With Euro/dollar below parity, lets talk exchange rates
The David McWilliams Podcast
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Is There a Hyper Inflationary Spirale?
After the ugoslav hyper inflation, yugoslavi had the highest hyper inflation ever recorded. The cros have a keen memory for that and have always wanted to avoid that. A country experience in emigration means that its own people are moving away. That's a great acid test of economic success. Right now, if you price your exchange rate too high for economic ferility ideas, but also maybe because a huge amount in the economy has got debts in foreign currency, those debts will double or go up by the level of devaluation. You are kind of caught in a trap. However, i would argue that it is better to devalue your currency and then fix to the
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