In the past few days, the value of the loonie has kept its usual habits of the past few months by oscillating just over and just under the US dollar value. Before the weekend, the CAD was at 1,001 USD. Today, on Tuesday the value now sits at 0.9928 U.S. dollars. Even if the Canadian dollar is unstable in a certain way because it goes over and under the American value constantly, we can say that it has been constant for the past few months because it always stays in the same range of value.
The fact that the Canadian dollar has become strong can be seen from different ways. If I owned a store in a touristic region, I would not be very happy about it. This is because the increasing loonie leads to a decrease in the tourism in Canada. This is very easily explained by the fact that our only neighbor is the United States of America. Because their dollar is worth less Canadian dollars than before, everything becomes more expensive than it used to be so less people come to visit us.
The other way that we could see the situation would be from our personal perspective. I am glad that the loonie is now worth more because I can pay less for some products. I agree that the prices in Canada do not change, no matter what the value of the money is, but I can still save some money by buying products in the US. Some people might say that traveling to the States and buying a product is more expensive than staying here and buying the same product because of the high price of gasoline, and these persons are mostly right. However, for some goods that are very expensive, we can still save a good amount of money by traveling over the frontier. As an example, one can save thousands of dollars on something like a car. In this case, the value of the loonie is very helpful even if the purchase involves some compromises. Moreover, with the technology we have today, it has become extremely easy to buy things over the internet. The delivery costs change according to the size and weight of the products, but in most of the cases the items are worth it because they make you save good amounts of money. Sites like "eBay.com" are very popular for Canadians right now because they allow them to get extremely good deals.
Personally, I am glad that the dollar in Canada is rising because I do not really worry about the impacts it has on tourism. I am happy to have the option to buy things I want for a cheaper price. However, I think that if the loonie stays in the same price range for a little while, the companies and stores in Canada should adjust and charge less for their products in order to accomodate Canadian citizens and help our economy.
Thanks for reading,
Chris
The fact that the Canadian dollar has become strong can be seen from different ways. If I owned a store in a touristic region, I would not be very happy about it. This is because the increasing loonie leads to a decrease in the tourism in Canada. This is very easily explained by the fact that our only neighbor is the United States of America. Because their dollar is worth less Canadian dollars than before, everything becomes more expensive than it used to be so less people come to visit us.
The other way that we could see the situation would be from our personal perspective. I am glad that the loonie is now worth more because I can pay less for some products. I agree that the prices in Canada do not change, no matter what the value of the money is, but I can still save some money by buying products in the US. Some people might say that traveling to the States and buying a product is more expensive than staying here and buying the same product because of the high price of gasoline, and these persons are mostly right. However, for some goods that are very expensive, we can still save a good amount of money by traveling over the frontier. As an example, one can save thousands of dollars on something like a car. In this case, the value of the loonie is very helpful even if the purchase involves some compromises. Moreover, with the technology we have today, it has become extremely easy to buy things over the internet. The delivery costs change according to the size and weight of the products, but in most of the cases the items are worth it because they make you save good amounts of money. Sites like "eBay.com" are very popular for Canadians right now because they allow them to get extremely good deals.
Personally, I am glad that the dollar in Canada is rising because I do not really worry about the impacts it has on tourism. I am happy to have the option to buy things I want for a cheaper price. However, I think that if the loonie stays in the same price range for a little while, the companies and stores in Canada should adjust and charge less for their products in order to accomodate Canadian citizens and help our economy.
Thanks for reading,
Chris
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