Markets Link the World
One of the themes of our textbook, Modern Principles, is that Markets Link the World. Here’s a great illustration of that theme showing how markets link China’s
One Two Child policy to New Zealand dairy farmers and the New Zealand dollar. It’s also a great example of how quickly financial markets incorporate new information.
For another example see our MRUniversity video I, Rose and the discussion in our textbook.
Hat tip: Lars Christensen.