Could the WW have something like a credit crunch?

[moonlite_tryst]

I'm not an economist and only have the vaguest idea about things such as GDP, inflation, deflation, customs and excise, but I do get that countries survive by trading with other countries, providing a marketable product or service, or selling a natural resource in demand by others. A ridiculously simple overview I know..

Which leads me to my questions:

How do you think the wizarding world economy works?

Do Uk wizards trade with other communities around the world and what do you think the UK wizards could offer?

Do galleons rise and fall in price like other monetary systems? Would Voldemort's actions have had a negaive impct on the WW economy?

How does Gringott's operate?

Do the goblins charge their human customers and would they have something like the Muggle money markets to make a profit on all that gold etc sitting in their vaults?

Could famillies like the Malfoys, Blacks and Potters have amassed their fortunes by taking advantage of generations of Muggle labour or Muggle ambition, such as trading in tea, porcelain, opium etc?

I'm thinking this gathering of wealth on the back of Muggle labour is very likely because there must've been Muggle borns throughout the centuries. Would the heir to a grand estate been made to renounce his title because he was a wizard?

Thoughts?

Comments

[romaine24.livejournal.com]

I just have a second, but, yes, UK wizards would trade with others.

Here's a snippet from the Lexicon that would back it up.

Trade Restrictions:

Class A Non-Tradeable Goods
(e.g., dragon eggs) (FB)

Class B Tradeable Materials (Dangerous and Subject to Strict Control)
(e.g., Erumpent horn) (FB)

Class C Non-Tradeable Substance
Venomous Tentacula seeds (OP9)

Ban on Importing Flying Carpets (GF7)
(classified as a Muggle artifact)


In addition, there's this about Percy.
Percy spent a lot of time while working in the Department of International Magical Cooperation writing a report about the need to standardize cauldron thickness to prevent the market being flooded with defective thin-bottomed imported cauldrons (GF5).

So I think you can assume that there is trading going on between the wizarding communities.

ok gotta run.

[moonlite-tryst.livejournal.com]

*runs after you* I'd forgotten about Percy's job and the cauldron thing. I'm also wondering about import and export. If things can be Portkeyed or Apparated to any location within a given radius, the possibilites for smuggling must be immense.