One could say that the rand-dollar exchange rate is on a seesaw around R16 to a dollar. In early June it reached R15,30 but by mid-July it was R17,15. After that, the rand strengthened again to around R16.20 last week. We would all like to know what will happen next. Just think of the agricultural industry where the summer planting season's input costs, such as fuel, are influenced by the exchange rate and the eventual maize price is as well. I'm not saying I know, but there are a few things one can think of.
* The Economics Minute is supported by the NWU Business School.
