Exchange Rates & Volatility Why was it bad for the value of pesos to drop severely, rapidly.
{"Image DocumentName": "Exchange Rates & Volatility", "Image ImageDescription": "Why was it bad for the value of pesos to drop severely, rapidly? 1. Suddenly, imports were very expensive. Price of gas shot up. Businesses dependent on imports couldn\u2019t afford costs; potential for bankruptcies. 2. Mexican companies & government had borrowed money from US banks. US banks must paid in  , not pesos. If pesos are worth less, suddenly you can\u2019t afford to pay loans. Result: More bankruptcies, economic recession.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}