A Conversation for McDonald's
scaryfish Started conversation Aug 28, 2001
I heard somewhere that they base the economic value of a country's money on the price of a Big Mac. Because this is available in almost every country on Earth etc.
Mabey it's just a rumor...
GreyBeard Posted Aug 28, 2001
I heard somewhere that Ray Kroc, when asked what business he was in, did not reply "the Hamburger business" but he was really in the "Real Estate business" - selling franchises to the people who run the stores and are the ones in the "burger business".
Tashalls, Muse of Flights of Fancy (Losing Weight at A858170) Posted Aug 29, 2001
I have heard or seen both the previous comments in a number of different places. Ray Kroc often says he is in the real estate business. As for the economy based on the price of a Big Mac, I don't this is used in serious studies on world economies, but more helps to denote cost of living in various part of the world.
Bluebottle Posted Aug 30, 2001
In the London & South region of the UK a Big Mac costs:
on it's own: £1:99
Medium Meal: £3:19
Large Meal: £3:49
Dazi Posted Nov 5, 2002
The so-called Big Mac Index was in my economics text in HS. Basically if a country has an exchange rate of x with a certain country, you take the price of the product converted to the same currency and that shows the difference in the cost of living in the countries.
Country A has a Big Mac that costs 8 of their currency
Country B has one that costs 5 of their currency.
2 of Country A's currency is 1 of country B's.
A's Big Mac would be 4 in B's currency vs country B's 5.
therefore every B dollar you spend buys you 4/5 of what the A dollar does.
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