In 2022, data showed that Indonesia's average income per person was 8.6% of Sweden's when using market currency exchange rates. However, when adjusted for what goods and services that income could actually buy in each country, the figure rose to 22.7%. Based on this information, one can conclude that the market exchange rate overstates the domestic purchasing power of the Indonesian rupiah.
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In 2022, a comparison of average income per person between Indonesia and Sweden showed two different results. When using the daily market currency exchange rate, Indonesia's average income was 8.6% of Sweden's. However, when the comparison was adjusted to account for the actual cost of an identical basket of goods and services in each country, Indonesia's average income was 22.7% of Sweden's. What is the most logical conclusion that can be drawn from this data?
Calculating Relative Purchasing Power
International Salary Comparison
In 2022, a comparison of average income per person showed that Indonesia's was 8.6% of Sweden's when using market currency exchange rates. However, when the comparison was adjusted for the actual cost of goods and services in each country, the figure was 22.7%. Based on these figures, the domestic buying power of the Indonesian rupiah was approximately ____ times greater than the market exchange rate suggested, relative to the Swedish krona. (Round your answer to one decimal place).