Latin America: Big Mac index in Colombia 2020
The so-called Big Mac index is regarded as an indicator for the purchasing power of an economy. The average price for a Big Mac burger in Colombia was estimated at 3.62 U.S. dollars in January 2020, down from 3.73 US dollars a year earlier.
Big Mac Index
The Bic Mac index has been published annually by The Economist since 1986 and is rated as a simplified indicator of a country’s individual purchasing power.
As many countries have different currencies, the standardized Big Mac prices are calculated by converting the average national Big Mac prices with the latest exchange rate to U.S. dollars.
The Big Mac, as the top-selling McDonald’s burger, is used for comparison because it is available in almost every country and manufactured in a standardized size, composition and quality. McDonald’s is a worldwide operating fast food restaurant chain with headquarters in Oak Brook, Illinois. In Latin America, McDonald's largest franchisee is Arcos Dorados Holdings, with headquarters in Montevideo, Uruguay.
Big Mac Index
The Bic Mac index has been published annually by The Economist since 1986 and is rated as a simplified indicator of a country’s individual purchasing power.
As many countries have different currencies, the standardized Big Mac prices are calculated by converting the average national Big Mac prices with the latest exchange rate to U.S. dollars.
The Big Mac, as the top-selling McDonald’s burger, is used for comparison because it is available in almost every country and manufactured in a standardized size, composition and quality. McDonald’s is a worldwide operating fast food restaurant chain with headquarters in Oak Brook, Illinois. In Latin America, McDonald's largest franchisee is Arcos Dorados Holdings, with headquarters in Montevideo, Uruguay.
