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Only rich countries can afford to peg their currencies.
by digianarchist 4y ago
Only rich countries can afford to peg their currencies.
- likecarter 4y agoEven then, not a good idea for them, hence very few rich countries do it (unless they are very small). Controlling interest rates is incredibly important, especially in times of crisis. If you were pegged to the USD right now (which is skyrocketing relative to most other currencies), you would be in trouble.
- imtringued 4y agoYou can peg your currency down but you can't peg it up without external energy i.e. debt.