Canadians Find Better Bargains in US (Canadian Dollar Now Equal To US Dollar)

[wellst0nev0ter]

Source: Associated Press

TORONTO (AP) -- Canadians are expressing pride in their economy but might be more inclined to go on shopping sprees in the U.S. after the Canadian dollar reached parity with the U.S. dollar for the first time since 1976.

Thanks to a sinking U.S. dollar and soaring commodities prices that benefit oil-rich Canada, the ''loonie'' -- named for the Canadian bird depicted on the one-dollar coin -- could be exchanged 1-for-1 with the greenback Thursday.

''It makes me feel very proud. It's a signal that our economy is doing well,'' said Toronto freelance writer Ayah McKhail. ''Everywhere you go in the world, the American dollar is just seen as the strongest one (currency). So to feel that, as a Canadian, our dollar is finally there, it's very exciting.''

<snip>

The dollar also dipped against the British pound, falling to $2.0099 from $2.0025 late Wednesday, after U.K. retail sales in August rose by 0.6 percent from July. The U.S. currency fell against the Japanese yen to 114.44 from 116.09 late Wednesday.

''The U.S isn't so mighty anymore,'' said Brian Lee of Toronto.

Read more: http://www.nytimes.com/aponline/business/AP-Dollar.html?_r=1&hp=&adxnnl=1&oref=slogin&adxnnlx=1190357717-re7FCyrYVoqIv5tX4Uw0ZQ

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Gee, I wonder what happened in 1976 when the dollar was weak like this. . .

[Kagemusha]

1. They lowered central bank rates and printed more money, that's what they did

My grandfather told me the tale. Funny how those words sound now. 31 years ago, truly a lifetime ago for me.

[gateley]

2. It's exponentially deflating all over the world. Crashing down all around us. nt

[Orsino]

3. It'll be okay. The Senate just passed...

...legislation condemning MoveOn.org, so I expect the dollar to recover and the war to end any day now.

[Hieronymus]

4. And the euro is at $1.408 .. it's gained 60% since its lowest point.

[melm00se]

5. Like anything

there are positives and negatives.

a weaker dollar makes domestically produced good and services more attractive in the export market and imports more expensive.

this can lead to a reversal in the trade deficit and domestic job creation as exports move upward.

[tabasco]

13. Riiiiiight. Nice theory.

In reality it only means bad for me as prices are higher and my savings are worth 30% less.

Let me know when the dollar in the toilet means something good for me and other working people.

[JohnyCanuck]

6. How our debt based monetary systems work - Google Video

Check out this Google Video for an explanation as to how the current debt based monetary systems evolved over time since the Middle Ages and how money is created by banks through the making of loans to borrowers. The film also proposes some alternatives to a debt based monetary system.

http://video.google.com/videoplay?docid=-9050474362583451279&q=money+as+debt&total=1215&start=0&num=10&so=0&type=search&plindex=0

This video has received an endorsement from Elizabeth Kucinich:

I have worked for a long time looking into monetary reform and after 10 years, finally someone has produced a DVD entitled "Money as Debt". It is a fabulous fun yet powerful introduction to the issue of monetary reform. It's the best over view I have seen so far; the best by far. ESSENTIAL! Everyone should watch it.

The topic of DebtMoney is THE issue of our times. It forms the basis to every nation's areas of core materal and spirtual concers such as economic development, employment and evironmental sustainability.

http://www.moneyasdebt.net (click on "Reviews" link)

[MetalCanuck]

9. Its a great video, I have seen it multiple times:)

People should watch it and learn.

[MetalCanuck]

7. We get charge 30 percent more on average for products in Canada so yes we will go there.

We also make about 20 to 30 percent less on average unless its
minimum wage.

[slackmaster]

8. Oh crap, and just as winter is coming

They're gonna surround us!

[KurtNYC]

10. So now they can stop printing those ridiculous prices on books

eg. US $4.99 CAD $6.99 (?!)

it's about time

[Posteritatis]

11. Probably not for some years yet

Contracts for books and the purchases for lots of them were based on the non-parity dollar, so the bookstores have to choose between selling at the cover price (and annoying customers, probably losing money) or adjusting the prices to allow for the new value of the dollar in the last year or so (pleasing customers, but definitely losing money).

It'll probably be a few years before the cover prices stabilize. I hear cars are even worse, though..

[MetalCanuck]

12. Books are not that cheap anymore...

You can thank the Fed and inflation for that.