|
On day 31 of the latinum scare, its impact is being acutely felt by many in the Federation as manufacturing plants are laying off workers.
The unemployment rate has spiked to an average of 8% on Federation worlds, with unemployment as high as 22% in the Klingon Empire. A month ago, latinum bars started to flood the Ferengi Alliance's market, beginning a run on the latinum market. Prices further plummeted as investors shed their stores of gold-pressed latinum bars, fearful of losing their life savings. Two weeks ago, Grand Nagus Rom ordered an investigation into the flood of Ferengi currency that has yet to yield any results. Researchers have all but disproved the Grand Nagus' claims that the latinum bars are forged.
This recent decline in value is the first time in Ferenginar's history that its latinum currency has taken a major hit, dropping by more than 22% since this same time a month ago. Traditionally viewed as a safe and profitable investment, the Ferengi currency has rarely dropped more than a few points. Investors, fearful that the value will continue to decline as the price continues to plummet, are shedding their stores of bars at huge losses, adding to the panic.
Due to the uncertainty in the bars' value, many Federation businesses have implemented policies to accept payment in Federation credits only. And in fear of losing value, the banks are offering poor conversion rates. Similar situations are occurring in the Romulan and Klingon empires. "I have employees and bills to pay," said Merry Beth Jones, the CEO of 25th Century Computers. "The conversion of the latinum bar is just too unstable for me to run a business on."
This story brought to you by Damion Quibble of the Associated Press.
|