With a depreciation of the AUD, there are several different impacts onto our CAD.
Firstly a depreciation of the AUD means that for the Australian Individual the cost of overseas currency is more due to the decreased value of AUD, hence this means Imports will be more expensive. With imports...
There are several reasons for protection, however economists argue that Prevention of dumping is the most valid as it has the potential to wipe out domestic firms in the market. Helping infant industries start up is often the 2nd most arguable reason for protection however must be temporary...