Canada is tied to the US whether we like it or not, with most of our exports going there due to proximity. If the USD falls 30%, in order to spurn domestic manufacturing in the US, we are screwed, since we are fully tethered to that wagon.
Maybe thats why he assumes we will give in, being worth 70 cents on the dollar to a currency that is falling to 70 cents on the dollar seems like quite a blow, and what does that do to our bond market and corresponding housing bubble?
Canada is tied to the US whether we like it or not, with most of our exports going there due to proximity. If the USD falls 30%, in order to spurn domestic manufacturing in the US, we are screwed, since we are fully tethered to that wagon.
Maybe thats why he assumes we will give in, being worth 70 cents on the dollar to a currency that is falling to 70 cents on the dollar seems like quite a blow, and what does that do to our bond market and corresponding housing bubble?