5 ms·
https://en.wikipedia.org/wiki/Dutch_disease https://en.wikipedia.org/wiki/Dutch_disease Natural resource sales send USD to Australia. AUD is now worth more bec
by bobthepanda 2y ago
https://en.wikipedia.org/wiki/Dutch_disease https://en.wikipedia.org/wiki/Dutch_disease
Natural resource sales send USD to Australia. AUD is now worth more because it is backed by more USD. Manufactured exports are also traded in USD, so Australian exports become much more expensive because workers and local materials are paid for in AUD.