Lebanon Businessnews News
 

The Falafel Index: A Way To Assess Purchasing Power In The Middle East
Forbes
Share     Share on Facebook     Share on LinkedIn    
WatsApp

The Arab Spring brought into focus the economic underpinnings of instability in the Middle East.  In a region where over one in four youth is unemployed, how well people can afford a basic meal is a primary consideration.

However, the Big Mac Index – now a golden standard for measuring purchasing power– doesn’t quite size up the region’s economic situation.  This index determines the purchasing power of different currencies by comparing the prices of McDonald’s signature hamburger in various countries.  But in the Middle East, eating at an international food chain, like McDonald’s, is often more expensive than local restaurants.  This means that a Big Mac doesn’t represent what common folk can afford.

Source: Forbes

FULL STORY
Date Posted: May 06, 2014
Share     Share on Facebook     Share on LinkedIn    
WatsApp