CAN $ vs USD$......?

Discussion in 'Off-Topic Forum' started by Judas, May 10, 2006.

  1. Judas

    Judas Obvious Closet Brony Pony

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    Ok, over 30 years ago the canadian dollar was higher then that of the american by a reasonable factor.

    And it's on it's way up again... closing in at over 90 cents to the dollar a short while ago and expected to hit at least 110 cents to the dollar by this time next year.. if not more.. (we'll see)

    reguardless, canada is filled with people from various parts.. tourists and whatnot..

    yet i experienced my first complaint for an american.... and although i know this doesn't go quite often.... it's prevailent for some reason.


    The complaint?

    They basically stating how the canadian should be worth nothing .... etc.... i don't wanna go on about how stupid the "legit" reason why the canadian dollar should never surpass the american.

    Frankly i don't get it, how is our dollar REALLY all that good in going up and over. All it does is cost ourselves more, as minimum wage isn't able to pick up. Consumers lose largely because stores with already purchased stock continue to increase in value. The time it takes for things to catch up to it all.

    Course it's all a vicious loop anyways.

    But it appears to really drive a few americans nutz that when they hand me a $10 bill, it ends up converting down into smaller canadian change. (not saying that happened just recently, but i know of people mentioning this 30 years ago, and they expect it to happen again shortly)



    Which leads to a somewhat frightning picture. The whole picture.

    I know the american dollar is somewhat dropping.... and the canadian dollar is VERY slowly increaseing..

    Typically this leads to eco problems within that country that has a falling dollar (makes sense).

    And i frankly don't care what any person says, a depression or full blown crash in the market is always possible.


    Just a few concerns
     
  2. Nacht

    Nacht ein Krieger

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    Nah, the reason he would be upset is because now it is more expensive for him to travel/purchase/import in canadian dollars.

    A falling dollar isn't necessarily bad. In fact, its got a lot of very good qualities with it. It will increase our exports to the world, while at the same time decrease the amount we're importing (as the imports now have a higher cost to consumers).
     
  3. BWX

    BWX get out and ride

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    Yeah the dollar being too strong was actually not a good thing for the USA in many ways... Plus if we still are the biggest consumers on the continent... the value of the product we buy will still be determined by supply and demand no matter what the value of our dollar is.

    Notice that today the US economy is stronger than it has been in a very long time.
     
  4. Calliers

    Calliers Administrator/Editor Staff Member

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    Yeah, the chief global economist said on a program I was watching sometime ago this is the only time he has ever had an optimistic view on the world's global economy. So hopefully it can't be that bad.
     
  5. SFOSOK

    SFOSOK 939 Goin Strong

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    Since I'm Pro USA and more or less anti everyone else I'd say USD.
     
  6. OmegaRED

    OmegaRED Relapsed Gamer

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    Americans like to come to Canada to spend less and get more not cause we are great people. Now that it isn't such a deal I can understand their complaints. Aside from the tourism industry I don't see how a high CDN dollar is a bad thing for the country.
     
  7. Sandok

    Sandok New Member

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    Come on a low dollar isn't bad... America just yesterday raised the amount of taxes taken on loans because the dollar is too high. I mean, it isn't bad at all... Has advantages for cheaper export but higher import.

    The us has expensive export right now and cheap import... You win and loose :p
     
  8. cozumel

    cozumel I'm dangerous but cute...

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    I love the cheap US dollar. It more-or-less doubles my income when I'm over there!!!
    Or in Mexico...mmmm....Latin women:drool:
     
  9. blackdog

    blackdog Active Member

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    In one respect the high dollar can slow the economy down due to the exports costing more so it isn't all rosy for Canada
     
  10. The_Neon_Cowboy

    The_Neon_Cowboy Well-Known Member

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    thimg is the dallor will do back up and i clearly remember th rates just years ago...
    (pre 9/11) 1 USD was worth 1.57 CAN. Many factors have weaken the dallor that
    and considering you entrie population could almost fit in one lagest US Citys it's
    not supriseing yourcurreny can make vaster changes.

    Not to mention factors for example you don't need to spend all that mone on defence
    becouse Big borther USA being to the south is protection enough.... that and population
    ad all that. The more money in circulation, the less those dallors are worth. With War, etc... they find thiem selfs "printing up" more money thus the value falls. So when the war is all over the USD will climb again....
     
    Last edited: May 12, 2006
  11. OmegaRED

    OmegaRED Relapsed Gamer

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    FYI Cowboy Canada has a population of 33 million people the largest US City of New York has 8 million so don't know how you'd cram them in there even if you stacked the igloos a mile high.
     
  12. The_Neon_Cowboy

    The_Neon_Cowboy Well-Known Member

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    You'd be suprised how many would fit. Depend on the size of the city
    and BTW: when they count citys they tend to omit the suberbs etc.. wich
    are part of the city....

    actually if i remeber correctly the entire worlds population if we were all
    to stand sholder to sholder, frount to back we would all could fit in like
    within orlando floarda! Could we all live in that space? not for long but if
    we can fit the worlds population there, 33 milllion would live quite well...

