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For Here or To Go? Purchasing Power Parity and the Big Mac · Study

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ArticleFor Here or To Go? Purchasing Power Parity and the Big Mac

Michael R. Pakko1996

OA

Articlegold1996

For Here or To Go? Purchasing Power Parity and the Big Mac

Michael R. Pakko · Patricia S. Pollard

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Monetary Policy and Economic Impact Financial Markets and Investment Strategies Global Financial Crisis and Policies

Abstract

The theory of Purchasing Power Parity (PPP) has long held a prominent place in international economics. It states that price levels in different countries, as measured by a representative market basket of commodities, will be equalized by international trade. Empirically, however, PPP has not fared particularly well in formal statistical tests.

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References

1991The Penn World Table (Mark 5): An Expanded Set of International Comparisons, 1950-1988 1964The Purchasing-Power Parity Doctrine: A Reappraisal 1964Theoretical Notes on Trade Problems 1995How Wide is the Border?1986Pricing to Market when the Exchange Rate Changes 1988Exchange rates and traded goods prices 1987Real-Financial Linkages Among Open Economies 1991The role of exchange rates in a popular model of international trade

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2004Nontradables and the valuation of RMB—An evaluation of the Big Mac index 1998Introduction: Exchange Rates, Capital Flows, and Commercial Policies in Transition Economies 2008Purchasing power parity and cultural convergence: evidence from the global video games market 2003A Prism into the PPP Puzzles: The Micro-foundations of Big Mac Real Exchange Rates 1996Contrarian MacParity 1997The Big Mac: More than a junk asset allocator?

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2012Purchasing Power Parity in Tradable Goodsother · 7 shared references 1995Chapter 32 Perspectives on PPP and long-run real exchange rateschapter · 6 shared references 2003Burgernomics: A Big Mac™ Guide to Purchasing Power Parityarticle · 6 shared references 2006Exchange rate regimes and national price levelsarticle · 6 shared references 2022The purchasing power parity and exchange‐rate economics half a century onarticle · 6 shared references 2004The exchange rate and purchasing power parity: extending the theory and testsarticle · 6 shared references

Details

Year1996

Typearticle

Published1996-01-01

Languageen

Citations65

Files0 public / 0

ShelfMonetary Policy and Economic Impact

Identifiers

doi10.20955/r.78.3-22

openalex_workW2097345965

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