3 ms·
Not sure why you are getting downvoted ? The crux of it is that the rest of world(ROW) wishes to net export to America and America wishes to net import. So ROW
by bubbleRefuge 6y ago
Not sure why you are getting downvoted ? The crux of it is that the rest of world(ROW) wishes to net export to America and America wishes to net import. So ROW, wants to save dollars and maintain a relatively stable exchange rate in order for prices to remain attractive. Unless and untill someone else steps up as net import for ROW, I don't see it happening. Also, we benefit from this world order because ROW spends bares the real world costs of production: labor, pollution, raw materials, etc where as we bare the monetary costs which are not 'real' world costs and you could argue since there is no gold standard, monetary costs are just the entering numbers into a spreadsheet. Its a racket.