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To: Paul Ross
That article strained mightily trying to deny a "relationship"...but ultimately could not disprove its own data. A demon of its own devise.

Where is the relationship prior to 2001?

The history was shown fairly clearly there...the decline starts out at the end of 2001 and keeps going.

Yes, and the decline will keep going until it stops. When I showed you the recent 10% drop in the Euro you said " 10% Is that all you got? After the dollar's previously falling 50% against the EU." I don't mean to make fun of your poor math skills, but when did the dollar drop 50% against the Euro?

454 posted on 06/09/2005 8:34:48 PM PDT by Toddsterpatriot (If you agree with Marx, the AFL-CIO and E.P.I. please stop calling yourself a conservative!!)
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To: Toddsterpatriot
Where is the relationship prior to 2001?

Guess you didn't read Greenspan. The chart doesn't need to provide "proof" pre-2001 of a relationship, as the theoretical fundamentals are "Adam Smith" axiomatic and well known. And the chart admirably demonstrates what has happened since.

Did you read the Greenspan article? Do you claim to know better than Greenspan? He thinks the falling dollar has to dissuade imports and rebalance trade at some point. I personally am not sanguine about the prospects, and believe currency debauchment unwise, but I certainly HOPE he is right.

The question is, are the countervailing strategic economic policies (i.e., securities reinvestments in U.S. treasuries) of the exporting countries finally being overwhelmed by the general drag on the markets they have effectuated?

Have we reached, indeed, gone beyond a tipping point?


464 posted on 06/09/2005 9:04:49 PM PDT by Paul Ross (George Patton: "I hate to have to fight for the same ground twice.")
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