The Economist's Big Mac index gives readers an informal way to gauge what a consistent product costs in different areas of the world. But it appears that Big Mac prices have a limit.
Bloomberg News (hat tip: FT Alphaville ) reported that McDonald's Corp. is shuttering its restaurants in Iceland, where an economic collapse has sent the value of the nation's currency plummeting. Since McDonald's imports most of its ingredients in Iceland -- curiously, a place already notoriously expensive for food, drink and just about everything else -- the concern was that the price of Big Mac would have shot up to the equivalent of $6.35 (U.S.).
David Berman