Wednesday, April 28, 2010

Week 3 EOC

Should America have a strong dollar or a weak dollar? Why did you make this choice? What will happen or not happen?

Honestly, I’m still unsure exactly which one is best and I guess if I had to choose, I would choose neither. The reason why I didn’t choose the weak or strong dollar is because there are So many aspects in life and in the economy that has to be measured in order to decide whether the dollar is more beneficial weak or strong. Not only in America but also in other countries, whether or not they are in a recession or their trades are up and down. I will tell you what I believe will happen if we had a strong dollar in this economy and if we had a weak dollar in this economy. In the financial state America is in, having a Strong dollar would Not be beneficial. Only because financially America is in a bad position, but if we had a weak dollar in this financial state it might actually help our economy to get better. It is said that we are coming out of this recession and if we do, I think the strong dollar might just be a lot more efficient. I believe it fits our standards of living in America, only because we buy So many things in other foreign countries. We would be getting the Most for our money for sure. If we stay with a weak dollar and the economy continues to grow and we continue to get in a better financial state as a country. We will eventually start losing money, especially when it comes to trading and buying foreign goods. With all that being said, I guess both are beneficial in their own way, at certain points of time in life. Which goes back to analyzing other countries and their financial state as well?

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