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Date: August 1, 2024 Purchasing power parities (PPP)

...June 2022 PPP CH=1.6998 PPP DE=1.0676 Formula: Amount of Swiss francs with the same purchasing power = PPP CH / PPP DE * amount in EUR Calculation: Amount of Swiss francs with the same purchasing power = 1.6998 / 1.0676 * 1000 = 1592.17 This means that 1592.17 Swiss francs have the same purchasing power in Switzerland as €1000 in Germany. 2. A salary of 4000 Swiss francs is to be converted into an amount in Euros, which has the same purchasing power (June 2022). Formula: Amount of euros with the same purchasing power = PPP DE / PPP CH * amount of foreign currency Calculation: Amount of euros with the same purchasing power = 1.0676 / 1.6998 * 4000 = 2512.30 A Swiss person who earns 4000 Swiss francs has to negotiate a salary of €2512.30 to be able to buy the same volume of goods and services as in Switzerland....