Re: query on US dollar

[Jim Devine]

Doug Henwood wrote: >If you believe Anwar Shaikh - and he's very persuasive 
on  this - currency values are determined over the long term by 
relative  productivity performance. If the U.S. productivity "revival" is 
real  - I'm skeptical, but I think we have to get through this slowdown 
to  know for sure - then the strong dollar is warranted by the  fundamentals.<

According to Shaikh, if the productivity "revival" isn't realized because 
of sustained demand-side stagnation, does it still encourage a high dollar? 
that is, is potential productivity enough?

Jim Devine [EMAIL PROTECTED] &  http://bellarmine.lmu.edu/~jdevine