The MMT Podcast with Patricia Pino & Christian Reilly cover image

#126 Dirk Ehnts: How Banks Create Money

The MMT Podcast with Patricia Pino & Christian Reilly

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Is There Any Correlation Between Exchange Rates and Inflation?

People get very worried when their government announces that it's going to run up deficits and just spend willy nilly. And actually what they're saying is, let's spend for full employment. So if the canadian dollar depreciates, then inflation goes up because the american products are now more expensive in canadian dollars. The exchange rate can jump up or down byi by plus minus 50 % inside a couple of years,. so do you think there as an hikan inflation?

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