The Real-Time Big Mac Index
Actual daily prices from real menus worldwide
| # | Country | Local Price | USD Price | PPP Valuation | GDP-Adjusted | Implied PPP |
|---|
Try the Big Mac Index Calculator → Compare purchasing power between any two countries using real-time PPP data.
What is the Big Mac Index?
The Big Mac Index is a tool for comparing currency valuations based on the theory of purchasing-power parity (PPP) — the idea that exchange rates should adjust so that identical goods cost the same in every country. A Big Mac is the perfect test case: it's sold in nearly every country on Earth, made to a standardized recipe, and priced locally.
If a Big Mac costs $6.12 in the United States and CHF 7.90 in Switzerland, the implied PPP exchange rate is 1.29 (7.90 / 6.12). If the actual market exchange rate is lower, it suggests the Swiss franc is overvalued relative to the US dollar. If higher, the franc is undervalued.
The Big Mac Index — sometimes called burgernomics — was originally created by The Economist in 1986. Our version takes it further: instead of relying on surveys conducted once or twice a year, we collect actual prices from real restaurant menus every day, covering multiple cities per country. This means our data reflects what consumers are actually paying right now — not what a survey team recorded months ago.
We also calculate a GDP-adjusted index that accounts for income differences between countries. Poorer countries naturally have lower prices (because labor costs less), so comparing raw prices alone can be misleading. The GDP-adjusted version uses regression analysis to predict what a Big Mac "should" cost given a country's income level, giving you a more accurate picture of currency misalignment.
TheBigMacIndex.com vs The Economist
Our index uses daily updated exchange rates and real menu prices, while The Economist updates its index only 1–2 times per year.
| TheBigMacIndex.com | The Economist | |
|---|---|---|
| Countries | 9 countries (growing) | ~50 countries |
| Exchange rates | Updated daily | Updated 1-2 times per year |
| Price freshness | Prices from real menus collected in recent days | Official data often lags weeks behind |
| Data sources | Direct from restaurants + community | Editorial team only |
| Community input | Any verified user can submit prices | No public submissions |
Most Expensive and Cheapest Big Macs in the World (2026)
Loading live data...
World Currencies
| # | Name | Price | Rate Change | Market Cap | Circulating Supply | PPP Gap |
|---|
How It Works
Raw Index (PPP)
GDP-Adjusted Index
For FX Traders
Methodology
Our Approach
TheBigMacIndex.com provides the world's most up-to-date Big Mac Index — also known as burgernomics — by collecting actual prices from real restaurant menus, rather than relying on periodic surveys. Here's how it works.
Data Collection
We collect Big Mac prices from delivery platforms across multiple cities per country. For each city, we sample prices from several McDonald's locations to ensure accuracy. Prices are collected in the local currency and include the standard Big Mac (no meals, combos, or variants).
- Frequency: Prices are refreshed daily, giving you the most current data available.
- Coverage: Multiple cities per country to capture regional price variation.
- Filtering: We exclude meal deals, bundles, and promotional items — only the standalone Big Mac counts.
- Verification: Community submissions help validate and extend our automated data collection.
Price Calculation
For each country, we take the median price across all sampled cities. The median is more robust than the average because it isn't skewed by outlier prices in unusually expensive or cheap locations.
Prices are converted to US dollars using real-time exchange rates updated daily from financial data providers. This is a key difference from traditional indices that may use exchange rates that are weeks or months old.
Raw PPP Index
The raw purchasing-power parity index works in three steps:
- Step 1: Calculate the implied PPP rate = Local Big Mac Price / US Big Mac Price. This is the exchange rate that would equalize Big Mac prices between the two countries.
- Step 2: Compare the implied rate to the actual market exchange rate.
- Step 3: The valuation percentage = (Implied PPP / Market Rate - 1) × 100. A positive result means the local currency is overvalued against the dollar; negative means undervalued.
GDP-Adjusted Index
The raw index has a well-known limitation: you'd expect Big Macs to be cheaper in poorer countries simply because labour and input costs are lower. A cheap Big Mac in Thailand doesn't necessarily mean the Thai baht is undervalued — it may just reflect lower production costs.
To address this, we run a log-linear regression of Big Mac USD prices against GDP per capita (PPP-adjusted, from the World Bank). This tells us what a Big Mac "should" cost given a country's income level. The GDP-adjusted index then measures how far the actual price deviates from this predicted price.
The GDP-adjusted index is generally considered a better gauge of currency misalignment for comparing countries at different development levels.
How We Differ from The Economist
The Economist invented the Big Mac Index in 1986, and we gratefully build on their foundational work. However, our approach differs in several important ways:
- Update frequency: We update prices daily; The Economist publishes 1–2 times per year.