    My point is it's Far easily a smaller sized population to magorly change.
    Vs say the US #5 with a population of 298 million..... harder for any
    massive change then say in #38 with 33 million (canada).

    Igloos? lol' It's not the north or south pole, it's canada...
     
    Last edited: May 12, 2006
  13. BWX

    BWX get out and ride

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    Yeah that's true there is a MASSIVE population difference..

    A massive difference in GDP too.. Canada's doesn't even compare.. Not even in the same ball park..

    GDP

    2 United States ---$ 12,410,000,000,000 2005 est
    13 Canada --------- $ 1,080,000,000,000 2005 est
     
  14. BWX

    BWX get out and ride

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    I just saw on the news--

    For the first time ever- it cost the US mint more to mint pennies and nickles than they are even worth..

    -1.23 cents per penny and 5.73 cents per nickel this fiscal year...


    rising cost of metals to blame...
     
  15. Judas

    Judas Obvious Closet Brony Pony

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    the fact that most people don't even realize, is that canada supplies the US with ALOT of resources

    Power~>Water~>Uranium~>Various metals~>Diamonds~>Oil~>Just about anything you can imagine, hell we provide the US with scientists and technology.

    Most of the military units and defence/offencive artilery is both designed and produces by several canadian groups. Although alot of it is tied in with US groups...

    Why?

    Cause canada cannot afford it, Not after the avro arrow was torn appart. That, and we just head to the states as we know we'll get full funding there ;)
     
  16. Ubergrendle

    Ubergrendle Semper ubi sub ubi

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    Well, where to start? um...

    US$ is dropping like a rock mainly due to record debt, record deficit, inflationary pressures (see: stagflation), and a dependence upon foreign commodities that are currently booming in price (e.g. oil, wood, uranium, etc).

    So its NOT a surprise that a resource friendly economy like Canada will grow in comparison. This does not mean the imminent decline of the US, just a 'rebalancing' for foreign exchange. IMHO, a $.60 Canadian dollar is undervalued, BUT a $1.00+ Canadian dollar is overvalued.

    As for all these irrelevant arguments about defence spending etc... Canada spends a large chunk of its GDP on its healthcare system, and has higher infrastructure costs per capita due to our geographic size + small populaiton. It roughly washes out. Military spending is increasing too.

    The US spends so much on defense disproportinately compared to the rest of the world that its an irrelevant argument. #2-10 in defense spending don't add up to the US. There is no possible comparison, either in real $ or per capita spending.

    In terms of economic strength, the US is still far, far ahead of the rest of the world. Internal problems such as the decline of the middle class, disproportinate distribution of wealth, high government and consumer debt, are still major problems though. Bernake is struggling with fighting inflation (raise interest rates) and raising personal bankruptcies and loan defaults (e.g. by raising interest rates). This is what 'stagflation' means...by artifically keeping hte economy stoked for years and years with low interest rates, there's little room to maneouver. The slow, slow rise in interest rates recently is more to give the Federal Exchange some leverage should they need to promote the economy later on.

    whew! i'm tired typing...
     
  17. OmegaRED

    OmegaRED Relapsed Gamer

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    ^
    Truth
     
  18. Zelig

    Zelig Well-Known Member

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    Actually, you may be interested to know that the US spends a greater percentage of their GDP on healthcare, as well as a greater dollar amount per capita.

    Except for Luxembourg. ;)

    Norway and Ireland are pretty similar in per capita GDP, though the entire EU is just ahead of the US in total DGP.
     
  19. BWX

    BWX get out and ride

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    I wouldn't say major problems.. our economy is about as strong as it's ever been.. The markets are as strong as they have ever been, and that is without a false internet bubble like the last time it was this high.
    You paint a bleak picture, but looking outside it is sunny as can be. Don't forget this is all after 9/11, a few major hurricanes, sky high fuel prices (comparatively, but in reality they have been much higher), etc.. and we are taking it in stride. The US economy is much stronger than most people give it credit for.



    I've been using this a lot lately for some reason...

    Rank Country GDP (purchasing power parity) Date of Information
    1 World $ 59,590,000,000,000 2005 est.
    2 United States $ 12,410,000,000,000 2005 est.
    3 European Union $ 12,180,000,000,000 2005 est.
    4 China $ 8,182,000,000,000 2005 est.
    5 Japan $ 3,914,000,000,000 2005 est.
    6 India $ 3,699,000,000,000 2005 est.
    7 Germany $ 2,454,000,000,000 2005 est.
    8 United Kingdom $ 1,869,000,000,000 2005 est.
    9 France $ 1,822,000,000,000 2005 est.
    10 Italy $ 1,651,000,000,000 2005 est.
    11 Brazil $ 1,568,000,000,000 2005 est.
    12 Russia $ 1,539,000,000,000 2005 est.
    13 Canada $ 1,080,000,000,000 2005 est.


    I mean look at the massive difference between US and Canada.. Or the shocking similarity between the US and entire European Union. Our economy is skyrocketing.. Don't drink the kool-aid!








    What year was that?
     
  20. BWX

    BWX get out and ride

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    In the private sector or government funded?
    Also- yeah all those illegal aliens that get free health care but don't pay taxes really hurt us.
     

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