Friday, November 7, 2008

Paper Part 2

Another good paper topic:

Durring the recent financial crisis several world currencies became very strong: The US Dollar and the Japanese Yen. The Pound and the Euro crashed. The reasion for the strengthening of the first two is obvious, a flight to saftey: people dumped currency of developing nations and bought "safe" currencies. Why didn't the same thing happen for the EUR and the GBP? Surely the UK is no closer to defaulting that Japan and the US? And surely the Euro will remain solvent, so why abandon the EURO? Some argument may be made for why people rushed to the dollar over the EUR: The US is an economic powerhouse of inginuity, we always come back strong.... but what about Japan? No track record...

A final paper topic:
As everyone fled the developing world and all their currencies crumbed, I bet there was one country (at least) that didn't see a complete pannic. Like maybe one country in a contanent, like Uraguay or something, that saw an appreciation of its currency. If I could find such a country, I would have a great paper.

Anyhow, off to NYC.

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