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To: D.J.Smyth who wrote (163081)	12/5/2000 2:33:53 PM
From: edamo	Read Replies (1) \| Respond to of 176387

dj...."many articles address this subject" i concur with the articles on the euro and weakness....but the point that you were making, and correct me if i'm wrong, was that the currency conversion from euro to dollar would benefit the consumer in the eec member nation.......this is where i disagree...in fact the statement in your posted article..."until then, it's a great time to go shopping in paris", demonstrates my position....currency conversions only benefit a consumer if they use a strong currency to purchase goods in a country that has a weaker currency, then the conversion effect is beneficial....a consumer who is within that country and who buys on a daily basis with his national currency does not notice the vagaries of currency exchange rates.....there is no relativity, as the in country consumer knows only one currency.... e.g....if you go to a retailer and buy a toshiba television you normally don't conclude.."great price, dollar must be strong against the yen today....maybe i better wait and see what the yen futures are tomorrow..." multinational companies who deal in various currencies hedge the conversion risk with currency futures...this in itself gives a smoothing effect to contractual obligations....if this was not the case prices of imported good would fluctuate on a daily basis as they are marked to the market.... take care ed a. p.s....also is it not true that even the unified euro has different exchange values versus the individual member countries currency, not a one to one conversion factor?