From the Big Picture Blog, which (at least for me anyway) makes economics fun comes a post entitled, US Dollar/iPod Index, postulating that the way to compare currencies/speding power is via iPod nano pricing. It does so by asking “how much iPod nano does the US dollar buy around the world?” This follows up on the Big Mac index:

Just over 20 years ago, The Economist magazine launched an index based on a McDonalds hamburger – the Big Mac index – a practical way of assessing whether a particular currency was under or over-valued against other currencies. It was launched as a light-hearted approach to exchange rate theory, but has had a good track record in predicting the direction of currencies.

According to the post, limitations in the Big Mac index include the inabililty to trade hamburgers across countires and lack of regular updating. The iPod nano “index suggests that the US dollar has potential to appreciate against a range of major currencies, with the Aussie dollar around 15 per cent over-valued against the greenback.”
The price of a 2 GB iPod nano in US dollars is as follows in the following countries:
Brazil $327.71
India $222.27
Sweden $213.03
Denmark $208.25
Belgium $205.81
France $205.80
Finland $205.80
Ireland $205.79
UK $195.04
Austria $192.86
Netherlands $192.86
Spain $192.86
Italy $192.86
Germany $192.46
China $179.84
Korea $176.17
Switzerland $175.59
NZ $172.53
Australia $172.36
Taiwan $164.88
Singapore $161.25
Mexico $154.46
USA $149.00
Japan $147.63
Hong Kong $147.63
Canada $144.20
I am guessing that since this came out the price in Canada is now considerably higher than in the United States, due to the US dollar’s recent fairly rapid depreciation against the Canadian dollar.
Why is Brazil so high and Japan so low?

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Photo of Dan Harris Dan Harris

Dan is a founder of Harris Bricken, an international law firm with lawyers in Los Angeles, Portland, San Francisco, Seattle, China and Spain.

He primarily represents companies doing business in emerging market countries, having spent years building and maintaining a global, professional network. 

Dan is a founder of Harris Bricken, an international law firm with lawyers in Los Angeles, Portland, San Francisco, Seattle, China and Spain.

He primarily represents companies doing business in emerging market countries, having spent years building and maintaining a global, professional network.  His work has been as varied as securing the release of two improperly held helicopters in Papua New Guinea, setting up a legal framework to move slag from Canada to Poland’s interior, overseeing hundreds of litigation and arbitration matters in Korea, helping someone avoid terrorism charges in Japan, and seizing fish product in China to collect on a debt.

He was named as one of only three Washington State Amazing Lawyers in International Law, is AV rated by Martindale-Hubbell Law Directory (its highest rating), is rated 10.0 by AVVO.com (also its highest rating), and is a recognized SuperLawyer.

Dan is a frequent writer and public speaker on doing business in Asia and constantly travels between the United States and Asia. He most commonly speaks on China law issues and is the lead writer of the award winning China Law Blog. Forbes Magazine, Fortune Magazine, the Wall Street Journal, Investors Business Daily, Business Week, The National Law Journal, The Washington Post, The ABA Journal, The Economist, Newsweek, NPR, The New York Times and Inside Counsel have all interviewed Dan regarding various aspects of his international law practice.

Dan is licensed in Washington, Illinois, and Alaska.

In tandem with the international law team at his firm, Dan focuses on setting up/registering companies overseas (via WFOEs, Rep Offices or Joint Ventures), drafting international contracts (NDAs, OEM Agreements, licensing, distribution, etc.), protecting IP (trademarks, trade secrets, copyrights and patents), and overseeing M&A transactions.