
Country BigMac Price Actual Exchange Rate
1 USD = Over(+) / Under(-) Valuation against the dollar, % Purchasing Power Price
in Local Currency in US dollars
United States $2.65 2.65 1.00 - -
Argentina Peso 3.85 1.3533 2.845 -49.0334 1.45
Australia A$3.20 2.0957 1.5269 -25.3389 1.14
Brazil Real4.50 1.457 3.0886 -44.9589 1.70
Britain ?1.99 3.2554 1.6359? 22.6894 0.75
Canada C$3.20 2.3681 1.3513 -10.4566 1.21
China Yuan9.95 1.2007 8.2869 -54.7479 3.75
Euro area ?2.75 3.1995 0.8595 19.8371 1.03
Hong Kong HK$11.25 1.4418 7.8026 -45.6591 4.24
Hungary Forint 492 2.3247 211.64 -12.1149 186
Indonesia Rupiah16,155 1.9266 8385.2 -27.3005 6,096
Japan ?263 2.2379 117.52 -15.4187 99.40
Malaysia M$5.10 1.3334 3.8248 -49.8013 1.92
Mexico Peso22.0 2.1486 10.239 -18.9374 8.30
New Zealand NZ$3.95 2.295 1.7211 -13.4275 1.49
Poland Zloty6.30 1.6863 3.736 -36.2955 2.38
Russia Rouble40.00 1.2949 30.89 -51.1492 15.09
Singapore s$3.30 1.9125 1.7255 -28.1368 1.24
South Africa Rand14.05 1.7908 7.8458 -32.4479 5.3
South Korea Won3,211 2.6747 1200.5 0.8746 1,211
Sweden Skr30.0 3.8112 7.8715 43.8099 11.32
Switzerland SFr6.35 4.8824 1.3006 84.5302 2.40
Taiwan NT$70.55 2.0326 34.71 -23.3074 26.62
Thailand Baht55.0 1.3109 41.955 -50.5422 20.75
? Dollars per pound
Purchasing Power Parity (PPP): is a measure of the relative

 

[Chirimoya]

At the risk of being mistaken for a McDonalds connaisseur, I would guess that the 99c is for a normal burger.

Chiri

 

[Chirimoya]

and another thing...

Yesterday evening I drove past a certain fast food establishment on the corner of Churchill and Sarasota. The price advertised for the Big Mac was RD$69. Using the current conversion rate of RD$27 = US$1, that means that the cost of a Big Mac in Santo Domingo is equivalent to over US$2.50, much closer to the price golo quotes for the US (US$2.71).

Chiri

 

[Golo100]

Chirimoya

Please double check that again. The $70 Big Mac quoted to me in two locations is a COMBO. The one used for the PPP is a single hamburger patty with its own trimmings, without fries and drink.

TW

 

[Chirimoya]

golo

You may be right, I'll have a good look tomorrow.

Chiri

Edited to add - you are right, it was the combo price. I stand corrected!

 

[AnnaC]

I haven't eaten a burger for so long that I was curious at the price too. Here in Guelph it's 3.26 cnd for a big mac and 5.79 cnd for a combo.

So at about 1cnd=18 pesos it's about 55 pesos for only a big mac.
Does that make sense? If it doesn't never mind.

 

[Criss Colon]

I use the "POP" Index!!!!!!!!!!!!!!!!!!!!!!!!!To evaluate "Inflation in the DR!

That is the "Price Of Prostitures"Index! I am still getting all I want for between 3 and 4 hundred pesos."They",have not increased their prices at all! In fact,due to decreased demand,girls who were once getting 1 to 2 thousand pesos a "POP" from ignorant Tourists at the Jaragua Hotel,are now at "Fire Sale" prices,and even offering "TwoFers"(Get 2 girls,pay for 1!)Former dancers at the, now just a "memory","Le Petit Chautoe"(I can't spell in English,forget French!) "Lapsus Niare calling me with their bargain basement offers!"Snatch Is On Sale!!!"SSoooooooooooo,at 27 to 1,it still only costs about $15 US for "15 minutes of Fame"!!!!! What a Country! CCCris CCCCCCCCCCCColon

 

[getonwithit]

"pop" used to be good at bonsoir (still going) and la escuelita (finished) - or so i was told.

- and who can forget about their "combos"?

something a bit unrelated.
do any of you remember fabia who advertised every week in the santo domingo news about putting her hands on your body?
wonder what the price of her service (or that of any of her girls) is now?

 

[maryanne]

Guillermo when to the cambio this morning to change his tip money from US to pesos and he was told by the person behind the glass wall, that the peso will gain strength very soon! Exchange rate was 27.4 pesos to $1 US and the person who worked at the cambio insisted that it will drop soon.

Cambio was in Puerto Plata, right next to the bus terminal.

I laughed.
Ciao!

 

[mondongo]

While the Big Mac index makes for fun foreign exchange conversation, it has no basis in reality....nor does it have any predictive power. It flat out does not work. The proof is self-evident by the numbers posted by Bob Saunders: most currencies DO NOT trade anywhere near the Big Mac index prediction. Better yet, the Big Mac index is way off on most currencies. There are a host of reasons why it does not work.