In the article, “New Zealand Dollar Rises After Economy
Grows Most in Three Years” Marikok Ishikawa discusses the growth of New Zealand’s
economy and how positive this change has been for its people. The currency, nicknamed
the kiwi, advanced a staggering 0.6 percent to almost 80 yen. I find it very
interesting how much different currencies compete to be considered the very
best. We haven’t spoken much about this in class, but I can understand that it’s
a very important matter. The “kiwi” gained against all 16 other major peers
after growth in the nation’s economy enhanced the pace. Anytime that a currency
is strengthened, it is a positive thing for any nations that may trade with
that country. Mike Jones, a currency
strategist is quoted as saying, “It looks like buoyant economy activity in New
Zealand will be sustained…That’s swayed some doubts about the New Zealand
economy and seen the New Zealand dollar enjoy a pretty strong bounce.”
This is very relevant to what we’re speaking about in class.
Over population in economy can lead to a fluctuation in currency. It can
depreciate and appreciate at unpredictable rates depending upon how many people
are reliant upon it. New Zealand can stand firmly on a strong economy for the
time being, but just how long will that last? If I’ve learned anything from
this Soc 202 class, it is that the economy can shift more quickly than the
wind. Though it doesn’t take very long for a shift, it does take a number of
various factors—including currency, to make this shift come about.
Taylor Massey
3/20/13
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