Rupee Vs Dollar: US Woman Explains Why Living In India Feels Richer

Kristen Fischer, an American woman living in India, has sparked discussion with a video showcasing how the Indian rupee offers better domestic purchasing power than the US dollar. In her videos, Ms Fischer often shares about the affordability of life in India, but receives comments questioning the comparison between India and the US. To address this, she explained the concept of Purchasing Power Parity (PPP), using everyday examples that illustrate the rupee's value in India compared to the dollar's value in the US.

Notably, PPP is an economic indicator that accounts for the cost-of-living differences between countries. It helps compare the value of currencies and living standards across nations.

In the video, the influencer stated that $10 in the US might get you a simple meal, but the equivalent of $10 (Rs 800) in India could buy you several meals. She also noted that a haircut costing Rs 100 in India is equivalent to $40 in the US, meaning you could get 34 haircuts in India for the price of one in the US. MS Fischer further emphasised that while incomes may be higher in the US, the cost of living is also significantly higher. Meanwhile, India offers a more affordable lifestyle without compromising on the quality of life.

"Too many responses about purchasing Power made me make this video to explain it. Rupees in India stretch further than the relative dollars do in the USA. Sure, incomes are higher in the USA, but everything costs more there, too. And yes, I know that incomes in India are much lower in India, but so are the costs of goods and services," she captioned the video. 

Watch the video here:

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A post shared by Kristen Fischer (@kristenfischer3)

Her video resonated with many viewers, who praised her simple yet effective explanation of PPP. One user wrote, "So basically EARN in dollars and SPEND in ruppees is the best way to live life."

Another commented, "A truly enlightening explanation—beautifully articulated."

A third said, "You always have something positive to say about India, thank you Kristen."

A fourth stated, "People dont understand its dollar colonisation. The day world stops using usd, US economy would halve. US prints money without any gold backing and yet there is no inflation because the world uses usd for trading."