Wednesday, April 21, 2010

The American Dollar

Should the American Dollar be week or strong? The logical choice isn’t the choice you think we should make. The most beneficial answer would be to make the American Dollar average. Not too strong or week. In a perfect world that’s what we would be able to do. There would be a fair demand for American goods and we wouldn’t owe too much to other countries. In the end do we live in a perfect world? So then if you had to choose ONLY between weak or strong, what would the choice be?
Personally, after thinking hard about this, I would say a strong dollar. The downfall to a strong dollar is that we might end up buying things from outside the country more, hurting our own. If the Dollar is strong then we can buy things from over seas way cheaper then from our own. It also makes factories that are still in the U.S. want to outsource to other countries cause they can pay them so much less then paying American Citizens. By doing all this we can end up losing more and more jobs then we already have. Now look at the good parts about it. If it’s stronger then we can BUY MORE. Think about our economy. We are all raised to be buyers. From the moment we can watch television images of things we think we want or “can’t” live without flow into our minds. Americans in the end are materialistic and always wants more. More food in their house, more toys to play with, more room to run around in, just more of everything. By having that U.S. dollar being strong it makes it easier to buy more. Do we really need to buy more? No we don’t, but we like it. Plus we like being a superpower in the world. How can you be a superpower if you’re not worth anything?

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