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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (367505)	1/20/2008 11:31:14 AM
From: RetiredNow	Read Replies (3) \| Respond to of 1571383

Yes, I hear you, but I recently read an article that up to 50% of the current price of oil can be linked to the decline in the value of the dollar. That is an interesting statistic, because what it tells us is that the U.S. is getting significantly poorer due to our really bad monetary, fiscal, and trade policies. So my thought was that this is a zero-sum game, meaning that if we are getting poorer, then others are getting richer...if our currency is declining, then other currencies are rising and their purchasing power of worldwide goods and services must be rising with their currencies. So as we experience inflation, those other countries may be experiencing deflation. Or is the demand and supply picture getting pressured enough to more than offset relative currency gains? Is my logic sound?

To: Road Walker who wrote (367505)	1/20/2008 11:53:32 AM
From: combjelly	Read Replies (1) \| Respond to of 1571383

"The downside of that is that even a slight increase in demand from all those millions stresses supplies of important raw materials and finished goods." And it makes things more fragile. Remember the rolling shortages of the 1970s? We are set up for something on a larger scale now. Imagine what would happen if there was a major crop failure in, say, corn. Drought in the corn belt or a new viral mutation could do the trick.