In July $2014$ the price of a big Mac was $$4\mathrm{.}80$ in the United States while in China it was only $$2\mathrm{.}73$ at market exchange rates. So the raw big Mac index says that the Jan was undervalued by $43\%$ at the time.how would domestic inflation in China affect the big Mac index? The big index would indicate that the currency is more undervalued.