ive been studying the exchange rates of various currencies and have noticed that most benchmark currencies seem to be losing value respect to the GBP. pardon my ignorancy. could someone explain to me WHY and WHAT exactly is causing this? [and for whose interest]?? for example on 1st july 2002 a british pound would equal 1.45710 USD. at todays date, the same pound will get you 2.01480 USD. in the same time frame, the purchasing power of the GBP relative to Gold has gone down. for example, on 1st july 2002, a GBP would get you 0.0030650 oz. of gold. today, the same pound will give you only 0.0014990 oz. of gold. if major currencies devalue in front of the GBP, and the GBP devalues in front of gold - isnt the purchasing power of most people declining? who are the winners of such a situation? Could someone correct me if im wrong or explain to me what has exactly happened over the last 5 years? is it the effects of inflation?