ECON102 Lecture Notes - Lecture 9: List Of Countries By Real Gdp Growth Rate, Maple Syrup, German Wine
26 Feb 2015
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Trade surplus in 2011: down 15%, from 2010: this caused world markets to go down, remember, china is slowing down. Can exchange rates be manipulated: a transaction in which foreign currency is used to buy cdn$ to pay to canadians is a credit. A transaction in which cdn$ is used to buy fc to pay to foreign people is a debit: lets say we want to buy 50 bottles of wine from germany. We must note: the german wine maker doesn"t care about the exchange rate. They just want 200 deutschmark, whatever that might be in cdn. The importer believes he get get 2$ cdn from each buyer. The importers problem is that the german winery does not want cdn$. The importer has a supply have 100 cdn, he wants 200 dm. So he goes to the canadian bank, says he wants the other currency.
