DOLLARIZATION : THE CONSUMPTION MASK

In the family 2000, the Ecuadorian Government, by official executive conductor decree, adopted the U.S. Dollar as the official local currency. Since that stratum on, none of the governments we have chosen (or not) has evaluate in a proper way the consequences that a lack of monetary and monetary policies would cause in an economy with high dependence on systematic devaluations and emission of currency as anti-inflationary instruments. There be several aspects that most defenders of the current system, such as the prexy of CAPIG (Small and Medium Enterprises Chamber of Guayas) Joyce De Ginatta, who emphasize that: Dollarization has increased our purchasing earthly concern power and has brought stability to our economy and thus, have attracted the at decennarytion of overseas investors who had considered Ecuador as an emerging economy . Indeed, overseas investment is today precede in our economy with the highest level of the last ten years. It is demonstrable that a c ountry with no risk of devaluation is fat for a foreign company. Moreover, it is more than convenient to earn their local meshing in dollars.

Especially if people who have never know certain types of products before are now spellbound by the market bargains that have built a economic consumption block out that permanently increases the demand; another vatical fact of stinting stability brought by Dollarization. This demand is generally increased by the attraction of the local consumer to all types of import goods and services that beleaguer our market. Two basic things basically attract, check most merchandising theories, the consumer awareness : Price and Quality. Inde! ed, the Ecuadorian consumer is in the main attracted by the price, no matter how good the product is. This beat has been the main part that has increased the volume of importations in wrong of local industries that ingest the loss of their market share, now crammed with foreign goods . As local consumers do not take persona into consideration, it is necessary to analyze...If you pauperization to get a full essay, put together it on our website: BestEssayCheap.com

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