Wow, this post is so true, so succinct. bouch, why don't you post here more often? 43 posts in 4 years... I would much rather read good stuff like this, than the semi-trolling crap I spout. Well done.
There's truth for whats he saying, for americans who dont travel very often what matters is the rate of DOMESTIC inflation which should be around 5%. if the dollar drops 50% against the singapure dollar why should you care?it might have some impact on the rate of domestic inflation but it will be very little, most singaporese exporters price their goods in dollars and are reluctant to raise prices to not lose market share. the dollar IS dropping in a trade weighted basis and thats a concern but it will have limited impact on inflation
my dear sheeple STOP debating your only hope is to convert before its too late No not religion, the dollar man THE DOLLAR :eek:
However, it may come from other sources such as Japan working with India in this case. If the avg American can buy a $5,000 car that is fuel efficient, this is strongly anti-inflationary. The question is whether enough Americans will be sacrificial enough to jump on the opportunity... http://www.indiacar.net/news/n69225.htm "Nissan may export low-cost India-made cars to US TOKYO: Nissan Motor may eventually export low-cost Indian-built cars to the US if the Japanese carmaker can modify them for the world's biggest auto market. The vehicles could cost less than 5,000 dollar in the U S even after modifications to meet local safety and emission standards, Chief Executive Officer Carlos Ghosn told reporters at the Tokyo Motor Show. The models will likely cost about 3,000 dollar in India, he added. The cars, costing a fraction of the 25,000 dollar average for new passenger vehicles in the US, may win customers as higher gasoline prices boost sales of smaller and more fuel-efficient models. Nissan, Japan's third-biggest automaker, is studying plans to build the car with Bajaj Auto, India's second- biggest motorcycle maker."
We now are a global machine, and many people spend money abroad, through many things not just oil, certain foods and clothing. Exporters will not take losses because of exchange rates, except for the chinese. Thats all changed now. The US wants them to overcharge us and let us bleed. Not like I myself am the purchaser but we as a whole will be spending much more dollars tommorrow to get the same product we had today. But yes, I agree with travel trader, the OP is an idiot, and you are only correct to an extent but I do see where you are going. p
all good points, how is the yan pegged to the usa dollar? Just want to know how they can do that, i've heard it before but it's never been explained to me.