New Zealand should form a currency union with Australia
A currency union can be entitled to could produce productivity margin as well as productivity gains. It is the concept of sharing the single currency by a group of countries to get some benefits in the area of exchange rate mechanism whether it will be useful to reduce transaction cost, cost of deviation between currencies, favorable market for the exporter or importer. On the other hand, it is the matter of threat for the individual monetary policy or the use of fiscal policy by own country.
The first myth is that dollarized using Australian dollar, there would be the matter of strategies that must be employed as well as applied …