Join the new world

For those of you who dont know me I am Aussie and operate businesses throughout the eWorld. I have in the last month or so taken refuge in the UK due to the PTO situation in Australia.

There has been a recent economic boom due to the proliferation in wars, the change in the MPP rule meaning more are participating in battles, the multiple food for wellness rule and a minor baby boom. This has particularly affected the UK due to the major grain production here and as a result grain companies have become quite lucrative. The profitablity of grain has feed through to profitablity in other markets. This has lead to a significant appreciation in the currency. As the currency appreciates you will find more and more exporters chosing to sell on shore and more import competition due to the low tarrif levels. As a result of the boom labour has been changing jobs chasing higher wages in a vicious cycle. If you are being sqeezed on labour costs trying to maximise productivity levels perhaps go for a lower labour skill.

The appreciation of the currency is in contrast to currencies that I am familiar with (USA and Poland) where the Government has chosen to print money to keep the currency stable - here the Government has appeared to restrict the money supply leading to the appreciation. I make no judgement on Government policy but I do point out that the more the currency appreciates the more profitable it is for the Government to print money in the future.

As to what is the appropriate level to print currency. Now that is an interesting question.

I provide this as more information in relation to the business environment is always better than less.