Its because your dollar is worth more than ours. It always has been. I live right on the border of the Us and Can. The US has casino's right on the lake and so do we. But the Americans come to canada to gamble because they get more money back. And they also come over to buy here, cuz its cheeper for them.
Us canadians go over to the Us to buy things in bulk because its price is cheeper, but not necessarily.
Another example? the difference between amazon.com and amazon.ca . I make sure to use ".ca" for buying because the exchange rate on my mastercard is a killer when I use american sites.
You'll also notice that most of e-bay is in american dollars, even when canadians are selling an item. Its because the buyer will pay in US money and then when its switched to canadian the seller will get more by the exchange.
Jo, as an economist I have to correct you on some things, with all due respect. I mean no offense or anything, it's just my nature :/
The Canadian dollar is stronger than the US dollar, but it hasn't always been that way. It's only been about a year and a half since the USD was stronger, and the CAD has only had meaningful strength over the USD for about a year. You can check the OANDA.com or Forex.com for historical data.
Although the number after the dollar sign is higher, the Canadian sellers - be it on eBay or Amazon - aren't actually better off after the exchange due to purchasing power parity. A Canadian might wind up with $25 (CAD) after the exchange on a $20 (USD) sale, but because prices are higher in Canada than in America, those $25 don't go any farther in Canada than $20 would in America. Otherwise, I'd be loaded up on Yen right now hahaha
As for why Americans go to Canadian casinos? I suspect that many of them are 19 and 20 years old and can't get into American casinos. Also gambling winnings are taxed in the US, but (generally) not in Canada. From an anecdotal point of view, many of the Americans I met at Windsor were people likely to be seen at a dive bar - just trying to escape the problems of home. What a better way to do it than leaving the country entirely? :P
Aside from the exchange rate, the book is more expensive because of import/export taxes, transportation costs, things like that.
Its because your dollar is worth more than ours. It always has been. I live right on the border of the Us and Can. The US has casino's right on the lake and so do we. But the Americans come to canada to gamble because they get more money back. And they also come over to buy here, cuz its cheeper for them.
ReplyDeleteUs canadians go over to the Us to buy things in bulk because its price is cheeper, but not necessarily.
Another example? the difference between amazon.com and amazon.ca . I make sure to use ".ca" for buying because the exchange rate on my mastercard is a killer when I use american sites.
You'll also notice that most of e-bay is in american dollars, even when canadians are selling an item. Its because the buyer will pay in US money and then when its switched to canadian the seller will get more by the exchange.
Pretty neat huh?
Jo, as an economist I have to correct you on some things, with all due respect. I mean no offense or anything, it's just my nature :/
ReplyDeleteThe Canadian dollar is stronger than the US dollar, but it hasn't always been that way. It's only been about a year and a half since the USD was stronger, and the CAD has only had meaningful strength over the USD for about a year. You can check the OANDA.com or Forex.com for historical data.
Although the number after the dollar sign is higher, the Canadian sellers - be it on eBay or Amazon - aren't actually better off after the exchange due to purchasing power parity. A Canadian might wind up with $25 (CAD) after the exchange on a $20 (USD) sale, but because prices are higher in Canada than in America, those $25 don't go any farther in Canada than $20 would in America. Otherwise, I'd be loaded up on Yen right now hahaha
As for why Americans go to Canadian casinos? I suspect that many of them are 19 and 20 years old and can't get into American casinos. Also gambling winnings are taxed in the US, but (generally) not in Canada. From an anecdotal point of view, many of the Americans I met at Windsor were people likely to be seen at a dive bar - just trying to escape the problems of home. What a better way to do it than leaving the country entirely? :P
Aside from the exchange rate, the book is more expensive because of import/export taxes, transportation costs, things like that.
i say YES! because they dont have to pay out stupid medical bills. BUT im NOT going to get into all that micheal moore crap.
ReplyDelete