On Tue, Apr 26, 2011 at 5:45 PM, Gruss Gott <[email protected]> wrote:
> > Sam <[email protected]> wrote: > > > > The more dollars out there the less they are worth. > > $2 buys a gallon of gas. > > Now there are twice as many dollars so the same gas cost you $4 > > > > Then how come all prices haven't doubled? > > Because everyone else in the world needs to purchase their oil in US Dollars. Why the Dollar's Reign Is Near an End http://online.wsj.com/article/SB10001424052748703313304576132170181013248.html The single most astonishing fact about foreign exchange is not the high volume of transactions, as incredible as that growth has been. Nor is it the volatility of currency rates, as wild as the markets are these days. Instead, it's the extent to which the market remains dollar-centric. Consider this: When a South Korean wine wholesaler wants to import Chilean cabernet, the Korean importer buys *U.S. dollars*, not pesos, with which to pay the Chilean exporter. Indeed, the dollar is virtually the exclusive vehicle for foreign-exchange transactions between Chile and Korea, despite the fact that less than 20% of the merchandise trade of both countries is with the U.S. ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Order the Adobe Coldfusion Anthology now! http://www.amazon.com/Adobe-Coldfusion-Anthology/dp/1430272155/?tag=houseoffusion Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:336870 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/groups/cf-community/unsubscribe.cfm
