scholarly journals The Big Mac Index And Real-Income Disparity

2014 ◽  
Vol 12 (3) ◽  
pp. 231 ◽  
Author(s):  
Vidya Atal
Keyword(s):  
Czech Republic ◽  
Purchasing Power Parity ◽  
Real Income ◽  
Purchasing Power ◽  
Income Disparity ◽  
Power Parity ◽  
Per Capita ◽  
The Government ◽  
Role Of The Government

The Big Mac Index was introduced to (semi-humorously) test the theory of purchasing power parity and measure the disparity in currency values. Instead, in this paper, we consider this index to find out the per capita real-income disparity across 54 countries. We find that the per capita real-income can be very low in some countries even when Big Mac burgers are very cheap, like in India. Among these countries, Hong Kongs per capita Big Mac affordability is the highest with 47 burgers daily whereas Pakistans people could afford just one a day. Additionally, we find that Russia and Chinas Big Mac affordability has been significantly increasing over the last decade, Brazils has remained more or less constant, however USAs Big Mac affordability has been falling, indicating that per capita real-income of Americans has been decreasing over the last decade. Finally, we find that increased role of the government might be negatively correlated to per capita real-income. Czech Republic has been experiencing increased Big Mac affordability as the country has been reducing the governments role; whereas Argentina has been experiencing reduced Big Mac affordability as the country has been moving left and increasing the governments power.

scholarly journals Identifying The Purchasing Power Parity of Indonesia Rupiah (IDR) based on BIG MAC Index

2016 ◽  
Vol 17 (2) ◽  
pp. 210
Author(s):  
Tongam Sihol Nababan
Keyword(s):  
Exchange Rate ◽  
Purchasing Power Parity ◽  
Real Income ◽  
Purchasing Power ◽  
Power Parity ◽  
The Real ◽  
The People ◽  
The Usa ◽  
The Exchange Rate ◽  
Asean Countries

The aim of this study is to identify : (1) profile of exchange rate and purchasing power parity of IDR against US $ based on Big Mac Index compared to the exchange rate of other countries, and (2) the position of the Big Mac Affordability of  Indonesia compared to other ASEAN countries. The results showed that based on Big Mac index during the period April 1998 up to January 2015, IDR exchange rate tends to be undervalued against the USA dollar. The cause of the currency tends to be in a position of undervalued due to the components of non-tradable have not been included in Big Mac index. The index of Big Mac Affordability indicates that there is a great disparity of income between Singapore and five other ASEAN countries. The purchasing power of the real income of the people in Singapore is nearly five times the real income of the people in Indonesia.

scholarly journals THE MAIN DIRECTIONS OF IMPROVING THE EFFICIENCY OF PRODUCTION, TRANSMISSION AND DISTRIBUTION OF ELECTRICAL ENERGY

2018 ◽  
Vol 61 (1) ◽  
pp. 28-35 ◽  
Author(s):  
I. V. Zhezhelenko
Keyword(s):  
Gross Domestic Product ◽  
Purchasing Power Parity ◽  
Power Grids ◽  
Domestic Product ◽  
Analytical Determination ◽  
Regulation System ◽  
Purchasing Power ◽  
Power Parity ◽  
Per Capita ◽  
Transmission And Distribution

The main directions of increase of efficiency of production, transmission and distribution of electric energy have been formulated. The relation between the values of electricity losses during transmission via power grids of different countries and the level of the economies of these countries characterized by the value of gross domestic product at purchasing power parity per capita has been established. In the countries with a gross domestic product at purchasing power parity per capita less than 20 thousand US dollars electricity losses during its transmission via power grids are 1.5–2.5 times more than the ones transmitted via power grids of the industrialized countries where the specified purchasing power parity is in the range of 30.4–54.5 thousand US dollars. In the countries with more developed economies the technical culture of production, transmission and distribution of electricity is higher; the modern control systems of operation modes of electrical networks are used as well as of monitoring and accounting of electricity; also there are solvent and disciplined consumers in such countries as well as clear regulatory framework and tariff regulation system. However, the process of transmission and distribution of electricity is effective if not only low relative losses take place, but the normal (contractual) requirements for carrying capacity, quality and reliability of electricity supply are provided. The possibility of analytical determination of the optimum value of reserve capacity of power plants providing the required level of reliability of the power system has been considered.

Analysis of regional disparities in the Slovak Republic by examining selected indicators

2020 ◽  
Author(s):  
Milan Maroš ◽  
Jarmila Hudáková ◽  
Michal Levický
Keyword(s):  
Purchasing Power Parity ◽  
Regional Differences ◽  
Slovak Republic ◽  
Regional Disparities ◽  
Power Parity ◽  
Average Growth Rate ◽  
Average Growth ◽  
The World ◽  
Per Capita ◽  
The Government

Regional disparities are typical for many countries of the world, as well as for the Slovak Republic. Increasing regional disparities is not in the interest of any country, and is, therefore, a constantly monitored issue. The aim of this article is to analyze the development of regional differences in the Slovak Republic through selected indicators. We performed the analysis at the level of the NUTS III category in the years 1995 to 2018. As selected indicators, we have chosen the development of regional GDP per capita in euros and in purchasing power parity. Several methods can be used to examine the evolution of regional differences. We mainly used the characteristics of variability and also the average growth rate, with which we tried to identify changes in regional differences over time. We found that in the observed period, the differences between the regions of Slovakia increased overall, but the increase in differences prevailed mainly in the pre-crisis years. In recent years, we have seen a slight convergence between the regions. The government in each country always tries to put in place different measures to address this issue, but it does not always succeed. Given the current world situation associated with COVID-19, it is very difficult to predict developments in the coming years.

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