International Business - Inflation Essay Example | Topics and Well Written Essays - 500 words

International Business - pomposity - Essay Example provided inflation in rest of the world is seeing with great skepticism. legion(predicate) political leaders view it as a failure of the policies of the governments oddly in developing countries. Inflation, especially food inflation is on rise on those countries therefore there inflation is now to a greater extent defined in terms of political terms rather than in economical terms.Prime Minister, Stephen Harper, seems non much worried about the inflation in the country. His stance seems to be in-line with US. Stephen Harper believes that sluggish economic growth is the main reason for the current economic problems whereas inflation is not the main cause of it. (CLARK, 2008) However the stance of the central bank of Canada is slightly different as compared to Mr. Stephen Harper as they view inflation as a worrying sign.Since Canadian economy is largely based on service domain therefore strong Canadian dollar is helping it. Howe ver it must be noted that the locomote US economy has pushed for the relocation of the US factories to Canada which is helping Canada as strong Canadian dollar against US dollar provide. Further as the increase in the value of Canadian dollar sustain the general attractiveness of the Canadian Products will increase therefore countries like China and India, Canada will be a better alternative as compared to US.It is believed that rising oil