The Argentine Post has an interesting story discussing The Economist’s Big Mac Index which compares prices on McDonald’s Big Mac across the world as a way to measure purchasing power.
As they explain:
…The average cost of a Big Mac in Argentina now totals U.S. $3.64, compared with $3.57 in the U.S., according to the index.
In 2003 a Big Mac in Argentina cost just $1.18 (ah, the Golden Days) while in the U.S. it cost $2.65. Inflation has pushed costs up just about everywhere. The average Big Mac in Argentina now costs a whopping 36% more than a year ago…
I’d suggest reading the whole article as they make a number of interesting points about this being only one measure of purchasing power and how many other goods and services are still inexpensive. There is also an interesting discussion about this on the BAExpats.com site.
Luckily, I don’t eat Big Macs. 🙂 However, one of the reasons for my move was the exchange rate and the relative strength of the U.S. dollar. Coming from NYC, I expect things to still seem inexpensive, but I’ll definitely be posting more about my experiences as I explore and buy.