The iPod to measure value of currencies

For some years, the price of McDonald´s Big Mac was used to gauge the value of a specific currency. Now one of Australia´s largest bank has developed a new indicator for foreign exchange based on Apple´s ubiquitous digital music player. iPod nano

One of the basic differences between the two foreign exchange indicators is that whereas Big Macs are made in a host of countries, iPods are made only in China and in theory it should cost the same anywhere – with some allowances made to import duties and volume discounts.

The first reading of the iPod index for 26 countries listed Brazil as the place where the iPod is most expensive and Canada where it is the cheapest. No surprise there. My brothers always ask me to buy electronic equipment for them when I go to Brazil for the holidays. I once went to the Brazilian Apple site and was shocked by the cost of computers. My 12″ Powerbook, which cost me about CDN $ 1,800 (roughly about BR$ 3,500-4,000) was listed at almost 10,000 brazilian reais!!! That would be almost CDN$ 5,000 at the time. For that reason alone, I leave my Powerbook at home when I go to Brazil…

If you want to know more about the iPod index, go here.