dray
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PPP is awesome at leveling the playing field and many people who study Economics like myself use it. But there's one problem with it: It doesn't really effect much.
It's true, that $1 in India can buy you $3 worth of stuff in America. But that doesn't mean an Indian who earns $10,000 annually is actually earning $30,000. It's called "Purchasing Power Parity" for a reason, it discusses Purchasing power, not wealth.
So an Indian with $333,000 is not a millionaire.
India's PPP conversion factor is 0.3, it means that one can have the same standard of life with $9,000 in India that one can have with $30,000 in America.
Price level ratio of PPP conversion factor (GDP) to market exchange rate | Data | Table
Officially and internationally, To be middle class you need to earn $10 per day at the lowest. But this is per person.
If Ajay earns $10 per day for himself, his wife & 2 children, they're poor. Because they have $2.50 per person.
Even if they can eat 2 meals per day and have a 4 MBPS internet wi-fi connection, 150 cc bike, and so on. They are poor.
Sorry, that's how the world works :/
Similarly, $10 in America means $3 in India, what is currency other than a tool to represent purchasing power? The concept of PPP is there to only determine the comparative income and living standards in different countries.