Posted on 03/02/2012 10:46:32 AM PST by SeekAndFind
Iceland is reportedly looking to ditch their unstable currency and adopt the Canadian dollar, the Globe and Mail reports — and Canada might let them.
Canadian ambassador Alan Bones is due to say tomorrow that if Iceland is sincere in its intention, the two countries should enter talks.
Ambassador Bones was reportedly approached last year by a number of prominent Icelandic businessmen.
The plan seems to be the latest unorthodox idea in Iceland's remarkably successful recovery. It may work as a prevention against the economic disaster in 2008, providing a stable and liquid currency, but would leave the country less in control of its own economy.
7 out of 10 Icelanders are reportedly in favor of the plan, but the official hope is currently to join the euro.
Read more details at the Globe and Mail >
(Excerpt) Read more at businessinsider.com ...
And Wayne Gretsky is on the $5 bill.
This is actually a really good idea for Iceland. Their economy is too small to maintain a stable currency. If they can't become another Switzerland, and they can't, this might be the best choice for them.
Maybe the U.S. should adopt a stable currency like the Looney. Of course, in 1994, it was going for something US$0.69 for CDN$1.00.
I know you are jesting. The tail cannot wag the dog.
In 1994 Canadian policies were so abysmal that the Looney really was grossly undervalued. This hurt the Canadians pride so much that they adopted sound economic principles, something that our poor country abandoned in 1932.
Funny how that works. Conservative=strong currency.
A major bank has not failed or been bailed out in Canada since the 1920’s.
Bingo!!!!!!!!!!
What is in it for Canada to do this?
We’re in it for the sardines. :)
As far as I know, if a country wants to formally a foreign currency as their own, the host country can’t really say no. That was the situation in the 90’s when Quebec was voting to separate or not. It could have adopted the Canadian currency as its own and Canada couldn’t have said, “no”.
However, if Iceland does this, it would have no influence over Canada’s currency decisions. It would be just along for the ride only.
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