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international trade

There are two short-term advantages to a weak US dollar.
The primary advantage of purposefully driving the value of the US Dollar down, as Bernanke and Geithner both know, is that it makes US exports more attractively priced for foreign buyers.  This, of course, helps the US economy in theory (if more goods are purchased as [...]

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The oft-touted problem whenever the loonie begins to rise against the US dollar is that it will hurt Canada’s exports to the U.S..  If the rise is too quick or too much, the Finance Minister – currenty Jim Flaherty – has been known to step in and threaten “intervention” to ensure that the rise will [...]

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