Why not devalue the US currency?

Discussion in 'Economics' started by KINGOFSHORTS, Jul 20, 2009.

  1. Inflate our way out of debt by massive quantitive easing? This will also counter the artifically low yuan and help exports as well.

    This will also discourage excessive importing.
  2. it will damage the value of investments. pension savings would be worth less and you would have pensioner poverty.
  3. Because so many of the goods sold and consumed in the U.S.A., especially of the durable, expensive variety, such as cars, appliances, electronics, etc., are imported, debasing the dollar will turn large swaths of the country into impoverished regions resembling Calcutta.

    Brother, can you spare an imported, Mexican or Chinese made car part so that I may get to work?
  4. Corelio


    With all due respect....where have you guys been? We have been devaluing the US Dollar for years now.

    :eek: :eek: :confused: :confused:

  5. Everything is relative, and not all is as many would have you believe, assuming you haven't been keeping an eye on nearly every major trading partner of the U.S. manipulating the hell out of their own currencies to stave off their own economic implosions.

    In fact, this has 'allegedly' been the source of major trade friction between China and the U.S., as the U.S. has repeatedly accused China of massively devaluing the Renminbi, at least for public consumption back stateside.
  6. All hail King Euro.
  7. I would rather the US adopt a sustainable trade policy and let the marketplace decide the "correct" valuation for the dollar.
  8. Exactly.

    The people on this thread that don't trade for a living obviously are unaware that the US Dollar got cut in HALF during the Bush years.
  9. Corelio


    The Renminbi was pegged to the devaluing US Dollar...and also the currencies of major US trading partners that depend on the US consumer such as exporting oil nations.

    Pegging and devaluing are two different things.

    :eek: :eek:
    #10     Jul 20, 2009