Friday, September 12, 2014
In recent months the trend rate of change towards a greater appreciation of our funds has increased & for this reason has been the subject of much controversy. I will must cease on the key in this economic phenomenon occurs right. This is a substantial increase of income of foreign funds in to the country, reflecting the growth in investment and exports of mining and energy, without that wealth has an equivalent increase in compensation appetite to acquire such currencies. In short supply exceeds demand.
The exchange rate fulfills the same role as tariffs; if dollars are worth less, importing is cheaper. This factor favors the guild of merchants, long lasting goods importers.