It is said in this afternoon's dispatches from the Canadian Press that Stephen Harper says he's concerned about the rapid rise of the Canadian dollar.
This I have difficulty understanding; if a crappy currency is the key to success then shouldn't Mexico be the most powerful state on the continent?
WFDS
Actually it's a complete reversal for "The Economist", since he was one of the Opposition MPs slamming the (then) governing Liberals about the Canadian dollar. Conservatives have typically screamed about the "weak dollar" because their rich local corporate friends wanted to invest in other countries (mainly USA). They had no clue that a weaker (in comparison to USA) dollar means significant trade going South, helping all our local companies. Most likely, they just didn't care.
ReplyDeleteNow... most likely with the clear information being provided to him by those aweful "beaurocrats" (Conservative opinion, not mine) in various gov't depts., he is probably learning the brand of economics most of the world uses... as opposed to the "Calgary School"...
If it wasn't for a well informed, intelligent, and highly skilled beaurocracy, Harper and friends would look like much bigger buffoons than they do, in the face of this economic crisis...
Actually a rising dollar hurts exports as it makes manufactured good more expensive overseas and reduces sales . Commodities sold in USD also suffer because teh CDN $ equivalent is lower with a higher CDN $. There are serious implciations from the rising $.
ReplyDelete