Would suncor want a high or low canadian dollar
Problem: Suncor Energy is an oil company that extracts oil in Alberta and sells its oil for U.S. dollars. Would Suncor want a high or low Canadian dollar relative to the U.S.? Explain your answer.
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Based on the elasticity number, would you suggest to raise the price, lower the price or keep it the same? Justify your answer.
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In light of this, please describe how a lender can lose during inflation if the inflation is unanticipated and the loan is a fixed-interest-rate loan.
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Would Suncor want a high or low Canadian dollar relative to the U.S.? Explain your answer.
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