Could burger prices inform the Biden administration’s thinking on currencies? Of the currencies of the 20 trading partners studied by America’s Treasury, our measure suggests that all have gained relative to the greenback since July, but that all apart from the Swiss franc are still cheap. […] Swings in the Mexican peso meant that, according to our index, it went from being 53% undervalued against the dollar to 61% undervalued over the first half of 2020, before the move was unwound. […] Both versions of our index, though, suggest that the Swiss franc is overvalued against the dollar. […] Incoming officials may want to note that, after adjusting for GDP, our index suggests the yuan is in fact overvalued relative to the dollar by 2.5%.
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