Blog Post 1

Today, my dad and I talked about the economy in Japan. He said that Japan successfully eased the deflation by lowering the exchange rate. I then asked my dad that why don't Taiwan also lower the exchange rate, since the economy in Taiwan is bad too. My dad said it won't work since the price is already rising in Taiwan, and lowering the exchange rate will only make the price rise. He also said it is risky to lower the exchange rate. If people starts to exchange other currency because of the decreasing value, the exchange rate will drop even more and the country will go into chaos.