The last sign of Iceland‘s foray into globalization is gone. The small Arctic country is going to lose its three McDonald’s restaurants. Three locations were owned by Lyst Hr., all in the capital city, Reykjavik. According to Lyst, the economic situation was just too difficult, especially since the company had to by its supplies from Germany. The decline in the Icelandic krona relative to the euro just pushed costs too high. In order to be profitable, the Icelandic Big Mac would have to become the most expesnive in the world, at $6.36. Right now, it’s priced at $5.29, with the most expensive in Norway and Switzerland at $5.75.
I will never understand why some countries insist on having their own currency. No, I’m not going to beat up on Canada right now. Even if it is small and only borders us, their economy is clearly developed, and the country does just fine with its crazy pictures of the queen. But, I am confused about Iceland and Sweden. Both make their own cash, as if the fucking Euro isn’t good enough. Even with its recent slide, the Euro has still pounded the shit out of the dollar, especially when you consider that €1 was worth only 50 cents when the currency was first introduce. Now, it’s well over a dollar and has been for several years.Lesson: Bet on Europe, even if they don’t have real work weeks.