Along with the right economic policies, a floating exchange rate will help the economy make adjustments more smoothly. All of us, whether as economic policy-makers or business people, must be quick to recognize the need to adjust. We ignore economic realities at our own peril. When adjustments are too slow, the economy suffers.
When inappropriate policies are followed, the damage can take years to undo. But when the right adjustments are made quickly, the whole economy can benefit. As business people making your own adjustments to future economic challenges, you can count on the Bank of Canada to pursue the appropriate monetary policy to help you get on with the job. 4  BIS Review 10/2004