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Discussion Starter · #21 ·
how does one (govt) go about makin' the dollar stronger?
 

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deputy125 said:
how does one (govt) go about makin' the dollar stronger?
By exporting more than you import....and in this country, that ain't gonna happen....we are a service oriented society, instead of a manufacturing oriented society. If you import more than you export, you and the value of your currancy are at the mercy of the rest of the world.....Economics 101.....
 

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The Fed could buy dollars or sell foreign currencies in the currency markets and hence temporarily support the dollar. The dollar gets stronger when the economy in the US becomes stronger vrs the economies of other countries like the EU, Japan, etc. Inflation also weakens the dollar so higher interest rates vrs the above countries will strengthen the dollar. The fed could also tighten the money supply which would increase the value as well as reduce the deficit.

I think the biggest method we could use is to drill our own oil and reduce our oil imports which would help the balance of trade.
 

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Discussion Starter · #24 ·
well, i guess we could jack up the price of wheat shipped over-seas, stop givin' away money in foreign aide, bring our troops home to guard our borders instead of spendin' billions over-seas supportin' economies in germany and such with our military bases-------i think that would be a good start.
 
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