Posted on 11/24/2004 9:03:01 AM PST by snowsislander
Beijing In Chinese street slang, they are known as the yellow bulls the underground traders who lurk outside the banks in aggressive pursuit of currency deals. But despite their business zeal, there is one commodity they are unwilling to buy on the street these days: U.S. dollars.
Everyone is converting their dollars to Chinese yuan, one black-market trader confided as he stood outside a bank in Beijing Tuesday.
Our business is getting more and more difficult, he said. It's hard to find anyone buying U.S. dollars any more. The value of the yuan is definitely going to increase.
No mention of inflation in your comments?
A "real" dollar is a current dollar as opposed to constant dollar.
In other words the Dollar in your pocket is worth a dollar today and will be worth a dollar in 10 years. (Constant Dollar)
However, in 10 years that same dollar because of inflation or devaluation will not have the same buying power as it has today. (Real Dollars)
"A "real" dollar is a current dollar as opposed to constant dollar."
So that dosen't correspond with your earlier statement -
"If I have 100k cash (I don't) and the dollar falls 5% over a week or month I then have 95k in real dollars."
Unless the Euro-peons come and take 5 grand out of your account, you have 100k in real dollars.
But what exactly do you think Bush can do?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.