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Macro Economics people...
- Low dollar causes exports from the US to be high, causing $$ to travel more and more from foreign countries back into the US.
- More and more $$ in the US means Americans have more $$ to spend
- More $$ to spend in the US by Americans means inflation goes up
- Inflation going up means stuff getting more expensive in the US, people can spend less $$
- For the US to still have money to spend since $$ is worth less EVERYWHERE (yes, its EVERYWHERE, even in the US) the US has to either buy back $$ (which it can not because it simply has no friggin money anyway) or PRINT MONEY
- Printing money: inflation goes up.
Its good for exports, its BAD .. VERY VERY BAD in the longrun for EVERYONE involved. Having a low $$ is not great people, really is not, even for you americans its not.
The US Gov will HAVE to soon do something against this...
If a CHEAP currency was that great, I wonder why all the friggin 3rd world countries with shitty currencies do not make BILLIONS in exports ;)
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"Think about it a little more and you'll agree with me, because you're smart and I'm right."
- Charlie Munger
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