The exchange rate and monetary policy
In this speech, delivered to the Auckland Manufacturers' Association on 30 November, Dr Brash addresses current issues relating to the role of monetary policy and the exchange rate. Dr. Brash focuses on the real exchange rate - that is, competitiveness - and concludes that this is influenced largely by decisions made by producers. In particular, competitiveness will be affected by decisions affecting productivity and wage settlements vis-a-vis international competitors.