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Strategies & Market Trends : Mish's Global Economic Trend Analysis
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To: mishedlo who wrote (20102)1/1/2005 1:23:37 PM
From: Square_Dealings   of 116555
 
Interesting. Except a Big Mac is only one item in a basket of goods and services. At a minimum I would think you need to include energy and housing prices and probably a lot more to get a real comparison.

And somewhere in the calculation trade deficits come into play. For ex. if the guy in the US is borrowing his $3.00 from the guy in China to buy his Big Mac then maybe the price should be higher in the US. Not sure, its complicated I think.

M
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