One of the important concepts we are learning this week is PPP (Purchasing Power Parity). The Big Mac Index is a fun idea demonstrating the PPP using just one good, the McDonalds's big mac.

• Pick a foreign currency. Find out the current exchange rate.
• Based on the latestBig Mac Index, is the currency of your choice overvalued or undervalued?
• Research and discuss a few possible reasons why the currency is overvalued/undervalued.

Note: You can find current exchange rates from numerous sources. Example: Yahoo! finance

Use a different country and not Japan?