Expert: Prices for US cars drop due to weak dollar
The US dollar exchange rate against Euro on Tuesday hit a record-breaking low ($1.6/Euro1). Nasha Nica notes that the dollar was twice as expensive six years ago. The most dangerous thing for the international financial system is the rate of devaluation, 10 percent over the past three months.
The European Radio for Belarus asked economist Leanid Zaika to comment on how this could affect the Belarusian economy and the well-being of the Belarusians.
Leanid Zaika: "This confirms the idea that Euro is a more reliable tool. It means that the golden and currency reserves can be kept in a different formation. I think that one can increase the share of Euro, the Russian rouble and the Chinese currency. This is the first thing that the Central Bank can do".
Zaika also thinks that the population and enterprises could react to the situation in the same way. He has two tips:
"To enterpsies, it is important to understand that the machinery and the equipment is cheaper in the dollar-zone countries. Consumers should also notice that US-made cars are becoming cheaper than the European cars".
The European Radio for Belarus asked economist Leanid Zaika to comment on how this could affect the Belarusian economy and the well-being of the Belarusians.
Leanid Zaika: "This confirms the idea that Euro is a more reliable tool. It means that the golden and currency reserves can be kept in a different formation. I think that one can increase the share of Euro, the Russian rouble and the Chinese currency. This is the first thing that the Central Bank can do".
Zaika also thinks that the population and enterprises could react to the situation in the same way. He has two tips:
"To enterpsies, it is important to understand that the machinery and the equipment is cheaper in the dollar-zone countries. Consumers should also notice that US-made cars are becoming cheaper than the European cars".
