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To: Jim 0216

You really should talk about currency devaluations, also. Trump and Icahn will teach.


36 posted on 08/30/2015 4:33:07 PM PDT by Karl Spooner
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To: Karl Spooner

Well, again, Trump calls currency devaluation some kind of offensive move by China, when it actually is a sign of Chinese economic confusion. Money gauges economic strength like a thermostat gauges the temp. Changing measurements on the thermostat doesn’t change the temps. Likewise changing the comparative valuation of money doesn’t change a country’s economic condition. Money doesn’t CAUSE economic strength, it is the RESULT and MEASURE of economic strength.

When countries start manipulating their comparative currency value instead of letting the market do it, then it is a sign of weakness and confusion, which is what happened to the U.S. when we deliberately devalued the dollar. Basing currency on a fixed standard like gold gives that currency stability and reliability which the markets need.


45 posted on 08/30/2015 5:23:32 PM PDT by Jim W N
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