
The “Latte Index” was developed by The Wall Street Journal, uses purchasing-power parity (PPP) – comparing the cost of the same good in different countries – to estimate which currencies are overvalued and undervalued.
The Latte Index is mostly for fun, but it’s also broadly in line with predictions made by the experts, it clearly uses the price of a coffee to estimate the currency value of different countries.
So, let’s take a look at how Ireland comparing with the rest of European countries in terms of the price of a Latte as well as how many cups of Latte we can purchase with our minimum hourly wage.
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