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The Big Mac Index shows China’s yuan may be substantially undervalued against the dollar

Benzinga
Summary
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65% Informative

A Big Mac costs $ 5.79 in the U.S. but only $3.52 when converted from yuan in China .

The Economist's Big Mac Index shows China ’s yuan may be substantially undervalued against the dollar.

The index was designed as an accessible way to understand purchasing power parity between currencies.

Experts warn that responding with tariffs could backfire.

VR Score

61

Informative language

61

Neutral language

25

Article tone

formal

Language

English

Language complexity

54

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not offensive

Hate speech

not hateful

Attention-grabbing headline

detected

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not detected

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short-lived

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https://www.benzinga.com/25/02/43450261/trump-trudeau-strike-border-security-deal-tariffs-on-canada-paused-for-at-least-30-days?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928https://www.benzinga.com/money/web3-enabler-future-of-enterprise-transactions?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928https://www.benzinga.comhttps://www.benzinga.com/premium/ideas/benzinga-edge-checkout/?t=be8be9spja3yaad1&utm_source=yahoohttps://www.benzinga.com/government/regulations/25/02/43440692/us-mexico-agrees-on-one-month-tariffs-pause-stocks-rebound-peso-rallies?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928https://www.benzinga.com/money/mode-mobile-2?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928https://www.benzinga.com/quote/MCD?getReport=1https://www.benzinga.com/money/web3-enabler-the-most-boring-blockchain-company-partners-with-salesforce?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928https://www.benzinga.com/money/boxabl?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928https://www.benzinga.com/startups/25/02/43580928/40-cheaper-in-china-what-the-big-mac-index-says-about-trumps-tariff-planshttps://www.benzinga.com/money/elf-labs-nancy-pelosi?utm_campaign=partner_feed&utm_source=yahooFinance&utm_medium=partner_feed&utm_content=site&nid=43580928

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