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To: freedomfiter2
Rising against a basket of currencies isn’t the same as rising against things people buy.

It's the difference between devaluing and inflation.

de•val•ue

(diˈvæl yu)

v. -val•ued, -val•u•ing. v.t.
1. to set a lower exchange value on (a currency).

in·fla·tion

inˈflāSH(ə)n/
noun
noun: inflation Economics
a general increase in prices and fall in the purchasing value of money.
"policies aimed at controlling inflation"

We hear pundits and posters confuse these terms a lot.

32 posted on 08/11/2015 6:32:34 AM PDT by expat_panama
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To: expat_panama

the way I view this
inflation=cause
devalue=effect


69 posted on 08/12/2015 2:40:36 AM PDT by 4rcane
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