Peter Montagnon (FT 1980-2000)
One memorable article was the famous Lombard column on the Mars Bar index by [the late] Nicholas Colchester. The theory was that the Mars Bars consisted of a basket of commodities which could be a useful reference for other prices. He was able to show how most relative prices stayed fairly constant but some, like rail fares I think, had gone up markedly in real terms over the measurement period. This was a big talking point and the predecessor of The Economist’s Big Mac index which is supposed to tell you about exchange rates. Nico subsequently went to work for The Economist and I always rather assumed that he introduced the idea to them and they developed it.
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Peter Montagnon (FT 1980-2000)

One memorable article was the famous Lombard column on the Mars Bar index by [the late] Nicholas Colchester. The theory was that the Mars Bars consisted of a basket of commodities which could be a useful reference for other prices. He was able to show how most relative prices stayed fairly constant but some, like rail fares I think, had gone up markedly in real terms over the measurement period. This was a big talking point and the predecessor of The Economist’s Big Mac index which is supposed to tell you about exchange rates. Nico subsequently went to work for The Economist and I always rather assumed that he introduced the idea to them and they developed it.

 



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