To The Moon

Singapore’s Strong Purchasing Power? The Big Mac Index Tells a Different Story

We often discuss how Singapore performs better than developed nations in terms of purchasing power. However, according to a Nikkei analysis using the price of a McDonald's Big Mac—a widely recognized international price index—Singapore's wages remain low by global standards. Moreover, any wage increases are offset by inflation.

Over the past five years, the Japanese yen has weakened by approximately 28% against the U.S. dollar, while the Singapore dollar has remained strong, appreciating by 3.6%. Despite this sharp depreciation, Japan has managed to control inflation better than Singapore, even though Singapore has deliberately maintained a strong currency against the USD to combat inflation. Singapore's approach to tackling global inflation makes us appear unfavourable among developed nations, yet we often compare ourselves to another group, developing countries in the region for self comfort. 

Most hawker food and essential items have already risen by 40% or more since COVID.

OCK curry O has increased to $2 from $1.50 since 2019 , but Old Chang Kee's curry puffs have definitely shrunk. A few years ago, they were more filling, but now they feel more like a light snack than a satisfying bite. It's really dry inside without the taste of flavourful curry spices. 

Classic case of shrinkflation—same brand, smaller portion, poorer quality, higher cost.

 They should just rename it Mini Nugget Puff!