You did. I asked what you thought the benefits of a strong dollar were, and you cited buying power for imports. So logically you must think that we're better off importing them than producing them ourselves, everything else being equal. I question this assumption.Originally Posted by Jackboot
Let's suppose that a barrel of oil costs $100, and $100 buys E70. Now let's suppose the dollar declines to $100=E50. Up until the moment the oil-producing nations stop using the dollar, the exchange rate doesn't matter at all; the barrel of oil is still $100. Now, let's suppose the oil-producers start pricing the product in euros when $100=E50. Oil still costs $100. At that point, there would be a problem with letting the dollar fall BELOW $100=E50 (as it would increase the cost of oil). But until they actually sever the link with the dollar, it doesn't really matter in terms of the price of oil.Originally Posted by Jackboot
I really don't think you have the faintest understanding of what a Ponzi scheme is. You're obviously just throwing around words that you think sound smart.Originally Posted by Jackboot
This has absolutely nothing to do with a weak dollar; the relative strength or weakness of the dollar doesn't affect things produced and consumed domestically at all.Originally Posted by Jackboot
P.S. If demand falls, prices would go DOWN.