More On The Dropping Dollar (Why It's better for us at the moment to let it decline)

MoneyNews.com ^ | July 26,2008 | Max Whitmore

[livius]

It’s not good for me, because I was in the process of starting an import business (from Europe). The euro has gone so high I would virtually have to double my prices, and I’ve basically decided that it’s not a workable idea and I’m beginning to close things down.

Of course, it’s probably not good for the producers of those items, either, but that’s Europe’s problem, not mine.

[expat_panama]

you have to ignore a LOT of factors if you think that way.

Dang --now you tell me!

I wasted all that time presenting the stuff that Siobhan was overlooking, and now I find out that all I needed to do was to simply ignore everything and lo and behold his thesis makes perfect sense.

I swear, this is a fantastic time saver you've come up with.  I say we're really on to something here...

[NeoCaveman]

Help me out here didn’t the Euro debut at $1.20 to the dollar and is currently $1.38. Roughly up 16% over 8 or 9 years.

[1rudeboy]

Have you seen that 400+ reply Simpsons thread? That’s where I picked-up on the rhetorical strategem of simply ignoring facts detrimental to one’s position.

[1rudeboy]

Yeah, but didn’t it fall to 80 cents or so during the same period?

[1rudeboy]

Are you aware of the forum prohibition on profanity?

[NeoCaveman]

Yeah, but didn’t it fall to 80 cents or so during the same period?

Yup. $1.20 to $.80 to $1.38

Markets fluctuate.

[durasell]

Markets fluctuate.

---

Yep.

[FightThePower!]

Does it matter if we want a strong dollar or a weak dollar. If the market is free, it willl be worth what the market prices it at.

[FightThePower!]

Don’t bother arguing with Toddster, I think he must work for the Federal Reserve.

[1rudeboy]

You are correct. An ad hominem always saves time. And if you don't know what you're talking about, another plus.

[FightThePower!]

I’ve made great money having money in Australian and in the Euro and commodities. I don’t care much what the dollar does. Isn’t it obvious when the Fed stopped publishing M-3 that they didn’t want people to know how fast they were increasing the money supply. First it went into real estate not that the real estate bubble is over its going in private equity. http://articles.moneycentral.msn.com/Investing/JubaksJournal/FedKillsAKeyInflationGauge.aspx

[1rudeboy]

I hear about the M3-thing a lot. What can you learn from M3 that you can’t learn from M2, and a little homework?

[Danae]

This guy is right. This is the best way to get China off our Dollar. They have recently been braying in their think tanks about selling off their reserves of our Dollar in response to threats on our side of sanctions, which would indeed have a devaluing effect, its a threat which would have economic effects in ever inch of America, even as it beggars their own nation.

Not that they care.

This all is a combination of allowing the Dollar to deflate AND a threat to Sanction Chinese goods entering our markets by the same amount they are cheating at in pegging the Yuan to our Dollar. It seems to be having an effect given the response.

Hey China, get used to it. Business IS war. We know how to fight it a LOT better than YOU do.

[FightThePower!]

True, I’ve seen that some people have been working to extrapolate it and have calculated that the money supply is growing 12% since 2001. Lets see, the money supply doubles, the cost of most commodities are up at least 100%, real estate doubles, yet inflation in only 3%.

[1rudeboy]

So what is inflation, by your calculation? 30%? 300%?

[Toddsterpatriot]

Yeah, because they’re the only ones who use facts to refute emotions. LOL!

[1rudeboy]

Are you being stalked?

[jpsb]

LOL, I like it worthless dollars are good for you says the government (fox) to the people (hair).