Sinking Currency, Sinking Country

World Net Daily ^ | 11/02/07 | Pat Buchanan

[Thorin]

The euro, worth 83 cents in the early George W. Bush years, is at $1.45.

The British pound is back up over $2, the highest level since the Carter era. The Canadian dollar, which used to be worth 65 cents, is worth more than the U.S. dollar for the first time in half a century.

Oil is over $90 a barrel. Gold, down to $260 an ounce not so long ago, has hit $800.

Have gold, silver, oil, the euro, the pound and the Canadian dollar all suddenly soared in value in just a few years?

Nope. The dollar has plummeted in value, more so in Bush's term than during any comparable period of U.S. history. Indeed, Bush is presiding over a worldwide abandonment of the American dollar.

Is it all Bush's fault? Nope.

The dollar is plunging because America has been living beyond her means, borrowing $2 billion a day from foreign nations to maintain her standard of living and to sustain the American Imperium.

[SergeiRachmaninov]

I guess Pat”SS” Buchanan blames the joooos for this one.

Seems to me like you are the one obsessed with Nazis and "joooos."

[Cringing Negativism Network]

Guess what?

The portion of the plane engineering and production which is outsourced, will slowly increase.

Eventually those foreign engineers will end up working for some aerospace firm in Shanghai or Beijing. Funded by the Chinese government. Working with American designs.

And you’ll be competing with China. At a 100 to 1 price disadvantage.

Wonder if you’ll be eager to defend the “free market” then...

We are truly in a race to the bottom.

“Free market” means we’ll keep losing jobs and industries, until working Americans make no more for our efforts, than the cheapest, most corrupt major foreign competitors pay their own people.

Then we’ll all be slaves.

Wonderful.

[Brilliant]

They adjust anyway, with no effort on our part, thru the exchange rate mechanism. The problem with trying to match the taxes imposed by other countries is that they don't sell the same thing we do, so you can't really do it, and they don't impose them evenly on everything they sell. What causes the inefficiencies is monkeying with the relative prices. If you impose a 10% tax on everything, for example, it would be just the same as letting the exchange rate adjust by 10%, which is no big deal. But if you only tax certain things 10%, then you've created an inefficiency. So matching their self-imposed inefficiencies is not really in our best interest. It's smarter to simply let the market adjust. Of course, it takes a lot of time, but a slow adjustment may be more efficient than a fast one. Let the market decide that, too.

[ExGeeEye]

bookmark

[Mase]

How about that Balance of trade deficit Pat always had a hard on about? Thought not.

Have you looked at the capital account surplus lately? Any thoughts on that?

[MNJohnnie]

An older article but gives the simplest explanation of the trade offs between strong and weak dollars.

A Dinocon Isolationists, like Buchanan and his clique, should be ecstatic about the weak dollar. A weak dollar hurts our foreign competitors, it helps the most efficient parts of our economy grow market share and it helps wean US Consumers off our addiction to cheap imported goods.

http://gbr.pepperdine.edu/041/devaluation.html

[DungeonMaster]

Look for, the union label, when you are buying that coat, dress or shoes.

You sound just like my union thug dad.

[Cringing Negativism Network]

I have never been a union member.

But if Republicans don’t stop blindly supporting the systematic dismemberment of our national productive infrastructure under the mantle of “free trade”, it won’t matter.

Because middle Americans, p*ssed off at the sell-out, will elect Democrats.

Who will stop it.

Sure, they’ll foul up everything else, and then we’ll really be in a pickle — but selling American jobs to the lowest international bidder is hardly a winning election strategy for the GOP.

Just look at the last elections.

[Toddsterpatriot]

But if Republicans don’t stop blindly supporting the systematic dismemberment of our national productive infrastructure

Post #29. Over $1 trillion in exports. Some dismemberment. LOL!

[Cringing Negativism Network]

Are you referring to the “Pizza Manufacturing”?

Or the frozen hamburger shipping?...

[PGalt]

Interesting article, better thread. Thanks to all contributors.

[Toddsterpatriot]

And how much of that do we do in America?

[ari-freedom]

yay let’s kill the economy. everyone lose their high paying jobs because of this fantasy that manufacturing jobs are better. Look, eventually all these manufacturing jobs will be completely automated.

[NeoCaveman]

Wrong. The dollar is way to week

The dollar is way to year....

[Mase]

The portion of the plane engineering and production which is outsourced, will slowly increase.

"It's remarkable that Boeing is saying publicly that some of their world partners are falling down on the job and that Boeing made a mistake and that they will do it differently the next time," said Scott Hamilton of Leeham.net.

For Boeing's next all-new jet program after the 787, Bair said, it would be better to have a central manufacturing site rather than the global assembly method that is being used for the 787.

The Boeing spokeswoman said Bair, in his speech, was not suggesting the 787 productions system is flawed and should be scrapped, only that it would be better to have the main manufacturing partners together and located near Boeing's final assembly facility."

Boeing executive faults some 787 suppliers

[NeoCaveman]

The deficit is the main problem, and somewhere Friedman is spinning in his grave.

Which deficit? The last fiscal year federal budget deficit was only 160 billion dollars or 1.2% of GDP, low by historical averages.

Heck if the Congress doesn't pass their appropriations bills and we just go on continuing resolutions we might have a balanced budget this time next year.

[Cringing Negativism Network]

It’s your list you spam in every “free trade” thread.

You tell us!

Which column is for the Pizza Manufacturing?

Which one, includes the frozen hamburger shipping?

[Petronski]

...to sustain the American Imperium.

Such an idiot.

[Toddsterpatriot]

Which column is for the Pizza Manufacturing?

Which one, includes the frozen hamburger shipping?

Sorry you don't know how to read. That post was our exports, not our manufacturing. If you think pizza and hamburgers are somehow important, find some data and post it.

Or keep whining. LOL!

[Cringing Negativism Network]

Do you sell imported goods, by any chance?