6 Likewise, a simple way to gauge the lack of overall price convergence is to look at the World Bank’s latest PPP calculations, according to which prices in China and India in 2004 were still on average roughly ½ and 1/9 of their dollar counterpart in the United States.
7 However, a remarkable development associated with globalisation has been that, despite the limited convergence in price levels, inflation developments have seemingly reflected the influence of global factors.