- Data source: We use actual menu prices from delivery platforms; The Economist relies on periodic surveys.
- City-level data: We provide price breakdowns for individual cities, not just country averages.
- Community verification: Verified users can submit and validate prices, creating a self-correcting dataset.
- Exchange rates: We use daily spot rates; traditional indices may use rates from the publication date.
Limitations
The Big Mac Index — including our real-time version — was never intended as a precise gauge of currency misalignment. It is a useful directional indicator and educational tool, not a trading signal. Key limitations include:
- Big Mac prices are influenced by local factors like taxes, rent, competition, and supply chain costs that have nothing to do with currency valuation.
- McDonald's may set prices strategically rather than purely based on costs.
- Delivery platform prices may differ from in-store prices.
- Not every country has McDonald's (though Big Mac availability is remarkably wide).
Despite these limitations, the Big Mac Index remains one of the most intuitive and widely-cited tools for understanding exchange rate dynamics. Our real-time approach simply makes it more current and granular than ever before.
Ready to try it? Use our Big Mac Index Calculator to compare purchasing power between any two countries using live data.
Big Mac Index Calculator
Compare purchasing power between countries using real-time Big Mac prices from actual restaurant menus
Purchasing Power Comparison
What Is the Big Mac Index? Definition & Meaning
The Big Mac Index — also known as burgernomics — is an economic tool invented by The Economist in 1986 that uses the price of a McDonald's Big Mac to compare purchasing power parity (PPP) between countries. It is based on the theory that exchange rates should adjust so that identical goods — in this case, a Big Mac — cost the same everywhere. Because a Big Mac is made to a standardized recipe in nearly every country on Earth, it serves as a practical “basket of goods” for measuring whether a currency is overvalued or undervalued against the US dollar.
Our version at TheBigMacIndex.com takes it further: instead of relying on twice-yearly surveys, we use actual prices from real restaurant menus, updated daily, making it the most current Big Mac Index available anywhere.
The Big Mac Index Formula
The Big Mac Index formula uses two simple equations to determine whether a currency is overvalued or undervalued relative to the US dollar:
How to Calculate the Big Mac Index: 3 Steps
Here is how the Big Mac Index is calculated, step by step:
Find the Implied Exchange Rate
Divide the local Big Mac price by the US Big Mac price. This gives you the exchange rate that would make a Big Mac cost the same in both countries — the implied PPP rate.
Compare to the Market Exchange Rate
Look up the actual market exchange rate between the local currency and USD. Compare it to the implied rate from Step 1. If they differ, the currency is mispriced according to PPP theory.
Interpret the Result
Calculate the valuation percentage. A positive result means the currency is overvalued (Big Mac is more expensive locally). A negative result means it's undervalued (Big Mac is cheaper).
Worked Example with Live Data
Loading live data...
The GDP-Adjusted Big Mac Index Formula
The raw Big Mac Index has a well-known limitation: Big Macs are naturally cheaper in poorer countries because labour and input costs are lower. A cheap Big Mac in Thailand doesn't necessarily mean the Thai baht is undervalued — it may just reflect lower production costs.
To address this, we calculate a GDP-adjusted index using a log-linear regression:
This regression predicts what a Big Mac should cost given a country's income level. The GDP-adjusted valuation measures how far the actual price deviates from this predicted price, giving a more accurate picture of currency misalignment between countries at different development levels.
Purchasing Power Parity Conversion
This calculator goes beyond simple currency conversion. Instead of using market exchange rates, it uses Big Mac PPP rates to show what your money is actually worth in another country. If you earn $100 in the US, this calculator shows the equivalent purchasing power in any other country — not just the currency conversion, but what that money can actually buy.
Real-Time vs Traditional Big Mac Index
Unlike The Economist's original Big Mac Index (updated 1–2 times per year with survey data), our calculator uses actual prices from real restaurant menus, updated daily. Prices are collected from delivery platforms across multiple cities per country, combined with live exchange rates from financial data providers. This means the worked examples above use prices that people are actually paying today — not data from a survey conducted months ago.
Frequently Asked Questions
API Documentation
?item=bigmac Optional. Item type: bigmac or cheeseburger.?country=us Optional. Filter by country ID.?country=us Country ID (default: us)?days=30 Number of days (default: 30, max: 365)?metric=raw_ppp_index One of: raw_ppp_index, gdp_adjusted_index, absolute_price_index, usd_price?order=desc Sort order: asc or desc?limit=50 Max results (max: 100)?countries=us,ch,de Required. Comma-separated country IDs (2-5).