You're right, that's what I'm talking about. A dollar fall would hurt my purchasing power on imports and when I travel, but that is short term. My original poin

You're right, that's what I'm talking about. A dollar fall would hurt my purchasing power on imports and when I travel, but that is short term. My original point about PPP is that these exchanges adjust to match levels of wealth. There is little reason two countries with similar wealth should have different purchasing power on imports because of their currency. I don't know enough about inflation vs. currency fluctuations on comment on the differences.