Australia is no longer the cheapest place in the world to buy an Apple iPod, according to the latest results of a survey from CommSec.
The group’s iPod Index, similar to the Economist’s Big Mac index, tracks how expensive the iPod is in a variety of different countries, to take a snapshot of the world’s overall economic performance. Australia has dropped from top to 14th since 2008.
Chief economist Craig James said in a statement the result “raises doubts” about whether the Australian dollar is over-valued against the US dollar.
“The latest results from the CommSec iPod index highlight the fact that the Australian dollar has strengthened, but prices of some imported goods — in this case the Apple iPod — have been slow to respond,” James said.
“The list price of an Apple iPod Nano 8GB MP3 player hasn’t changed for 17 months despite the Aussie dollar strengthening by around 30% over that time… No doubt that is one reason why department stores are prepared to cut iPod prices to boost sales.”
Currently the Australian dollar sits at about US91c, up from the US66c recorded during October 2008.
Patrick Stafford is a freelance journalist and a former deputy editor of SmartCompany.
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